Coffee is becoming more and more expensive worldwide, as its price has reached a high of ten years and analysts expect that this will continue until 2023.
According to CNBC, December futures traded at $ 2,34 per pound (454 grams) on Monday, while coffee futures on the New York Stock Exchange reached $ 2,46 on Thursday.
This price is the highest after that of 2011, when coffee broke the barrier of $ 3 per pound.
Meanwhile, according to CNBC, on Friday the reference price announced by the International Coffee Union was $ 2,07 per pound, up 85% year-on-year.
According to a statement made to the American network by Ole Hansen, head of strategy of Saxo Bank, in the last twelve months "a perfect storm of events has conspired" to raise the price of coffee.
"The question for the future course of the price is whether these developments will last long," he told CNBC.
"I think we need to focus on what is happening this year in Brazil, where there have been the lowest temperatures in a generation, a very rapid spread of frost that has hit some of the crop areas, and there has been a period of drought. "These make the 2022 crop rather precarious."
Ole Hansen also said that these weather conditions could affect even the 2023 crop, as was the case in 2011, when coffee reached a price of more than $ 3 per pound.
According to CNBC, the uncertainty about the price of coffee is caused by the situation in other countries, such as Ethiopia, which is on the brink of civil war, but also Vietnam, where the increase in cases of coronavirus may hit production.
Source: newmoney.gr