A. M. World coffee prices have reached a new all-time high in january 2025, standing at 310.12 US cents per pound, according to the latest report from the World Coffee Organization (ICO). This increase of 3.5% over December and 75.8% compared to January 2024 represents the highest monthly average since April 1977. The main cause of this increase is the reduction in production in Brazil, the world’s largest coffee exporter.
In Brazil, Arabica and Robusta coffee varieties have experienced price increases of 15.2% and 6.2%, respectively, reflecting the increase in the domestic market. In addition, the Compañía Nacional de Abastecimiento (Conab) estimates that the 2025 harvest will be 51.8 million 60-kilo bags, 4.4% less than the previous year. This decline in production has raised concerns about global supply, further boosting prices.
Another factor that has contributed to the increase is the uncertainty caused by the new US trade policies. The ICO points out that the decisions of the new US Administration could affect the world coffee industry and key exporting countries such as Brazil, India and Indonesia. Possible restrictions or changes in trade agreements have generated nervousness in the market.
The different varieties of coffee have experienced notable increases in their prices. In January, Colombian mild and other mild coffees have risen by 3.2%, reaching 351.93 and 354.47 US cents per pound, respectively. Meanwhile, Robusta has increased by 3.6 %, reaching 245.29 cents per pound. These variations reflect the increasing pressure on supply and the strong global demand. The coffee market continues to be marked by uncertainty, both due to climatic factors affecting production in Brazil and the evolution of U.S. trade policy. In view of this scenario, analysts expect that price volatility will continue in the coming months, with possible repercussions for consumers and producers at a global level.
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