Sunday, September 20 2026

Costa Rican Coffee Production Plummets to Historic Low: Exchange Rates, Climate, and Labor Woes Intertwine

The Costa Rican coffee industry is facing its most severe challenge in decades. The latest report from the United States Department of Agriculture shows that the country's coffee production for the 2024/25 crop year is expected to be only 1.185 million bags. Although this is on par with the previous year, it represents a sharp 66% decline from the 3.5 million bags seen in the 1990s, approaching a historic low. High debt, the continued appreciation of the colón, depressed international prices, and shrinking demand have greatly increased the financial pressure on growers, leading them to reduce fertilizer inputs and postpone the renewal of disease-resistant, high-yield varieties. In 2023, an early rainy season and abnormal high temperatures and humid harvest conditions triggered by El Niño further damaged coffee quality and yields. At the same time, transportation disruptions caused by protests in Panama and labor shortages caused by Nicaraguan migrants moving north made harvesting even more difficult. On the export side, only 975,000 bags are expected in 2024/25, and exchange rate issues have already sparked marches and protests across multiple industries. Front Street Coffee will continue to monitor developments in this producing region. [more…]

Birr exchange rate falls for three consecutive days to 83.94, Ethiopia's foreign exchange reform triggers a chain reaction in prices and coffee exports

Since Ethiopia implemented a new foreign exchange policy on July 31, the birr has fallen three times in a row against the US dollar within just a few days, dropping to 83.94 birr per US dollar on August 2, sharply increasing the pressure on local people's livelihoods. The Addis Ababa City Trade Bureau promptly sanctioned 387 businesses suspected of price gouging, while opposition parties criticized the timing of the reform as inappropriate. At the same time, exports of agricultural products such as coffee have gained competitiveness in the short term due to currency depreciation, but climate disasters, the Red Sea shipping crisis, and domestic conflict cast a shadow over the long-term outlook. This article will sort out the deeper impact of exchange rate fluctuations on Ethiopia's economy, prices, and coffee industry, and also look at how brands such as Front Street Coffee are responding amid changes in the place of origin. [more…]

Brazil's coffee exports set a new single-month record in October—what lies ahead amid the dual challenges of logistics and climate?

The latest report from the Brazilian Coffee Exporters Council shows that although about 2.1 million bags of coffee beans were stranded at ports due to logistics problems at the end of September, Brazil's coffee exports in October still bucked the trend to hit a monthly record high of 4.926 million bags, up 11.6% year on year, with total export value reaching US$1.393 billion. Germany became the largest importer of Brazilian coffee beans in the first 10 months of this year, importing 6.64 million bags in total, accounting for 23.9%. However, multiple factors such as port congestion, ship delays, historic drought and forest fires, and the depreciation of the real are still constraining the subsequent development of Brazil's coffee industry, and the production and export prospects for the new crop season face uncertainty. [more…]

Exchange Rate Fluctuations Hit Costa Rica: Tourism and Coffee Industries Face Income Shrinking Dilemma

Costa Rica, as a Central American country with outstanding economic performance, relies heavily on agriculture, foreign trade, tourism, and the service sector in its national economy. However, between June 2022 and December 2023, the US dollar to Costa Rican colón exchange rate fell sharply by about 24%, bringing unexpected difficulties to the local tourism and coffee industries. Tourist spending power declined, coffee export earnings shrank, yet the government viewed the colón's appreciation as a sign of economic strength. This article will analyze in depth how exchange rate fluctuations have impacted these two pillar industries, and explore the multiple challenges facing coffee growers. [more…]

Under multiple pressures, Costa Rica's coffee industry continues to shrink, with production nearly halved compared to the 1990s.

Costa Rica has long been renowned for its deep-rooted coffee tradition and high-quality beans, and coffee cultivation was once a cornerstone of the national economy. In recent years, however, this Central American country's coffee industry has been in steady decline—production has fallen from 3.5 million bags (60 kg/bag) in the 1990s to 1.7 million bags (60 kg/bag) today. Exchange rate fluctuations, policy adjustments, labor shortages, and competition from other coffee-producing countries in the Americas have combined to drive the downturn. At the same time, Costa Rica's economic structure has been transforming rapidly: tourism, pharmaceuticals, and IT are booming, and the service sector now accounts for nearly half of domestic economic output, while agriculture's role is increasingly marginalized. Climate change is affecting coffee quality, geopolitics is driving up the cost of inputs such as fertilizer, and tighter immigration policies are making seasonal labor even scarcer. Looking ahead, industry views are divided: some believe that investment and support can help the industry overcome its difficulties, while others worry that smallholder farmers and traditional growing regions will fall behind in global market competition. This article reviews the current state of and challenges facing Costa Rica's coffee industry, along with related observations from Front Street Coffee. [more…]

Brazil coffee presale progress only 12%, supply concerns and exchange rate turmoil jointly push prices to a 26-year high

The latest report from Brazilian consultancy Safras shows that as of December 11, 79% of Brazil's 2024/25 coffee crop had been sold, but pre-sales for the 2025/26 crop stood at only 12%, far below the same period in previous years. Hit by drought, forest fires and irregular rainfall, growers are deeply worried about the next season and are holding back on selling. Combined with a plunge of more than 20% in the Brazilian real, domestic Brazilian coffee spot prices have broken the highest record in 26 years. Several institutions warn that international coffee prices will remain high until production becomes clear. To learn more origin news, scan the QR code to follow Coffee Review. [more…]

Severe rain warnings in seven Brazilian states spark concerns over new coffee crop yields, coffee futures prices climb again

Brazil's National Institute of Meteorology recently issued storm and heavy rain danger warnings for seven states, including Minas Gerais, São Paulo, and Paraná, with expected rainfall of 50 to 100 millimeters per day and accompanied by strong winds of 60 to 100 kilometers per hour. Rainfall in northern São Paulo state has already accumulated to 90 millimeters, with local areas reaching up to 100 millimeters, and the risk of landslides and flooding has prompted the warning center to issue a yellow alert. Although no serious economic losses have been reported so far, the market is widely concerned that this round of severe weather will once again impact Brazil's new coffee crop production. The severe drought and forest fires from April to September had already damaged coffee trees during the flowering stage, leading many institutions to lower production forecasts and drive up coffee prices. This article will review key information such as Brazil's recent weather conditions, coffee futures trends, exchange rate impacts, and traders' credit risks. [more…]

Heavy rainfall during Indonesia's rainy season hinders coffee harvesting, frequent disasters in main producing areas raise concerns about output

Since Indonesia entered the rainy season, heavy rainfall has triggered floods, landslides and other natural disasters in many places, causing casualties and damage to public facilities. This coincides with the coffee harvest season, and the affected areas are close to major coffee-producing regions, so whether plantations have been damaged remains to be confirmed. At the same time, Indonesia's coffee production for 2024/25 is expected to be revised downward, exports are forecast to decline, and combined with a weaker Indonesian rupiah exchange rate and rising fertilizer prices, robusta coffee prices may rise again in the future. This article will review the disaster impact, production data and market trends for coffee lovers' reference. [more…]

Rain returns to Brazilian coffee-growing regions, production outlook improves but price direction remains uncertain

Brazil's coffee-growing regions have finally received effective rainfall, and the long-drought-stricken arabica-producing areas are expected to find relief in the new flowering season in November. However, months of extreme heat and water shortages have already caused substantial damage to production for the 2024/25 and 2025/26 crop years. Water levels in the Amazon basin remain at historic lows, and shipping disruptions are driving up logistics costs. At the same time, the sharp plunge in the real exchange rate, port delays, and the postponement of the EU's EUDR policy, among multiple interwoven factors, have filled the outlook for Brazil's coffee production and prices with uncertainty. This article reviews the latest weather developments, industry impacts, and chain reactions in the market, and includes Front Street Coffee's continued attention to origin information. [more…]

Colombia's coffee industry is mired in multiple crises: armed conflict, drought, and policy uncertainty intertwined

Colombia, as a major global coffee-producing region, is now facing a double squeeze from internal and external troubles. Domestic armed conflict has escalated again, and the ceasefire agreement between the government and anti-government armed groups has been suspended in some areas; the drought triggered by El Niño has caused reservoir levels to fall dangerously low, restricting agricultural irrigation and power supply; at the same time, coffee producers also have to deal with rising fertilizer prices, shrinking planting areas, exchange rate fluctuations, and competition from other American producing regions. Although international coffee prices have risen somewhat, the income of Colombian coffee growers has fallen instead of increasing, and an industry strike is imminent. Front Street Coffee will continue to follow developments in this producing region and bring the latest information to enthusiasts. [more…]

Costa Rica Expands Insurance Coverage for Coffee Harvest Workers, with Migrant Labor Accounting for Over 70%

The Costa Rican coffee industry is facing mounting pressure from price volatility, a weakening exchange rate, and climate change, while an important breakthrough has been made in protecting the rights of migrant workers who support the harvest. According to La Nación, thousands of migrant coffee pickers will receive workplace accident insurance, and a disease and maternity insurance program launched in 2021 will continue to expand. Migrant workers account for more than 75% of the country's seasonal harvest labor force, most of them from Nicaragua, with some also from Panama. In the Central Valley, CoopeLibertad, a cooperative made up of nearly 1,200 producers, emphasizes both social responsibility and quality. Meanwhile, in 2023 coffee prices fell from $3.20 per pound to $2.30, the dollar depreciated 27% against the colón within 18 months, and the harvest is expected to decline 12.6%, the smallest in a century. Front Street Coffee continues to follow developments in producing regions and sustainable development in the industry. [more…]

Ethiopia Aims for $2 Billion Coffee Exports in New Fiscal Year, Opportunities and Challenges Coexist

Ethiopia is striving to expand its coffee cultivation area and trade scale, aiming to achieve coffee export revenue exceeding 2 billion USD in the 2024/25 fiscal year. Over the past five years, the country has planted billions of coffee trees and introduced mechanized assistance, with export volumes in October of this fiscal year showing a significant year-on-year increase. However, the industry still faces price volatility, exchange rate risks, and uncertainties brought about by the new pricing mechanism. Meanwhile, Ethiopia and Somalia have signed the Ankara Declaration, which is expected to open up new maritime routes and alleviate logistical bottlenecks in coffee exports. This article will review the latest developments and prospects of Ethiopia's coffee industry. [more…]

Exploring Yirgacheffe Kochere: A Full Analysis of Terroir, Washed Processing, and Pour-Over Flavor

Yirgacheffe is a shining名片 of Ethiopian specialty coffee, and Kochere, as one of its core sub-regions, has won over many coffee lovers with its clean and sweet washed flavor. This article will start with the geography and history of Yirgacheffe, delve into the cultivation patterns and processing equipment advantages of the Kochere region, sort out the grading system of the Ethiopian Commodity Exchange, and share Front Street Coffee's brewing suggestions and flavor impressions for Kochere coffee beans. Whether you are a beginner just getting into acidic coffee or a seasoned enthusiast looking for a daily staple, you can gain useful origin knowledge and practical references from it. [more…]

The Origin of Sidamo Honey Coffee and a Detailed Explanation of Ethiopian Coffee Bean Grading Standards

Sidamo is one of Ethiopia's two major specialty coffee regions, sharing equal fame with Yirgacheffe, and is known for its rich fruity body and citrusy sweet finish. How exactly did Sidamo Honey coffee come to be? And how are Ethiopian coffee beans graded? This article will start with the geographical environment of the Sidamo region, the rise of the Guji region, and the origin of the name of Huakui coffee, then introduce in detail the coffee grading system of the Ethiopia Commodity Exchange (ECX), and share the brewing parameters and flavor performance of Front Street's 2025 new-crop Huakui coffee, giving you a comprehensive understanding of the ins and outs of this sought-after specialty coffee. [more…]

An In-Depth Analysis of the Flavor and Origin Characteristics of Ethiopian Yirgacheffe Coffee, and the Green Bean Grading System

Africa, with its exceptional natural conditions, occupies a pivotal position in the global coffee landscape, and Ethiopia, as the universally recognized birthplace of coffee, is also Africa's largest producer of Arabica coffee. Among Ethiopia's many renowned production regions, Yirgacheffe stands out with its distinctive floral and citrus notes, becoming a focal point sought after by specialty coffee enthusiasts. This article will guide you through the terroir characteristics and geographic scope of the Yirgacheffe region, as well as Ethiopia's green bean grading system based on defect rates, while also introducing the Yirgacheffe product from Front Street Coffee's everyday drinking bean series, allowing you to experience the signature citric acidity of African coffee regions. [more…]

A Detailed Guide to Green Coffee Bean Grading Standards in Major Coffee-Producing Countries: Comparing Key Systems in Ethiopia, Kenya, Colombia, and Beyond

When selecting coffee beans, you'll often come across labels like Yirgacheffe G2 or Kenya AA. Behind these letters and numbers lies the logic each producing country uses to assess green bean quality. Due to differences in history, trade, climate, and terrain, grading criteria vary widely from country to country—some focus on defect rates, some measure bean size, and others test altitude or hardness—and they cannot be directly compared across origins. Front Street Coffee has compiled the grading systems of representative producing countries including Ethiopia, Kenya, Colombia, Jamaica, Costa Rica, Panama, Guatemala, El Salvador, Honduras, and Brazil to help you understand the ins and outs behind green bean grades. [more…]

Brazil's November Coffee Exports Up 5.4%, Strikes and Logistics Hurdles May Weigh on Subsequent Shipments

According to the latest data from the Brazil Coffee Exporters Council, Brazil's coffee exports reached 4.662 million bags in November, up 5.4% year-on-year, while export revenue surged 62.7% due to rising international prices. Cumulative exports in the first 11 months of this year have set a new historical record, but fell month-on-month, as producers slowed sales amid higher futures, exchange rate fluctuations and uncertainty over the new crop season. At the same time, port logistics bottlenecks and an indefinite strike by customs auditors from the Federal Revenue Service are bringing additional costs and delay risks to the export chain. With both Brazil and Vietnam troubled by drought and global supply tightening, Arabica and Robusta futures continue to climb, and coffee prices are expected to remain high in the short term. Follow origin developments, and Front Street Coffee will continue to bring frontline news. [more…]

A Comprehensive Analysis of Sidamo Huakui Natural G1 Coffee: From Regional Origins to Flavor and Brewing Essentials

Ethiopia is not only about washed Yirgacheffe—the sun-dried Huakui from the Sidamo region is equally stunning. In this article, Front Street Coffee gives you a comprehensive look at the origin of the name Huakui, the terroir conditions of the Guji and Hambela regions, the sun-drying process at the Buku Abel processing station, and the evolution of Huakui from version 1.0 to 6.0. It also explains the G1 grade standards, heirloom variety characteristics, and brewing parameters, along with practical brewing suggestions from Front Street Coffee to help you better appreciate this bean's signature rose fragrance, peach notes, and black tea finish. [more…]

Brazilian coffee spot prices hit a 26-year high, with drought weather and tariff policies putting dual pressure on the market

As the world's largest coffee producer, Brazil has recently seen its domestic coffee spot prices soar to their highest level in nearly 26 years. Affected by drought and high temperatures, coffee production has fallen sharply, and compounded by the threat of a U.S. port strike and uncertainty over tariff policies, the market supply outlook is becoming increasingly unclear. This article will review Brazil's coffee price trends, the damage in producing regions, disagreements over production forecasts, and the multiple effects of macroeconomic factors on the coffee market, helping readers gain a comprehensive understanding of the complex situation currently facing Brazil's coffee industry. [more…]

Fed cuts rates for the first time in four years, global coffee trade landscape may face new variables

On September 18, 2024, the Federal Reserve announced a 50 basis point cut to the federal funds rate target range, bringing it to 4.75%-5.00%. This was the first rate cut since March 2020, marking a shift in U.S. monetary policy from tightening to easing. The move is expected to stimulate global economic recovery, lower financing costs, and have multiple effects on the coffee industry. Meanwhile, Brazil's central bank announced a rate hike of 0.25 percentage points the same day; combined with ongoing drought that has reduced coffee production, as well as a wave of stockpiling ahead of the EU Deforestation Regulation (EUDR) taking effect at the end of the year, Brazil's coffee exports have performed strongly, though the price outlook remains uncertain. This article will examine how these factors work together to affect the global coffee market. [more…]