The International Coffee Organization (ICO) reports in February 2019, the ICO composite indicator fell by 0.9% to 100.67 US cents/lb, similar to the level in December 2018. The daily composite indicator reversed the gains made in January, falling from an average of 103.32 US cents/lb in the first week of February to a low of 97.44 US cents/lb on February 26. Prices for Brazilian Naturals and Colombian Milds registered decreases in February, while Other Milds remained unchanged, and Robusta prices increased 0.5% to 78.65 US cents/lb.
Shipments in the first four months of coffee year 2018/19 increased by 6.6% to 41.96 million bags, reflecting the ample supply of coffee on the international market. Exports of all types, except for Other Milds, increased in comparison to the first four months of 2017/18. The difference in the availability of Colombian Mild coffee to Other Milds has resulted in a negative differential of 0.52 US cents/lb for February.
The monthly average of the ICO composite indicator fell by 0.9% to 100.67 US cents/lb in February 2019, which is slightly higher than the lowest monthly average of 100.61 US cents/lb reached in coffee year 2018/19 for December 2018. However, it is 27.5% below the 10-year average of 138.84 US cents/lb. Following on from the increase in January 2019, the daily composite indicator started above 100 US cents/lb, averaging 103.32 US cents/lb in the first week. However, prices declined during the remainder of the month, reaching a low of 97.44 US cents/lb on 26 February. Sustained growth in exports during the first four months of coffee year 2018/19 compared to last year and prospects of a large off-year crop from Brazil for crop year 2019/20 are contributing to the low prices this coffee year.
