Coffee Supplies Rise While Costs Weather Threaten Gains

Improved coffee output could strengthen the U.S. supply, but input costs and weather risks keep the outlook uncertain.

Mix of coffee beans and coffee tree blossom for background_Photo by nimon_t via AdobeStock_253446717.jpg

The process of coffee production from blossoms to beans.

Photo by nimon_t via Adobe Stock

NASHVILLE, TENN. (RFD NEWS) — U.S. coffee buyers may see improved supply from Colombia and Costa Rica next season, but USDA forecasts show weather and input costs still threaten recovery. The United States remains the leading export market for both countries.

USDA’s Foreign Agricultural Service projects Colombia’s 2026/27 production at 13.4 million 60-kilogram bags, up 7.2 percent after excessive rain cut the current crop. Exports are also forecast at 13.4 million bags.

Costa Rica’s production is forecast to rise 3.5 percent to 1.2 million bags, while exports reach 1.06 million bags. The United States accounts for more than 40 percent of Colombian exports and nearly 40 percent of Costa Rican shipments.

Growers still face pressure. Colombia reports falling coffee prices alongside rising fertilizer and labor costs. Costa Rica faces higher fertilizer and fuel costs, a strong local currency that reduces growers’ returns, and possible El Niño-related dryness.

Despite larger crops, ending stocks are forecast to be lower in both countries, leaving limited protection against harvest disruptions.

Farm-Level Takeaway: Improved coffee output could strengthen the U.S. supply, but input costs and weather risks keep the outlook uncertain.
Tony St. James, RFD News Markets Specialist
Related Stories
A new National Corn Growers study says U.S. grain producers pay significantly more than farmers in Brazil for seed and crop protection, as farmers also face fuel uncertainty and tight cattle supplies.
Markets await USDA’s July WASDE report as analysts monitor global corn production, China’s soybean demand, weather, and shifting trade dynamics.
The United Soybean Board says innovation across a range of product development sectors continues to drive demand for soybean oil — from asphalt and sneakers to asphalt and animal feed.
Limited grass and surface water are forcing ranchers to make difficult management decisions.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

USDA’s July WASDE report projects the smallest U.S. wheat crop since 1970, tighter corn stocks, stronger soybean exports, larger cotton supplies, and higher cattle prices.
Attention now shifts toward the annual 25 million metric ton benchmark, equal to about 919 million bushels, for 2026 through 2028.
USDA adjusted accumulated beef exports down by nearly 114,000 metric tons, stating those exports were reported in error.
New revenue protection coverage will be available in select counties across 12 states beginning with the 2027 crop year.
Dry conditions, tight cattle supplies and border challenges continue to shape the outlook for the U.S. beef industry.
A new CoBank report says higher food prices continue influencing consumer spending and the broader agricultural economy.