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Stock impact report

Why the world's top coffee producer is switching up its beans [Fortune]

StoneX Group Inc. (SNEX) 
Company Research Source: Fortune
But as climate change makes it harder to grow those beans, some farmers are investing in robusta, which produces a more bitter bean but can tolerate higher temperatures and is more resistant to diseases. Brazil's traditional coffee growing regions, which largely produce arabica, have been beset by more intense and frequent droughts , and hotter temperatures. Arabica is still the country's main coffee export, but robusta production is now growing at a faster rate: by over 81% over the past 10 years, according to the United States Department of Agriculture, which tracks global coffee production. For Brazil, robusta provides an opportunity to remain the world's largest coffee supplier in the future even as the effects of climate change intensify, says Fernando Maximiliano, Coffee Market Intelligence Manager at StoneX, a financial services company. “It wasn't necessarily demand that resulted in the growth of robusta production,” he adds. “In reality, climate problems and losses in a Show less Read more
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