The International Coffee Organization (ICO) released its Coffee Market Report for the month of May, 2018. In the report it states:
In May 2018, the ICO composite indicator increased by 0.7 percent to an average of 113.34 US cents/lb, following three months of declines. Prices for all coffee groups rose in May 2018, though the largest month-on-month increase occurred for Other Milds, which grew by 0.9 percent to 135.61 US cents/lb. Global coffee exports amounted to 10.18 million bags in April 2018, compared with 9.50 million in April 2017, driven by an increase of 14.1 percent for Robusta shipments and 6.8 percent for Colombian Milds. World production in 2017/18 is estimated 1.2 percent higher at 159.66 million bags with output expected to grow in eight of the ten largest coffee-producing countries.
The monthly average of the ICO composite indicator rose by 0.7 percent to 113.34 US cents/lb in May 2018. The report points out that while the monthly average is slightly higher than last month, it is the lowest average monthly price for May since 2007, when the ICO composite indicator reached 100.09 cents/lb.
ICO's May report also states that although a large crop is anticipated in the coming months will be factored into the current market prices, which are lower than the fundamentals would suggest. The increase in May's prices compared to last month, according to the ICO, suggests that further downward movement is limited.