We are specialized in selling green coffee and pepper from the largest Brazilian trading companies.

We are specialized in selling green coffee and pepper from the largest Brazilian trading companies.

COFFEE

 

Brazil is the largest producer/exporter of green coffee in the world, coffee growing in Brazil began in the 18th century, but only in the following century the production was large enough to make it the main product of the country’s economy.

Drink originated in the 9th century in Ethiopia, coffee has truly spread throughout the world through Europe and Egypt. The first coffee seedlings reached Brazil, according to legend, in 1727. One hundred years later it became the main product of the Brazilian economy. From the second half of the 19th century, its commercialization promotes profound changes in the country, which took the Brazilian economy and society to start their process towards capitalism.

The coffee is a landmark for the Brazilian historical process of national economic development: it is at the origin of the national capitalist development, which explains both its economic importance and its popularity. Today coffee is no longer the main product of the Brazilian economy, but still it is ranked at the 7th position considering the gross value of the country’s agricultural production. In addition, while Brazil is the largest producer of green coffee, also has the second largest consumer market of this beverage.

Our production ranges from Robusta coffees to commercial and special Arabicas from different Brazilian regions such as Bahia, Espírito Santo, Minas Gerais, São Paulo, among others. NA Corretora actively works in all these regions, therefore, we can offer the coffee qualities that our customers seeks to find in Brazil.

MARKET OVERVIEW

 

Arabica coffee prices have been on the decline on the aforementioned expectations of a record Brazilian harvest in 2018/2019 and increased supply from other major producers. According to the United States Department of Agriculture (USDA), Brazil’s harvest is likely to come in at 44.5 million bags of the highly prized Arabica coffee beans. This would come out to about 44% of the world’s global harvest, up from 41% last year. Conab, the state agricultural information agency of Brazil, is predicting a record harvest crop of 58 million bags and according to the Financial Times, some estimates from traders are as high as 65 million. These figures likely include the harvest of the less desirable Robusta coffee beans, which the USDA estimates will come in at 15.7 million bags in 2018/2019. Each bag weighs about 60 kilograms or 130 pounds, so doing the math, that’s a lot of coffee.

With forecasts for the harvest so high, hedge funds and other speculators have piled into the market to bet against coffee prices in futures markets, a wager that has been made all the more attractive given the weakening Brazilian real. A weak real is attractive to producers as it means they will be able to make more money from dollar sales when converting the money back into their domestic currency, giving them an incentive to produce and sell more.

Although, the real has strengthened in recent weeks, recovering some of the losses from the emerging market currency sell-off seen in April, economists expects the real to stay at current levels and come in at 3.70 per USD at year-end. In 2019, the real is seen ending the year at 3.65 per USD.

The current low levels of coffee prices means that selling at those levels would barely cover the cost of production, so they may rather sell the minimum necessary and hold onto the rest to wait for the price to go up.

PEPPER

 

One of the biggest world’s pepper producers, Brazil oscillates between second and third position. Due to the good natural conditions for its production, the main characteristic of the black pepper is to have greater density and size compared to the main competitor – Vietnam.

The annual production is increasing in Brazil, currently it is around 80,000 tons, the expectation is of a volume increase in 2019 due to the growth of Brazilian producers. The suppliers can adapt the process of pepper drying according to the customer needs – the drying process can done by sun exposure or mechanical (which is less expensive).

The main importers of Brazilian peppers are: USA, Germany, Spain, Mexico, France, Vietnam, Australia, Egypt, Pakistan and India.

PEPPER

 

One of the biggest world’s pepper producers, Brazil oscillates between second and third position. Due to the good natural conditions for its production, the main characteristic of the black pepper is to have greater density and size compared to the main competitor – Vietnam.

The annual production is increasing in Brazil, currently it is around 80,000 tons, the expectation is of a volume increase in 2019 due to the growth of Brazilian producers. The suppliers can adapt the process of pepper drying according to the customer needs – the drying process can done by sun exposure or mechanical (which is less expensive).

The main importers of Brazilian peppers are: USA, Germany, Spain, Mexico, France, Vietnam, Australia, Egypt, Pakistan and India.

 

    /nacoffeepepper

   E-mail: info@aa4b.com

   Office Phone nbr.: +55 (11) 3508-1920

   Cellphone: +55 (11) 98546-9231

   Address: Avenida Paulista, 2.200 Conjunto 161, 16º Andar

 

    /nacoffeepepper

   E-mail: info@aa4b.com

   Office Phone nbr.: +55 (11) 3508-1920

   Cellphone: +55 (11) 98546-9231

   Address: Avenida Paulista, 2.200 Conjunto 161, 16º Andar

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