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Colombia's coffee production for the 2024/25 marketing year is projected to rise by 1.1% to 12.9 million bags (green bean equivalent) due to favorable weather and advanced agronomic practices. Exports are expected to reach 12 million bags, with the U.S. maintaining its position as the primary market while China shows rapid growth as a significant importer. Domestic consumption is estimated at 2.3 million bags, reflecting modest economic recovery. While global coffee prices and exchange rates positively impact Colombian producers, sustainability initiatives and specialty coffee premiums drive profitability. Challenges include climate unpredictability and adherence to stricter EU traceability standards starting in 2025.

Key Highlights

# Colombian coffee production forecast for 2024/25 stands at 12.9 million bags.

# Exports remain strong at 12 million bags, with China as a growing importer.

# Specialty coffee earns over 40% premium for producers due to quality certifications.

# Domestic consumption estimated at 2.3 million bags amid economic improvements.

# Producers face climate risks and new EU import traceability standards.

Colombian coffee production for the 2024/25 marketing year is estimated at 12.9 million bags, reflecting a 1.1% increase from the previous year. Favorable weather conditions and the adoption of advanced agronomic practices have improved yields and quality. Domestic prices have surged, influenced by global market trends and the depreciation of the Colombian peso. Specialty coffee continues to command a premium, with 40% of production certified as high-grade.

Recent gains in international coffee prices and local currency depreciation have benefitted Colombian producers. Investments in sustainable practices and certifications further bolster profitability. Fedecafe’s innovative logistics model allows freshly roasted coffee to reach U.S. consumers in just 72 hours, expanding access to international markets and driving premium pricing.

China has emerged as a significant market, with exports rising 246% year-on-year, now accounting for 7% of Colombia's coffee exports. Meanwhile, the EU’s stricter import standards, effective January 2025, are prompting Colombia to diversify export markets to mitigate potential trade risks. Domestic consumption, driven by rising interest in specialty coffee, is projected at 2.3 million bags.

Finally

Colombia's coffee sector continues its growth trajectory, driven by strong exports, sustainability initiatives, and premium pricing. Addressing climate risks and new regulatory challenges will be key to maintaining its competitive edge.

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