Ethiopia’s arabica coffee export earnings are forecast to climb 25 percent to about $900 million in 2014-15 because of higher prices after a drought damaged plants in the biggest grower of the bean, Brazil, an industry group said.
Arabica prices on the Ethiopia Commodity Exchange could average $2 a pound if supplies of the crop in the world market are tight, Ethiopian Coffee Exportersâ Association General Manager Alemseged Assefa said in the capital, Addis Ababa. Ethiopia is Africa’s biggest producer of the crop and the origin of the arabica plant.
“Prices are favorable this year because of the Brazilian coffee drought,” Alemseged said in an interview on Aug. 18. “We presume that price will continue because of the drought.”
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