Fernando Maximiliano, Brazil coffee market intelligence manager at StoneX: “The surge in coffee future prices is associated not only with geopolitical issues and supply chain disruptions, but mainly with the impact of weather on global coffee production. Since 2020, the coffee sector has faced a series of climatic adversities, such as La Niña, frosts and, more recently, the El Niño phenomenon in 2023. These events have affected production in key countries, including Brazil, Vietnam and Indonesia, which are major players in the global coffee market. Additionally, the war between Hamas and Israel and attacks by the Yemeni Houthis on merchant ships in the Red Sea have affected the export routes of robusta coffee from Asia to Europe, the largest destination for Vietnamese coffee exports. All these factors contributed to a significant increase in prices throughout 2024. In Brazil, adverse weather in the second half of 2024, with dry and hot periods in August, September and early October, significantly affected…”