Indonesia: Coffee Annual
El Nino-induced dry weather disrupted flowering and ripening for Indonesia’s coffee crop, resulting in an expected decline in MY 2016/17 Indonesian coffee production. Drought was most acutely felt in lowland areas of Southern Sumatra and Java, where approximately 75 percent of Indonesia’s Robusta crop is grown. Robusta production is thus expected to decline by approximately 15 percent, while Arabica production, which is situated primarily in Northern Sumatra, was mostly unaffected by the El Nino event. 2016/17 exports are estimated to decline to 7.9 million bags GBE in response to low production. 2016/17 imports are expected to rise to 1.04 million bags GBE due to production declines and rising Indonesian consumption.