Brazil’s leading coffee exporter, Cooxupe, disclosed a significant decline in its 2023 coffee shipments attributed to challenges stemming from low prices and logistical constraints. According to the co-op’s annual report, Cooxupe shipped 4.5 million 60-kg bags of arabica coffee in 2023, marking a notable decrease from the 6.8 million bags dispatched in 2022. The decline in shipments translated into a reduction in total revenues, which dropped to 6.4 billion reais ($1.28 billion) from 10.1 billion reais in the previous year. Farmers associated with Cooxupe opted to retain their coffee stocks amid a period of depressed arabica coffee prices, hovering around 700 reais per bag, leading to subdued sales activity.
Additionally, challenges related to high freight costs and limited container availability prompted some foreign clients to request shipment postponements, further impacting export volumes. The scenario shifted in the current year as arabica coffee prices rebounded, reaching approximately 1,000 reais per bag, prompting increased sales activity among farmers.
Cooxupe reported a surge in sales over the past 60 days, with farmers selling around 1 million bags as they prepare for upcoming fieldwork expenses ahead of the harvest season. In response to evolving market dynamics and rising robusta coffee production in Brazil, Cooxupe expressed openness to potentially diversifying its operations beyond arabica coffee. The co-op highlighted the interplay between robusta and arabica coffee prices, noting that the uptick in robusta prices has positively influenced arabica prices, signaling a unique market trend that benefits both coffee varieties.