Beans Prices Slow Down
The shortage of beans in the Brazilian market made the prices of beans rise impressive 150% during the first semester of 2016. Although the retail of beans finally started to cool down now in August, specialists claim that the reduction in prices may not endure much longer, due to the uncertainty of the new beans harvest.
According to the Association of Agriculture and Irrigation Experts of Bahia (Aiba), Brazil has been suffering from an uneven rainfall since March, which has strongly harmed the beans harvesting. The harvest poor results not only decreased the offer of this product in the Brazilian market, but is also increasing the prices of beans.
If the shortage of beans in the Brazilian market continues, expectations are that the Brazilian Government stimulate the imports of beans by maintaining the tariff reduction for beans imports for a longer period of time, as a way to control inflation and to attend the Brazilian demand for this product.