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Brazil drought threatens coffee production and prices
Drought and Wildfires Impact Coffee Production in Brazil
Coffee farmers in Brazil are facing significant challenges due to severe drought conditions and recent wildfires. These adverse weather events are affecting crop growth and damaging existing plantations, potentially leading to reduced harvests and global supply shortages.
Given the conditions here, the 2025 crop is already affected.
The situation is not limited to Brazil, as Vietnam, the world's second-largest coffee producer, is also experiencing heat and drought. These factors have contributed to a substantial increase in global coffee prices, with the International Coffee Organization's Composite Indicator Price rising by 55% compared to the previous year.
- Severe drought in Brazil is damaging coffee crops and impacting future harvests.
- Global coffee prices are rising due to potential supply shortages in Brazil and Vietnam.
- Wildfires in Brazil have destroyed coffee plantations, further exacerbating the situation.
- Smallholder farmers are particularly vulnerable to the impacts of drought and fires.
- Coffee prices have increased by 55% compared to the previous year.