Robusta coffee traders in Brazil are nervous about prolonged shortages and rising prices

LONDON (Reuters) - Robusta coffee traders, who saw prices hit 15-year highs in May, fear supplies of the bitter bean used to make instant coffee will remain tight until next year. Brazil, the world's third largest exporter, has already begun harvesting its 2023/24 crop, and traders had pinned their hopes on the country covering the shortfall caused by low supplies from Asia. The Brazilian group of coffee exporters Cecafe remains optimistic about export prospects, saying that they should increase notably in the second half of the year. However, traders and experts say robusta supplies are so tight in Asia that even 3m bags exported from Brazil - the upper limit of their forecasts - might not be enough to cover the gap. "If there were 5 million bags (of robusta exports from Brazil) you could (see) a drop in prices, but realistically we are going to see unprecedented shortages that will last until next year," said a coffee analyst. in a world trading house. The shortage comes as top ...