Robusta Coffee Price Today – August 20, 2022: The price of Robusta coffee in London for September delivery increased by 11 USD / ton to 2226 USD / ton, the price for November delivery increased by 8 USD / ton to 2226 USD / ton.
World coffee prices turn to rise
Ending the last trading session of the week, the price of Robusta coffee in London for September delivery increased by 11 USD / ton to 2226 USD / ton, the price for November delivery increased by 8 USD / ton to 2226 USD / ton.
The New York Stock Exchange, the price of Arabica coffee delivered in September 2022 increased by 1.25 cents / lb to 215.95 cents / lb, the price of Arabica coffee delivered in December 2022 increased by 1.5 cents / lb to 213 .35 cents / Pound.
After 3 consecutive days of decline, coffee prices turned to slightly increase again at the end of this week.
Since the start of this week, the USD has continued its rally to a five-week high, posting its biggest weekly gain since April 2020 in the latest session as investors awaited the Federal Reserve’s opportunity. The Federal Reserve (Fed) raises interest rates to fight inflation. This is putting pressure on coffee prices with a long bearish streak in the market.
However, Robusta stocks that meet London’s minimum standards fell slightly by 730 tonnes to 97,440 tonnes. Along with the lack of genuine sources of goods in the domestic markets of Brazil and Vietnam, farmers continue to hold out to wait for higher prices before exporting. Robusta has only decreased slightly since the beginning of the week and regained its momentum in the last session of the week, the increase of Robusta also helped Arabica prosper.
Coffee drives sales of the Strauss Group
As the Israeli food and beverage maker deals with the effects of a significant product recall, inflation, and supply interruption, strong coffee sales have supported Stauss Group’s half-year sales increase.
Total revenues jumped 8% to NIS 4.5 billion ($1.4 billion), according to Strauss Group, partly as a result of higher Strauss Coffee sales.
However, a significant recall of confectionery products, “adjustments” made to the Sabra production facility, as well as increased raw material, transportation, and energy costs, caused a 59% decline in half-year operating profit to NIS 204 million ($62 million).
However, the business said that Strauss Coffee’s half-year performance was “particularly good,” with half-year sales in Israel increasing 6.1% to NIS 395 million ($120 million) as a result of higher retail market and out-of-home sales.
Brazilian coffee sales increased 62.4% to 1.26 billion NIS ($380 million) after sales volume and prices increased. Meanwhile, Strauss’ coffee business in Eastern Europe has enjoyed a successful half-year, with sales growing in double digits, despite the ongoing war in Ukraine.
CEO of Strauss Group Giora Bardea remarked, “The first half of 2022 demonstrate the Group’s intrinsic resilience as a varied global organization and its capacity to successfully deal with a hard macroeconomic climate as well as internal issues.”
“The enterprises that produce coffee and water both had exceptional performances, substantial sales growth, and a gain in profit. We are coming to the end of a quarter with great sales growth but a decline in our bottom line, primarily due to the consequences of high energy and raw material prices as well as developments in the confectionery division and Sabra,” Bardea continued.
In addition, Bardea’s resignation as CEO after five years in the position was also disclosed by Strauss.