🎄 Welcome to the December Edition of our Coffee Newsletter! ☕️

As the year draws to a close, we are brewing up the last batch of exciting updates just for you. This month we dive into some news about the coffee market, exciting arrivals from Ethiopia, and some overall office updates.

We hope the rest of the year goes smoothly for all, and everyone enjoys a much-needed break spent with friends and family.

CHRISTMAS / NEW YEAR CLOSURES

As we are fast approaching the end of the 2023 calendar year, we would like to take the opportunity to advise you on a couple of subject matters that we know will be important to you:

1. Last despatch date to receive your order prior to Christmas:

• WA, FNQ, & TAS Customers:          4^th December 2023
• QLD, NSW, & SA Customers:          11^th December 2023
• Regional Vic Customers:                   11^th December 2023
• Melbourne/Metro:                             18^th December 2023

*Please note: Your order must be processed by our office no later than 12.30pm the previous business day to be despatched.
 

2. The Bennetts office and warehouse will be closed on the public holiday days of Monday 25^th and Tuesday 26^th December 2023. Our office will reopen on Wednesday 27^th December 2023 until Friday 29^th December 2023. 
 

 3. The Bennetts office and warehouse will be closed on Monday 1^st January 2024 and will reopen for normal trading as of Tuesday 2^nd January 2024, thereafter product despatches will be processed as per normal from 3^rd January 2024.  
 

Please do not hesitate to contact your Bennetts Account Manager directly or our office if you have any questions and/or require any additional information.

NEW ARRIVALS

Embark on an Ethiopian coffee adventure with our latest arrivals, with each coffee providing a unique profile and sensory experience.

Ethiopia Yirgacheffe Halo Gr1 Washed:
From the Gedeb region, the Halo washing station meticulously crafts a rich, full-bodied coffee with distinctive flavours reflecting the terroir of its high-altitude farms. Dark plum, blackcurrant and tropical fruits throughout the cup. A crisp acidity and full creamy body carry through to a toffee, malt, and spice finish.

Ethiopia West Arsi Refisa Gr1 Washed:
Sourced from the enchanting Nensebo region, this coffee boasts a meticulous journey, resulting in excellence that captures the essence of the area. Delicate notes of passionfruit and stone fruit progress into a medium to full body. Crisp lemon and stone fruit acidity lingers in the finish.

Ethiopia Sidamo Bona Gr1 Natural:
With its mix of semi-forest and garden-grown beans, the Bensa region yields a diverse flavour profile, showcasing the quality nurtured in the rich, fertile red soil. The coffee cups with notes of boozy red wine, plum and peach, with a full coating body and passionfruit acidity.

Ethiopia Yirgacheffe Danche Gr1 Natural:
Crafted with precision at the Danche washing station, this exceptional coffee promises a memorable cup, thanks to its prime location and processing techniques. Rich milk chocolate, and malt notes throughout, carry a stone fruit and orange acidity. Creamy hazelnut and peanuts in the finish.

Some of the team from Bennetts will be catching up with Tropiq, our wonderful supplier of these coffees, in the coming weeks. We cannot wait to bring you exciting news and developments from these washing stations and farms. Be sure to keep an eye out on our socials for further updates!

If you would like to learn more or enquire about purchasing these coffees, please contact your Bennetts Account Manager!

MARKET REPORT

NY C movements and the Brazilian Impact

The NY C opened November at 163.75 c/lb and the same day it dipped to the monthly low of 157.90 c/lb. Since then, it has been riding a technical wave of upward pressure. Supporting prices, is the shrinking certified inventory levels and a strong Brazilian Real, which is discouraging producers and exporters selling out of Brazil. Reuters reported at the end of November that a forecast for the Brazilian 2024/25 crop could bring their biggest ever season at around 74 million bags. As Sinatra sang, “they’ve got an awful lot of coffee in Brazil.” This is the sort of news that usually brings the NY C market down, but not this time round, prices are remaining firm for the time being. Some countries have seen their diffs drop as a result to try and push business with an attractive C price.

The final day was impressive, with a 12 c/lb rally. Jumps of this much in one day are a fairly rare occurrence. It closed out the month at 184.70 c/lb, surpassing the Fairtrade minimum price. This jump was due to the fact that it was the last day before the new certified inventory rule kicks in, which means that market players will not be able to draw down coffee from the warehouses and resubmit it.

The Robusta market in London watched the New York market and danced in step. The monthly high of 2,6123 US$/MT on the 30^th November. A level that it hasn’t been seen since June. Vietnam is only around 10-20% of the way through its harvest.

Certified Stocks

As of the 29^th of November, there were 259,000 bags sitting in Arabica certified inventory warehouses. 130,000 bags less than last month’s report. Robusta stayed steady at 39,000 MTs.  

Commitment Of Traders Report

The COT released on the 28^th November showed that even with prices so high, it looks like the funds believe there is still room to climb so they increased their net long position to 30,900 lots. Some 18,000 lots from the last report. To counter balance this the commercials have strengthened their overall net short position to -56,934 future lots. A change of 20,000 lots from October’s numbers.

The Wider Macroeconomic Impact

Over the course of November, the US Dollar has been weakening against most of its main currency pairs, as seen by the DXY’s decrease from 107.11 to 102.76. The largest monthly loss in a year. The greenback’s value is deprecating off expectations that the FED have finished their interest rate hikes and may even start to bring the rates back down in the first quarter of 2024. A weak US Dollar is bullish for commodities, as raw materials become cheaper in other currencies. Therefore, demand for them rises and prices head in that upward direction. This is another factor supporting coffee. Many will hope that even with a weakening US dollar, good production and shipments of coffee will drive prices down.

2024 BREWERS CUP QUALIFIERS - UPDATE

During November the 2024 Brewers Cup Qualifiers were held in Sydney, and our very own Harry Ko competed. We are pleased to announce that Harry made it into the Top 12, and will be competing early next year in the next stage of the competition.

Harry worked incredibly hard on his routine and we are very proud of his achievement. We cannot wait to see him compete again soon!

SEASON’S GREETINGS 

Thank you for your continued support throughout 2023. Let’s continue to help nurture an environment that fosters ongoing sustainable relationships in 2024.

The Bennetts team wish you all a safe and happy festive season ahead, and a prosperous New Year.

Happy Roasting,
The Bennetts Team