Coffee

Coffee Trading – all the information you need

Not everyone is aware of the amazing opportunities offered by coffee trading. It is a commodity which stays stable under most conditions. Our advice is to have a balanced portfolio, combining many currencies and commodities, as you will hence lower your risk.

Curious elements of the coffee market

This market is chiefly supplied from Colombia, Indonesia, Vietnam and Brazil. Brazil is the main supplier, producing double amounts, in comparison to Vietnam (second largest supplier). At the same time Vietnam production is cheaper. Hence, the competition in this market is of a curious nature.

Parameters important for coffee trading prices

What could you gain through coffee trading?

The coffee market is steady. The demand Is constantly high. It is moved by the increasing number of countries growing Robusta, and the balance of quality vs cost is constantly changing. An additional premium niche is evolving due to the rise in appeal of ‘fair trade’ coffee. This is why the coffee market may sometimes be unpredictable. At the same time it has high revenue potential. Demand is rising, supply is becoming more complicated. At the same time ‘green’ consumerism is increasing, and customers eagerly spend high amounts of money on green goods This is not a phenomenon that could be predicted. This is why the coffee market is constantly evolving. A trader could increase their revenues if they use the correct approaches.

This is why the coffee market offers a curious and exciting opportunity for trading, not only for the experienced, but also for beginners. In any case – a smart trader should not shy away from portfolio diversification approaches.

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