The Coffee Connection: Brazil's Major Export to America

 Brazil sent out 39.25 million 60-kilogram bags of coffee in 2023, the same amount as the 39.41 million bags it sent out in 2022, or 0.4% less. Shipments brought in $8.04 billion last year, which is 13% less than the previous year. The Brazilian Coffee Exporters Council (Cecafé) puts out a data report every month with these numbers. In December 2023, 4.12 million bags of coffee were sent abroad, which brought in $800.1 million. Compared to the last month of 2022, this is a 27.1% rise in volume and an 11.6% rise in income. Brazil exported 22.99 million bags of coffee in the first half of the 2023–2024 harvest year, which is 18.5% more than the same time period in 2022. However, foreign exchange income dropped by 2.2%, or $4.49 billion, during the same time period. Márcio Ferreira, President of Cecafé, says that last year's exports did well even though the whole production chain had problems. Exports were lower in the first semester because there wasn't as much coffee available after two years of low crop yields caused by bad weather in 2021 and 2022. Also, the export group is still having trouble with logistics, which hurts performance. Ferreira thinks that if these logistics problems didn't exist, they would allow us to ship up to two million more bags.

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From January to December of last year, the United States was the biggest market for Brazilian coffee, even though purchases were 24.2% lower than in 2022. The U.S. brought in 6.07 million bags, which is 15.5% of all exports. Germany bought 5.01 million bags, which is 26.7% less than the next country and put them in second place with a 12.8% share. After that come Japan with 2.39 million bags (+27.4%), Italy with 3.13 million bags (-6.8%), and Belgium with 2.20 million bags (-24.6%).
The China Factor
According to an analysis by the World Coffee Portal, China drank more coffee in 2023 and now has 49,690 branded coffee shops, making it the world's biggest market for coffee shops of any brand. With 1.48 million bags, China moved up to sixth place on the list of Brazil's biggest trade partners last year. This number is a big increase of 278.6% compared to the same time last year. The Chinese only brought in 390,879 bags the year before, which put them in 20th place. Seventh through tenth place are Turkey (1.37 million bags, up 30.6%), the UK (1.30 million bags, up 64%), the Netherlands (1.23 million bags, up 34.6%), and Colombia (1.16 million bags, down 32.6%). Looking at coffee imports from other countries, sales to Mexico (+500.7%), Vietnam (+487.7%), which is the world's second-largest producer after Brazil, and Indonesia (+134.9%) have all seen big increases.

"As a result of its exports to China, Japan, Vietnam, Indonesia, and Turkey, Asia bought 8.82 million bags, which is 22.5% of the total

This is 46.2% more than it did in 2022, putting it in second place on the continent ranking." With 18.84 million bags, or 7.9% less than the next place, Europe has a 48% share and is in first place. North America rounds out the top three with 7.31 million bags brought in, down 18.1%, and an 18.6% share. When it comes to ports, the Port of Santos shipped 28.16 million bags of coffee from Brazil abroad in 2023, which was 71.7% of the total. The Port of Paranaguá sends 521,102 bags, which is 1.3% of all exports and is part of the coastal complex of Rio de Janeiro, which is responsible for 24.3% of all exports with 9.54 million bags.
The Brazilian Coffee Exporters Council (Cecafé) says that the world's biggest coffee maker made record-high export earnings last year thanks to a good exchange rate and organized work in the industry. The industry group said that Brazil's coffee exports brought in $8.1bn in the last year, which is a 39% increase in profits even though the amount of coffee sold went down. Cecafé President Günter Häusler praised the hard work of Brazil's coffee farmers, even though crop yields were lower because 2021 was the low point of Arabica's biennial cycle and there were "logistical bottlenecks" like high freight costs, cancelled reservations, and limited storage space on ships. Häusler also said that the 13.7% drop in volume happened after the previous year's record harvest.

The latest monthly figures from Cecafé shows that the 39.6 million 60 kg bags of coffee

Shipped from July 2021 to June 2022 are about the same as the average of the last five harvests, which is 39.5 million bags. "Revenue, which reached an all-time high, is a reflection of the favorable exchange rate and the professionalism and excellent work that Brazilian exporters have been doing in these tough times," Häusler said. "This has allowed Brazil to maintain its position as a world leader in trade and take advantage of the high international prices." During the 2021/22 season, the US bought 8 million bags of Brazilian coffee, which was 20% of all exports. Germany came in second with 16.3%. During that time, Colombia bought 1.2 million bags of coffee, making it the sixth country in the world in terms of amount imported. Because of the war in Ukraine, exports to Russia dropped by 20%. Arabica coffee made up 33 million bags, or 83% of all shipments, of coffee that was sent abroad. Exports of soluble coffee went up by almost 3%, making up 10% of all exports.


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