SOFTS-Robusta coffee hits fresh 4-month low, cocoa recovers

LONDON, Dec 16 (Reuters) - Robusta coffee futures on the ICE exchange fell to a fresh four-month low on Tuesday with the harvest in top producer Vietnam progressing apace and exports from Brazil picking up following the Trump tariff reversal. Meanwhile, cocoa prices recovered from Monday’s slide. COFFEE Robusta coffee (LRCc2) fell 1.9% to $3,850 a metric ton at 1311 GMT, having hit its lowest since mid-August at $3,832. Arabica coffee (KCc2) fell 1.4% to $3.5535 per lb, having hit its lowest since Nov 21 at $3.5445. Sales of Brazil’s 2025⁄26 coffee crop had reached 69% of the expected output by December 10, consultancy Safras & Mercado said, up just 7 percentage points from the previous month as U.S. buying picks up slowly. Brazil’s coffee exports in early December fell just 5.1% from a year earlier after the U.S. removed tariffs on coffee, a smaller decline when compared to the previous month’s 25.6% fall when tariffs were still in effect, government data showed. “We project (coffee) prices reaching $3.60/lb in 3 months. While inventories have been declining, removal of the US tariffs on coffee from Brazil and Vietnam would ease the market significantly,” said Citi in a note. The bank added that the postponement of the EU’s anti-deforestation law (EUDR) for another year, a relatively good Brazil crop and a bumper Vietnamese crop should also pressure prices. COCOA New York cocoa (CCc1) rose 1.1% to $5,940 a metric ton, recovering after Monday’s 5.6% slide. London cocoa (LCCc1) rose 2% to 4,319 pounds a ton, having closed down closed down 7% on Monday. After scaling five-week highs last week, dealers said cocoa is coming under pressure thanks to improved arrivals at ports in top grower Ivory Coast and in No. 3 grower Ecuador. Broker StoneX cited data showing Ecuador’s November cocoa bean and product exports totalled a record 76,523 tons. SUGAR Raw sugar (SBc1) rose 0.3% to 14.99 cents/lb, after closing down 1% on Monday. France’s farm ministry pegged sugar beet output for 2025 at 35.55 million tons, up from its November forecast of 33.75 million and 9.1% higher than last year’s output. Dealers said raw sugar remains at risk of a short covering rally because of the large speculative net short position, however, demand due to weight loss drugs and benign weather in Brazil will limit any upside potential. White sugar (LSUc1) rose 0.3% to $427.70 a ton.