|Commodity price of coffee past 12months|
It’s Arabica harvest time in Brazil, the largest producer of arabica beans, the base ingredient of coffee. And according to international forecasts demand is almost certain to outstrip supply again this for the fifth consecutive year meaning good business for Brazilian farmers, and there must be a lot of them; Brazil produces one third of the world’s coffee!
Ironically Brazil, the chief beneficiary, is itself partly responsible for price hikes. Along with China, India and Indonesia, Brazil has a growing middle class who is rapidly taking a liking to high-grade more expensive coffee meaning more need for Arabica beans. Next year Brazil will be the largest consumer of coffee as well as the largest producer. And São Paulo is a good place to witness the gentrification of the cafezinho. Here are my last 5 coffees:
As you can see they quite often come with a small glass of sparkling water which, in my humble opinion, is exactly how an espresso but other than São Paulo I have only seen this consistently done in Italy...