The domestic physical market has been firm, with group 1 arabica following the rise on ICE and finding support in the steady dollar to continue its bullish trajectory. Fine cup from Cerrado is pegged at BRL 1,370 per bag, accumulating 57% gains since the crop arrival in July. Good cup high rose 63% in the same period, indicated at BRL 1,345 per bag.
Despite high prices, sellers remain on the defensive, worried about Brazil’s 2022 crop and betting on the maintenance of rising prices. So, business remains restricted to isolated lots, with growers preferring to sell weaker descriptions. Rio cup with 20% of defects is indicated at BRL 1,200 a bag in the Matas de Minas region, and conillon type 7/8 in Colatina at BRL 795 a bag.