SOFTS-Arabica coffee hits near three-month low, raw sugar falls

LONDON, Dec 17 (Reuters) - Arabica coffee futures on the ICE exchange hit near three-month lows on Wednesday as export sales picked up in top grower Brazil amid an improved outlook for the country's crop next year, while raw sugar fell for the third consecutive session.

COFFEE

Arabica coffee KCc2 settled down 4.7 cents, or 1.3%, at $3.474 per lb, having hit its lowest level since late September at $3.4675.

Dealers said continued pressure from coffee growers to price newly harvested beans is weighing, with near-ideal weather in top producer Brazil also boding well for next year's crop.

Brazil's National Coffee Council said in a note that smaller shipments in previous months were unlikely to be caused by alleged low supplies, adding that stocks seem to be adequate.

Robusta coffee LRCc2 fell 3.3% to $3,705 a metric ton, having hit its lowest level since mid-August at $3,676.

Dealers cited aggressive selling by local traders in top robusta grower Vietnam.

COCOA

New York cocoa CCc1 ​settled down $20, or 0.3%, at $5,978 a ton.

London cocoa LCCc1 fell 0.3% to 4,351 pounds per ton.

Dealers said the market remains concerned about output in top grower Ivory Coast, and is closely watching port arrivals data to see if it continues to improve.

Also, Citi has forecast the global cocoa market will record an underwhelming surplus of just 80,000 tons in the 2025/26 season, dealers noted.

Shares in Barry Callebaut BARN.S rose 6% on Tuesday after Reuters reported the company was eyeing spinning off its global cocoa unit amid volatile bean prices.

SUGAR

Raw sugar SBc1 settled down 0.06 cent, or 0.4%, at 14.76 cents per lb. It was the third consecutive losing session for the sweetener.

The U.S. Department of Agriculture said in a report that global sugar production in the 2025/26 season that started in October will rise by 8.3 million tons from the previous season to 189.3 million tons.

Shares in Germany's Suedzucker SZUG.DE fell 2.8% after the company guided for a slight decline in revenue and core profit in 2026/27.

White sugar LSUc1 slipped 0.2% to $422.30 a ton.