
Daily Coffee Report 6/11/26
Daily coffee report

- Coffee
By: Alexis Rubinstein, Managing Editor - Coffee Network

CoffeeNetwork (New York) - Brazil’s coffee sector continues to demonstrate resilience and structural maturity, with newly released data from ABIC (Brazilian Coffee Industry Association) pointing to stable domestic demand, rising industry revenues, and expanding export value despite a slight pullback in internal volumes.
The latest indicators show that Brazil’s domestic coffee consumption reached approximately 21.4 million 60‑kg bags in 2025, easing slightly from 21.9 million bags in 2024, a modest decline of 2.3% year-on-year. This marks a pause after years of steady growth, reflecting a mature consumption base rather than any structural weakening in demand.
On a per capita basis, consumption remains among the highest globally. Brazilians consumed 4.82 kg of roasted coffee per person in 2025, equivalent to roughly 6.02 kg of green coffee, underscoring the country’s deeply entrenched coffee culture. Even with slight fluctuations in recent years, per capita consumption has broadly stabilized at elevated levels, reinforcing Brazil’s position as both the world’s largest producer and one of its most substantial consumers.
Regionally, domestic consumption remains heavily concentrated in Brazil’s economic core. The Southeast accounts for 41.6% of total consumption, followed by the Northeast at 26.8%, with the South, North, and Center-West regions collectively making up the remainder. This distribution closely mirrors population density and income concentration, but also highlights the growing importance of emerging consumption regions such as the Northeast.
While volumes softened marginally in 2025, the industry’s financial performance tells a markedly different story. Total domestic market revenue surged to BRL 46.24 billion, up from BRL 36.82 billion in 2024, representing a robust 25.6% increase year-on-year. This divergence between volume and value reflects the pricing dynamics that have defined global coffee markets over the past year, with elevated raw coffee costs flowing through to retail prices and boosting overall industry turnover.
A similar trend is evident in Brazil’s external coffee sector. Export volumes linked to the industrial segment rose from 49.0 million bags in 2024 to 58.5 million bags in 2025, an increase of 19.3%, while export revenues jumped nearly 49% to USD 200.6 million. The disproportionate rise in value relative to volume again underscores the strong price environment, driven by tight global supply conditions and ongoing logistical and climatic pressures in key producing regions.
Structurally, Brazil’s coffee industry remains highly fragmented at the production and processing level, but with a clear dominance of small and medium enterprises. Over half of all coffee-processing companies (51%) fall into the “small” category, handling between 51 and 1,000 bags per month, while micro and nano operators account for an additional 32% of the industry. Large-scale processors, by contrast, represent only 5% of total enterprises, highlighting the decentralized nature of Brazil’s domestic coffee value chain.
The geographic distribution of industry players further reinforces this structure, with 62% of ABIC-associated companies located in the Southeast, consolidating the region’s dominance not only in consumption but also in processing and commercialization.
Taken together, the 2025 data paints a picture of a coffee market transitioning from volume-driven expansion to value-driven growth. Domestic consumption appears to have reached a plateau near historically high levels, while pricing dynamics and product upgrading—potentially including premiumization and value-added offerings—are driving revenue gains across both domestic and export channels.
For global coffee markets, Brazil’s internal demand profile remains a critical balancing factor. With over 21 million bags absorbed domestically each year, even marginal shifts in consumption or pricing behavior can influence export availability and, by extension, global supply dynamics.
Looking ahead, the key question will be whether Brazil’s domestic market can resume gradual volume growth or whether it will remain anchored at current levels while continuing to generate value through higher prices and evolving consumer preferences. In either case, the data confirms that Brazil’s coffee industry is no longer defined solely by its role as a producer and exporter, but increasingly as a sophisticated, high-value consumer market in its own right.
Alexis Rubinstein
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Daily coffee report


June 11 – Iran-related headlines are again moving the markets this morning, along with more inflation related data that was released. Stock futures are mostly higher to start the day, while the VIX is also elevated to trade near 21. The dollar index is trading near 100.1. Yields on 10-year Treasuries are trading near 4.53%, while yields on 2-year Treasuries are trading near 4.14% as the yield curve continues to slowly flatten on rising inflation concerns. WTI crude oil is trading near $90 per barrel, while Brent trades near $93 per barrel. The grain and oilseed markets were mixed to lower overnight.


Daily coffee report

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