Vournas Coffee Market Report

Ok, so here’s the skinny on the market. As I sit at home and ponder this report, I am currently sipping our Sumatra Lintong Tiger. I often wonder how much hard work these farmers go through to bring us so much joy in the cup. While the market has gone down to below $1.15, differentials have moved up to compensate. The new norm is flat priced coffee, as differentials can’t keep up with the market drops. Great coffees are commanding high flat prices and hopefully this will keep all our farmers that we buy from prosperous and their businesses thriving.
Here are some numbers:
Brazil looks like a 48 – 50 million bag crop (plus or minus – it’s the eternal great mystery).
Colombia mitaca (fly crop) is flat with little rainfall early in the season, and the hope that La Nina does not damage the mitaca with heavy rains in the middle of the cycle.
Vietnam reports are not bad, but they say that if the market drops below $1.00 they will hold on to their crop and not sell coffee. The reality is they need cash, and in our opinion they will sell. With most currencies down except for the USD we will see flat to modest gains differently.
Bottom line? Buy your qualities early, contract out and be done. Costas are through the roof. So are Mexicans and Guats, but remember all these coffees are still a deal at these levels.
New to the 2016 Vournas Coffee lineup:———————Colombia Supremo Bucaramanga: San Gil 18 Screen– March Arrival –
Uganda AA Mt. Elgon Kapchorwa– April Shipment –FTO México Oaxaca Zapoteca– April Shipment –FT Rwanda Hingakawa Co-op– Just Arrived –3 New Ethiopian Origins– May Shipment (Stay Tuned) –
Yes we are busy! We are seeing a lot of action and new things going on. We are on the road to finding you all best coffees in 2016 and that is what Vournas Coffee Trading is all about.
Happy roasting,
Andrew Vournas