LONDON (Reuters) by Nigel Hunt – Coffee producers are seeking urgent meetings with major customers such as Nestle, Jacobs Douwe Egberts and Starbucks to find ways to shore up prices that have slid to 12-year lows. The World Coffee Producers’ Forum, whose members account for about 85 percent of global production, held a press conference on Monday after meeting to discuss the price crisis. “It is today a desperate moment for the 25 million coffee growers around the world. It is a crisis beyond imagination,” said Roberto Velez, chief executive officer at the Colombian Coffee Growers Federation. “We need the industry and consumers to realize that this is a situation that cannot be maintained if we want the coffee industry to survive,” he added. Arabica coffee futures fell to a 98.65 cents per lb on Sept. 4, the lowest for the second position contract since July 2006. They continue to hover around that level, dipping to a low of 98.90 cents on Monday. The market has been depressed by a record crop in Brazil this year while speculators have also made a huge bearish bet on the New York-based arabica coffee futures market, adding to the downward pressure on prices. Rene… continue reading
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