The Coffee & Tea Authority has started registrations for New Crop 23/24 at prices that have substantial premiums to current 22/23 crop Minimum Registration Prices. Grade 2 23/24 premiums over current crop at between 20 and 25 usc/lb, whereas Grade 5 premiums are a more modest 10 usc/lb. However, given fledgling NY terminal market prices, we expect that New Crop registrations will be paralysed for now, no one is going to rush to pay +50 for Limu 2 and +100 for Sidamo/Yirgacheffe 2.
Harvest in progressing well, lower areas in the South (Sidamo) have started harvesting, prices paid for ripe cherries remain under control. Wetter than usual weather is not hampering harvesting activities so far.
Inflation in October had an uptick, increasing 1% from 28.2 to 29.2 %. This was the first time in 7 months that inflation has gone up. Although the rate is higher it seems to be fairly stable, the Government seems to have a handle on things!
Talks between the Government and the rebel group Oromia Liberation Army (OLA) have broken down: https://www.bbc.com/news/live/world-africa-67176426?ns_mchannel=social&ns_source=twitter&ns_campaign=bbc_live&ns_linkname=655d84af2ea49e2bc009bc58%26Ethiopia%20talks%20with%20rebel%20group%20OLA%20end%20without%20deal%262023-11-22T06%3A03%3A36.222Z&ns_fee=0&pinned_post_locator=urn:asset:4117bc81-712c-4e15-8735-1f359d0847dc&pinned_post_asset_id=655d84af2ea49e2bc009bc58&pinned_post_type=share
The BBc also reported this week on the misery that internal conflict is causing in the North of the country: https://www.bbc.com/news/world-africa-67505676
In other news, an Ethiopian artist has broken her own record for the highest paid work of art made by an African artist at an auction in NY, the BBc reports: https://www.bbc.com/news/world-africa-67437955
Birr 55.65 = USD 1
Have a good weekend.