New Robusta Harvest in Indonesia’s Sumatra Seen Boosting Exports

Rabu, 23 Mei 2012 | 15:26

Coffee-bean shipments are poised to jump 173% in May from a month earlier as arrivals surge from a new harvest in Indonesia’s southern Sumatra, the main growing area in the world’s third-largest robusta producer.Supplies from Lampung, Bengkulu and South Sumatra, mainly growers of the variety used in espressos and instant drinks, may reach 27,000 metric tons this month, Sumita, head of the Lampung branch of the Association of Indonesian Coffee Exporters and Industries, said yesterday. Shipments were 9,898 tons in April, according to Lampung’s Trade and Industry Office.

“Arrivals from plantations are increasing and will continue to rise when the harvest reaches its peak in early July,” Sumita, who uses only one name, said in an interview.

The country may harvest 10 million to 11 million bags of coffee in the 2012-2013 season starting April, up from 7 million to 8 million bags a year earlier, the Indonesian Coffee and Cocoa Research Institute estimated on March 7. Production will rise because the weather was favorable during flowering, the institute said. A bag usually weighs 60 kilograms (132 pounds).

July-delivery robusta futures gained 1.9% to US$2,203 a ton on NYSE Liffe in London yesterday, with the most active contract up 22% this year.

Output may increase from an average 200 kilograms per hectare (2.47 acres) at the end of this month to between 1.5 tons and 2 tons per hectare in July, said Sunyoto, a coffee farmer in West Lampung, who uses only one name.

Lampung, Bengkulu and South Sumatra represent 75% of supplies from Indonesia, which ranks third behind Vietnam and Brazil. (Bloomberg/aph)

By Newswire