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SOFTS-Coffee futures post double-digit gains in the week; sugar stable

ReutersAug 15, 2025 6:18 PM

- Coffee futures on ICE posted double-digit gains this week boosted partly by low exchange stocks, frosts in Brazil and the tariff situation, while sugar prices ended the week little changed.

COFFEE

Arabica coffee futures KCc1 settled up 15.15 cents, or 4.6%, at $3.4165 per lb after touching an eight-week high of $3.4430. Arabica gained 10.4% this week, after rising 8.8% last week.

Dealers said the market has been supported partly by a decline in certified exchange stocks, which fell to a one-year low at around 720,000 bags, as roasters look to secure alternative supplies following the imposition of a 50% tariff on U.S. imports of Brazilian coffee.

Brazil supplies about one-third of U.S. coffee imports.

"Inventories remain low, exports have underperformed in some producing regions, and recent light-to-moderate frosts in Brazil, especially in the Cerrado Mineiro region, have raised concerns about the next harvest," Rabobank analyst Guilherme Morya said in a report on Friday.

"There are zero deals to the U.S. at the moment," said a Brazil-based broker.

Robusta coffee LRCc2 gained 2.9% to $4,067 a metric ton, having hit its highest level in nearly two months at $4,079. Robusta gained 16% this week, after rising 8% last week.

SUGAR

Raw sugar SBc1 ​settled down 0.14 cents, or 0.8%, at 16.44 cents per lb. The market was little changed in the week.

Sugar production in Brazil's key center-south region fell 0.8% in the second half of July when compared to the year-earlier period, hitting 3.61 million metric tons, industry group UNICA said on Friday.

Dealers noted falling sugar content in cane in Brazil, which might be leading mills to allocate a very high amount of cane to sugar production to fulfil export contracts. Cane allocation to sugar hit 54% in the second half of July.

White sugar LSUc1 fell 1.7% to $481.20 a ton.

COCOA

New York cocoa CCc2 was little changed at $8,278 a ton. The contract gained 4% in the week.

Dealers said the recent run-up in prices had led to a pick-up in hedging, while short-term speculators had also taken some profits on long positions ahead of the weekend.

London cocoa LCCc2 fell 0.3% to 5,551 pounds per ton.

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