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02.02.17 Tags: Arabica coffee, coffee, coffee prices, types of coffee
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Arabica coffee makers Country: factors affecting the world price of coffee

Modern coffee market: factors determining the wholesale price of coffee on the stock exchange

The two main types of coffee on the market today

Coffee is one of the most popular beverages in the world. But almost nobody thinks about its origin and the causes of its constantly jumping price. There are two main types of beans: Arabica coffee and Robusta coffee. Approximate ratio of produced product is as follows: 74% – Arabica, 34% -Robusta and 2% – others less well-known and less popular varieties. The biggest exporters of Arabica beans are Brazil, Colombia and Mexico. Grains Robusta grows in tropical areas of Africa, Vietnam, India and Indonesia. They mature faster and are more resistant to various pests, but this species is considered to be less refined.

Origin of coffee

Origin of coffee determines its taste and value. Knowing the homeland it`s one can characterize its general terms: taste, shape, size of the grains, their extract content and much more. Height of the plantation, climate, altitude, grade of beans affect to all these features.

Homeland of coffee is Ethiopia. There they purify Arabica coffee by dry and wet methods. Wild coffee trees yield a part of the total crop. Top grade coffee in this country has a pronounced floral and grape flavor. This grade can be found only in Ethiopia.

Arabica coffee in Kenya has a rich taste with a sour flavor. They purify it by wet method.

The largest country of origin beans is Brazil. There Arabica is grown mainly. It is purified by dry method. Brazilian coffee has a mild rich flavor. It is the basis for the manufacture of many coffee blends, especially preferred for Espresso.

Arabica purified by dry method in Colombia. Plantations locate at high altitude (2000 m). Colombian coffee has a distinctly smooth taste and aroma.

Mainly Arabica coffee is grown In Guatemala. They use wet method of purification there. Beans grow in the mountainous regions of volcanic origin. They differ by rich flavor with bright original aroma. Arabica with a balanced, aromatic flavor is made in Costa Rica.

In India beans is grown in southern part of the country. Arabica, Robusta are grown there. Mainly used method for purify beans is dry method due to which the drink gets a mild taste.

Robusta is grown in Indonesia and Vietnam. Dry method of purification is used.

Factors which affect to coffee prices

Coffee prices are influenced by many factors. Each class prices are directly linked. Under adverse conditions, or the presence of pests in plantations in Africa, Vietnam, India, and so on, where Robusta is cultivated, price of Arabica will increase. Equally important are the seasonal factors. Prices can be changed because of quick coffee sales stocks in anticipation of the next harvest. And some more factors affect on the formation of prices. Among them the types of coffee and its maker, method of grain processing, the quality of beans, the availability of various certificates and awards, costs of storage and transport, the salaries of pickers and taking care of the trees on the plantations, and at last the final sorting and packing. But the main factor that affects the price is supply-demand situation. Every year the world demand for fragrant grain is growing. Each year this beverage consumption will only grow. This is due to the development of coffee culture, the increase in the number of coffee houses and specialized shops around the world.

Several centuries ago coffee moved from the north-east of Africa to the Arabian Peninsula. This beverage is widespread because it has high taste qualities and has beneficial effects on the human body. Coffee belongs to the few cultures that defined a whole era in the economic development of such countries as Brazil, Colombia, Ethiopia, Yemen, Guinea and others.

 

 

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Arabica coffee makers Country: factors affecting the world price of coffee

Modern coffee market: factors determining the wholesale price of coffee on the stock exchange The two main types of coffee on the market today Coffee is one of the most popular beverages in the world. But almost nobody thinks about its origin and the causes of its constantly jumping price. There are two main types…