
Daily Coffee Report 8/10/26
Daily coffee report

- Coffee
By: Diana Delgado, Contractor

UPDATE: Colombia Could Expand Production to 20 Million Bags in Medium Term With New Low-Lands Variety
Coffee Network (Cartagena)- Colombia could produce 20 million bags of 60-kg in the medium term, which in part will be possible thanks to the development of a new variety resistant to warmer low-lands resilient to pests, which expands the potential area for coffee, the general manager of the coffee growers federation German Bahamon said.
Speaking at the closing ceremony of the 89th coffee exporters association summit, Bahamon said the Coffee Research Institute Cenicafe will launch in 2027 the new variety, which has been tested for the past 30 years. The new variety called “Umbral” could be planted in 850 meters and higher, expanding the new coffee frontier.
“We believe that in the medium term we will have the possibility of showing 20 million bags that the world needs to maintain consumption and coffee from Colombia,” he told the audience of the Asoexport summit. “By 2030, the world will need 200 million bags of coffee, and Colombia needs to be ready to deliver that product to the global market,” he added. In 2000, the world consumed 117 million bags.
Colombia produced almost 14 million bags of 60-kg and this year output would be lower because of torrential rainfall.
Colombia is in the midst of uncertainty in the markets; yet the only certainty is that there is a near-perfect equilibrium of supply and demand, and that explains the price now. This near-perfect equilibrium explains why the world has consumed almost all of the inventories in the last 6 months. “We have had to consume 16 million bags of inventory, and that is why we are in a state of uncertainty, and that is what generates the price we are at now,” he added.
Coffee consumption hasn’t fallen. The coffee consumption habit continues. The capsule business grows by 40% year on year. In Colombia, the market behavior is no different; it's growing even stronger. The average price of Colombian coffee grew by 29%, and the coffee category grew by 2.1%, with 8% already being premium sensory profiles.
“When one sees that the price is finally fair and volumes aren't decreasing, I don't understand why there are still speculative feelings about the price falling,“ he noted.
In other news, the value of the coffee harvest for the 12-month ending in October totaled COP25 trillion Colombian pesos (US$6.544 billion), funds that are arriving to coffee producers.
Coffee weights 1.5% of Gross Domestic Product and 18.7% of the agriculture GDP.
LOGISTICS AND ALMACAFE
The logistics arm of the coffee growers federation Almacafe has launched the website Cafenlace, an online platform that allows the sale of green and roasted Colombian beans to the US. “By doing click, in 72 hours a pound of coffee is in the house of the buyer in the US. This is Amazon for Colombian coffee,” Bahamon said.
Meanwhile, Colombian actress Sofia Vergara last year launched the Colombian coffee brand Dios Mio Coffee with the coffee growers federation providing up to 1,000 bags of 60-kg pure Colombian coffee produced by woman.
The 100% Colombian coffee is being sold on 17,000 Walmart stores, the Walmart website as well as on the Dios Mio site.
Dios Coffee is processed and threshed at Almacafe’s sites and gets exported directly from Colombia to stores, Walmart stores and final consumers in the US . He said it is more efficient to ship directly from Colombia as it saves the costs of holding inventory in the US.
Almacafe is already increasing the productive capacity of threshing machines. It has facilitated a threshing in the southern city of Pasto, boosted by 50% capacity the one of Santa Marta and by 30% the Armenia capacity. Almacafe’s total threshing capacity increased to 170,000 bags/ Month, and aims to end 2025 with 200,000 bags/month. The Almacafe’s goal is threshing 25% of coffee that produces Colombia, the general manager of Almacafe, the logistics arm of FNC recently told Coffee Network.
Almacafe is moving an existing threshing located in Garzon (Huila) to the southern city of Popayan where there are not threshers.
This logistical reshuffle also includes building or relocating refrigerated silos for coffee.
Almacafe wants to reduce the coffee journey, because there are inefficiencies in coffee transportation.
Part of the efficiencies imply installing refrigerated silos in cities like Popayan, Pitalito, Armenia and Santa Marta. The first silo will be in Armenia. This silo will come online during the third quarter 2025. The investment required at Armenia is COP6 billion, the general manager of Almacafe recently told Coffee Network.
Almacafe is also already producing coffee capsules aiming to export coffee capsules, which is a growing business.
Meanwhile, the coffee research arm Cenicafe launched three varieties of high-quality coffee in June. They are called: Colombia Cocoon, Castalia y Celestra, which have been planted. “The profile of the cup is superior to Geisha. By 2027, we hope this becomes a reality,” he added.
Meanwhile, Bahamon stressed that technology must be implemented to pick coffee in the high slopes of coffee plantations as it has been done in Minas Gerais in Brazil.
“We cannot believe because it has been done in Brazil, it cannot be done in Colombia,” Bahamon added.
Finally, Colombia has renovated 71,000 hectares that are planted with Castillo 2.0 variety so far in 2025. Colombia aims to renovate 100,000 hectares. Coffee growers should consume 900,000 tonnes of fertilizers, yet growers are buying slightly more than 50% of that amount.
By Diana Delgado
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Daily coffee report


August 10 – The world commodity markets and economy remains at risk amid two wars this morning. Tensions continue to escalate in both the Middle East and the Black Sea – risking pulling other countries into the conflicts. Stocks are down modestly this morning as we start a week of trade in which we’ll see key inflation and retail sales data following a weak jobs report this past Friday. Yet, stocks continue to trade just below record high levels, with the VIX trading near 2026 lows just above 15. The dollar index is trading near 99.7. Yields on 10-year Treasuries are trading near 4.68%, while yields on 2-year Treasuries are trading near 4.23%. The energy and food-based markets are firmer today amid the escalated risks. WTI crude oil is trading near $80, while Brent trades near $85 per barrel. Double-digit gains in the winter wheat markets lead the way for higher grain and oilseed prices.


August 7 – The U.S. economy unexpectedly lost 23k jobs in July, dramatically below market expectations of an 80k increase and marking the worst Non-Farm Payrolls print since February. Furthermore, May and June were both revised sharply downward, with combined revisions showing 103k fewer jobs than previously reported. Outside of the healthcare sector, which added 22k jobs in July, the losses were very broad-based. Government payrolls saw the largest decline, shedding 53k jobs in July, the largest seen since October 2025, while June was revised down to show a loss of 10k jobs as well. The private sector at least saw growth, adding 30k jobs in July, now matching the month prior after it was revised down from the 49k initially reported, and substantially missing forecasts of 78k jobs being added. This is a sharp reversal in course from the largely better than expected U.S. labor data seen earlier this week.

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