In general, the physical coffee market remains appreciated. The ICE and dollar composition, even volatile and uncertain, has been favorable for prices in the domestic physical market, which helps to keep coffee prices near the recent highs and in a region favorable to sellers. This scenario brings tranquility to growers and facilitates the management of the sales flow of the 2020 remainders, besides favoring the staggering of positions with future crops.
The finest cups are currently around BRL 755 to 765 per bag in the physicals. Good cup from the south of Minas Gerais is indicated between BRL 730 and 735 a bag. So, the best coffees remain above the level of BRL 700 per bag, with the finest cups close to the level of BRL 800 per bag.
Rio coffee with 20% of defects from the Matas de Minas region is indicated at BRL 530 per bag and is also on the rise. New coffee (2021 crop) hard cup is bidded at BRL 670 with 30% of defects and BRL 630 with 40% of defects. Conillon type 7/8 in Colatina in ES is indicated between BRL 430 to 435 per bag. External aggressiveness, with a very strong export differential (premium), mitigates the effects of the increased supply with the arrival of new coffee to the market early this season. The new coffee supply is small, with the harvest still just beginning.