Coffee farmers in Brazil’s São Paulo state are grappling with severe losses after a wildfire swept through their crops, exacerbating the ongoing challenges posed by the worst drought the country has faced in over seven decades. The fire, which tore through the municipality of Caconde, affected around 50 farms and burned approximately 600 hectares of coffee plantations.
Local coffee producer Helio Moreira de Araújo reported the destruction of between eight and ten thousand coffee trees on his land. "We were expecting a harvest of 500-600 bags, but we're going to harvest more or less half of that," he explained. "The other half burned down."
Brazil, the world’s largest coffee producer, is seeing its agricultural sector buckle under the pressure of the prolonged drought. A recent report from the Center for Advanced Studies on Applied Economics at the University of São Paulo indicated that the drought is already affecting the upcoming 2025/2026 coffee season. The lack of rain is impeding the growth of new coffee flowers, which may lead to lower bean yields or poorer bean quality.
This problem is compounded by climate issues in Vietnam, the world’s second-largest coffee producer. Drought and heatwaves are also impacting Vietnamese coffee crops, creating concerns of potential supply shortages in both countries. As a result, global coffee prices are already seeing an upward trend.