In 2022, Latin America and the Caribbean accounted for nearly 60 percent of worldwide coffee production, with South America consistently being the
. But with the challenges brought by climate change and inflation, how long can supply keep up with demand?
Brazil and Colombia: leaders in the region and the world
Brazil is by far the largest global producer of coffee worldwide, and throughout the years, its
coffee production has remained relatively stable. Despite the biennial effect in harvest, in which production yields are very high one year and comparably low the following, the country's output has consistently remained above 40 million 60-kilogram bags per year since the beginning of the decade. Brazil is also the
largest coffee exporter in the world, with an export value of over seven billion U.S. dollars in 2023.
Colombia is famous for its mild and balanced coffee. It is the third-largest coffee producer worldwide and the
second-largest in Latin America and, although
exports have declined in recent years due to different factors, it is still one of the largest exporters in Latin America.
Central America: The Bean Belt
In the world of coffee, Central America is often referred to as the “Bean Belt” due to its coffee-friendly climate and the variety of profiles and flavors of the beans produced there. Honduras is the third largest producer in the whole of Latin America, having
produced around 5.5 million 60-kilogram bags of arabica coffee beans in 2022, and it is the
leading producer in Central America. It is followed by Guatemala and Nicaragua.
Looking towards the future
In recent years, the coffee industry in Latin America and the Caribbean, like other areas related to agriculture, has been directly impacted by climate change. While Brazil had lower rainfall and a longer dry spell than usual, Colombia experienced more rain than in previous years, causing
production to decrease in coffee years 2021/22 and 2022/23. Other factors, such as increased
global consumption and
regional consumption, as well as food inflation, pushed the value, particularly when it came to exports. Productivity has bounced back in the coffee year 2022/23 and is forecast to increase in countries like Brazil, but extreme weather conditions are likely to continue affecting coffee production in the entire region.
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