Coffee supplies are exceeding demand for the second straight year, according to Volcafe, driving down coffee bean prices. The world’s top producer, Brazil, will harvest a record 57.8 million bags in the 2013-2014 season. Each bag weighs 132 pounds, or 60 kilograms. Market prices on coffee beans have plunged 12 percent in the last two weeks and are headed for the biggest monthly drop since October. [BusinessWeek]
As cotton and cotton-related products are discretionary items, COVID-19 has significantly impacted demand for cotton. The greatest decline in consumption has been observed in China and India. Retail sales in clothing and clothing accessories in the U.S. experienced an 87% decline in April from the previous year. With the anticipation of a decline in consumers’ consumption of apparel, the recovery of the spinning industry is anticipated to be slow. Slightly lower production, reduced consumption and higher beginning and ending stocks are projected for the 2020 cotton crop globally. World cotton production in 2020 is forecast at 118.7 million bales, 3% (4.2 million bales) below the previous year. Global cotton mill use is forecast at 114.4 million bales in 2020, 11.5% (12 million bales) above 2019, but still significantly lower than 2017 and 2018 levels. The world ending stocks are also projected at 104.7 million bales, the second-highest level on record. U.S. cotton production i