SOFTS-Arabica coffee prices fall sharply, sugar also down

LONDON, Sept 17 (Reuters) - Arabica coffee futures on ICE fell sharply on Wednesday, retreating from the prior session's near seven-month high, while sugar prices were also lower.

COFFEE

* Arabica coffee KCc2 was down 4.1% at $3.9245 per lb by 1222 GMT, retreating from a near seven-month high of $4.24 set on Tuesday.

* Dealers said a setback in prices was not unexpected given the extent to which they have risen recently.

* The run-up has been driven by fund buying against the backdrop of tight supplies in the United States following the imposition of a 50% tariff on shipments from Brazil.

* Robusta coffee LRCc2 lost 3.8% to $4,600 a metric ton.

SUGAR

* Raw sugar SBc1 fell 0.8% to 15.77 cents per lb.

* Dealers were awaiting the release later on Wednesday of data on sugar and cane production in Center-South Brazil covering the second half of August.

* Sugar production in Brazil's key center-south region in the second half of August is forecast to have risen by 17.3% to 3.8 million metric tons, a survey of 11 analysts published by S&P Global Commodity Insights showed.

* White sugar LSUc1 was down 1.2% at $460.40 a ton.

COCOA

* London cocoa LCCc2 fell a marginal 0.04% to 5,088 pounds per ton.

* Dealers said the market was focussed on the development of main crops in West Africa with the 2025/26 season due to start next month with concerns about diseases such as black pod continuing to underpin prices.

* The world could lose a third of its cocoa supply, or 1.5 million tons, if no action is taken to tackle climate change and disease, an industry executive who buys a substantial amount of the chocolate-making ingredient said on Wednesday.

* New York cocoa CCc2 gained 0.3% to $7,315 a ton.