báo cafe—Colombia’s domestic coffee price has fallen to its lowest level in nearly two years, reflecting a combination of global market dynamics and currency headwinds that are weighing heavily on producers.
According to the Federación Nacional de Cafeteros, the internal reference price dropped to COP 2.058 million (approximately COP 2.05 million) per 125-kg load of dry parchment coffee. This marks the weakest level in 17 months, with a comparable price last recorded on September 5, 2024, when it stood at COP 2.016 million.
Benchmark Driven by New York “C” Contract
Colombia’s internal coffee price is calculated based on the closing price of the “C” contract on the New York Stock Exchange, combined with the differential (premium) for Colombian coffee.
Most recently, the “C” contract settled at US$2.78 per pound. While this remains historically firm, currency movements have significantly altered the peso-denominated returns for growers.
Premiums for Colombian coffee continue to provide some buffer, and additional bonuses are available for specialty-grade lots meeting higher quality standards. However, for mainstream producers, the exchange rate has become the dominant variable affecting farmgate income.
Quality Factor and Payment Structure
Official pricing tables show variations depending on the yield factor (Factor de Rendimiento, FR):
FR 94:
Excelso component: ~COP 1,976,400
Pasilla component: ~COP 81,600
Total per load: ~COP 2.05 million
FR 88:
Payment exceeds COP 2.13 million
FR 100:
Payment falls below COP 2 million (around COP 1,985,875)
Lower FR values (indicating better yield efficiency) generally translate into higher effective payments, reinforcing the importance of post-harvest handling and bean quality management.
Regional Pricing Trends
Across Colombia, Almacafé branches are reporting relatively uniform prices, with values hovering around COP 2.05 million per load in key coffee cities such as Armenia, Manizales, Pereira, Bogotá, and Medellín.
Cúcuta registered the lowest reported price at COP 2,056,375 per load, though regional spreads remain narrow.
Brazil Output and Weather Add Supply Pressure
International fundamentals are also shifting. Increased production in Brazil — the world’s largest coffee producer — combined with rainfall patterns at the end of last year and early this year, has contributed to softer market sentiment.
Although Colombia primarily produces washed Arabica, it remains exposed to global Arabica supply cycles, particularly from Brazil’s larger-scale harvests.
Currency Revaluation: The Key Pain Point
According to Germán Bahamón, general manager of the Federación Nacional de Cafeteros, the strongest downward pressure on internal prices is coming from the sharp appreciation of the Colombian peso.
The peso’s revaluation has effectively reduced grower income by more than COP 500,000 per load compared to last year’s exchange rate levels. Even when international prices remain relatively stable, currency strength erodes farmgate returns in export-driven markets like Colombia.
Outlook: Volatility Ahead
The current scenario illustrates the structural vulnerability of coffee-producing countries to:
Global futures market movements
Exchange rate fluctuations
Climatic variability
Competing supply cycles from Brazil and other origins
While specialty premiums and quality incentives offer some mitigation, mainstream producers remain highly sensitive to macroeconomic variables beyond their control.
For Colombia’s coffee sector, the coming months will likely hinge on three key variables: Brazil’s confirmed harvest size, currency direction, and the trajectory of the New York “C” contract.
Until then, internal prices may remain under pressure — despite still-elevated global benchmark levels by historical standards.
