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
Weak crop margins and tariff uncertainty are delaying machinery purchases and signaling slower capital investment across U.S. agriculture.
Cuban economic reforms could open up nearby export demand, but policy execution remains the key uncertainty.
Bipartisan momentum builds, but final farm policy remains unsettled.
Valley Irrigation’s Darren Siekman explains the advantages of their new pivots for growers managing acreages of up to 60 acres.

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:

Strong rail demand and higher fuel costs raise transportation risk even as barge and export flows stabilize.
Record milk output looks strong today, but shrinking replacement numbers mean future supply adjustments could be faster and more volatile.
Often overlooked, cotton wholesalers act as stabilizers during market stress, translating fragmented retail demand into workable production programs for mills and manufacturers.
Strong blending demand continues to support ethanol use even as production and exports fluctuate.
Farm CPA Paul Neiffer helps producers navigate farm program payments and understand the key details farmers need to know.
Early indications suggest the U.S. cattle industry may be nearing the end of its liquidation phase. Oklahoma State University livestock economist Dr. Derrell Peel says the industry could be at or near the cyclical low.