LONDON, Sept 8 (Reuters) - Robusta coffee futures on ICE rose to a new four-year high on Wednesday on signs of tightening supplies, while cocoa futures hit a nine-month peak.
COFFEE
- November robusta coffee was up 0.1% at $2,104 a tonne at 1427 GMT, after setting a four-year high of $2,130.
- Dealers cited as supportive factors falling ICE exchange stocks, increased demand from roasters for robusta instead of its pricier arabica counterpart, as well as continued shipping backlogs, including out of top robusta producer Vietnam.
- "For the time being, there is no foreseeable alleviation to the international squeeze on global supply chains," said trader I&M Smith.
- Strict measures to stop the spread of COVID-19 in Vietnam are prompting further supply jitters.
- The International Coffee Organisation said in its July monthly report global production of the bean will likely fall some way below demand in the upcoming season that starts in October, but bumped up its coffee surplus forecast for the current season.
- December arabica coffee rose 0.2% to $1.9430 per lb.
COCOA
- December New York cocoa was flat at $2,704 a tonne, having hit a nine-month high of $2,717.
- December London cocoa rose 0.4% to 1,842 pounds per tonne, after hitting 1,844 pounds, also a nine-month peak.
Cocoa is gaining from the prospect of improved demand in the upcoming 2021/22 season (October/September), coupled with an expected drop in supply that should leave the market more or less balanced.
Dealers cited a lack of hedging pressure in the market, with top producer Ivory Coast having pre-sold much of its cocoa for the 2021/22 season.
SUGAR
- October raw sugar rose 0.6% to 19.60 cents per lb, having hit a two-week low on Tuesday at 19.44.
- Sugar has been trading range bound of late, with lower production from top producer Brazil already priced in.
- October white sugar rose 0.2% to $483.70 a tonne.
(Reporting by Maytaal Angel Editing by Mark Potter and David Evans)