Volcafe, a major coffee trader, has reduced its forecast for Brazil's 2025/26 Arabica crop by 11 million bags to 34.4 million due to drought and flowering issues. This shortfall is part of a larger problem, as Brazil has failed to produce a crop of over 50 million bags in recent years, leading to a fifth consecutive deficit of 8.5 million bags for the 2025/26 season. This deficit is expected to increase market pressure on prices and supply of the Arabica bean.