(ZEROHEDGE) – Futures for robusta, the cheaper coffee bean grown at lower altitudes and requiring less care than more expensive arabica, jumped the most in London on Tuesday since 2011 as concerns increased over shrinking supplies from top grower Vietnam.
Robusta bean prices in London closed up 6.72% on Tuesday, the largest daily increase since April 5, 2011—or more than 13 years ago. The driver has been droughts crushing production in Vietnam. Even though rains have improved the outlook, supply woes linger throughout the year.
Robust demand for the bean and a recent International Coffee Organization report warning about global supply woes have sent bean prices soaring. Since 2020, the bean has jumped 265%.
