Coffee prices today are climbing, with arabica posting a 1-1/2 week high and robusta posting a 1-month high. Coffee prices are rallying on concern that drier-than-normal conditions could adversely affect Brazil’s and Vietnam’s coffee crops. Somar Meteorologia reported today that Brazil’s Minas Gerais region received 1.3 mm of rain last week, or only 24% of the historical average. Minas Gerais accounts for about 30% of Brazil’s arabica crop. Also, the National Oceanic and Atmospheric Administration (NOAA) said that despite recent rain, some coffee producers in Central America still face a moisture deficit following a drought at the start of the season.

Robusta coffee prices are underpinned by fears that excessive dryness in Vietnam will damage coffee crops and curb global robusta production.