Business · Singapore Bureau
Arabica coffee stocks plunge to 26-year low, underpinning prices
Global arabica coffee inventories have collapsed to their lowest level in more than two decades, with exchange data revealing stocks of just 224,011 60-kilogram bags. The supply crunch is providing crucial support to coffee prices amid ongoing production concerns.
LSN Singapore ·
Exchange data has confirmed arabica coffee stocks have tumbled to 224,011 60-kilogram bags, marking the lowest inventory level since May 2000. The dramatic drawdown in global supplies reflects sustained pressure on production from major coffee-growing regions, including Brazil and other key producers grappling with adverse weather conditions and crop challenges.
The historically tight supply situation is providing a floor under coffee prices, shielding the commodity from sharper declines despite broader softness in commodity markets. Traders and industry participants are closely monitoring inventory levels as a key indicator of market tightness and potential price direction in coming months.
The supply squeeze underscores the vulnerability of global coffee markets to disruptions in production. Arabica, which accounts for roughly 60 per cent of global coffee output, remains the most commercially significant coffee variety, and its scarcity is rippling through supply chains from growers to roasters and retailers across Asia and beyond.