Rabobank reduces 23/24 global coffee harvest forecast

NEW YORK (Reuters) - Global coffee production will likely be lower than expected in the 2023/24 season, which starts in October and ends in September next year, but a drop in demand -- particularly in Europe -- will prevent a supply deficit, Rabobank Research said in a note on Tuesday. The Dutch bank, which has a strong presence in agricultural finance, projected global coffee production in 2023/24 at 172.6 million bags, a drop of 1.6 million bags from its previous forecast, due to revisions to low, mainly from production in Colombia and Vietnam. Colombia's harvest was reduced from 13.6 million bags to 12.5 million bags, and Vietnam's harvest was reduced to 29 million bags, half a million bags less than expected. Both countries are dealing with less than ideal weather. Rabobank, however, maintained its estimate of a balanced global supply in 2023/24, citing falling demand in non-producing countries. "Import demand figures were very dismal during the second quarter of 2023," the ...