Indonesia: Lower coffee production forecast due to El Niño

August 17, 2023 | 09:58

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Drought caused by El Niño is likely to further reduce the coffee production of Indonesia after excessive rains dragged down output to its lowest in more than a decade, driving global prices to all-time highs.

Robusta coffee roasted using traditional methods in Krueng Barona Jaya, Aceh province, Indonesia. (Photo: AFP/VNA)

Jakarta - Drought caused by El Niño is likely to further reduce the coffee production of Indonesia after excessive rains dragged down output to its lowest in more than a decade, driving global prices to all-time highs.

Lower coffee output in the world’s fourth largest grower, which mainly produces robusta beans, could lead to more gains in prices, which have climbed over 40% in 2023 and hit a record high in June.

The country’s weather agency BMKG said the weather phenomenon, which typically brings prolonged hot and dry weather, is already affecting more than two-thirds of the nation, including Java and parts of Sumatra, two key coffee producing areas.

In 2023/24, Indonesia’s coffee output is forecast at 9.7 million 60-kg bags, down from 11.85 million bags a year ago and lowest since 2011/12, according to the US Department of Agriculture data.

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By VNA

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