Europe Trend Week 35

European market gearing up for end of holidays.

The overall supply is registering a temporary fall this week. The dollar origins are still moderate. Ecuador is maintaining below average levels into Europe, partially obscuring the seasonal increase in Costa Rican and Colombian volumes (9% on average for the latter). In Africa, a shipping delay is impeding incoming volumes, with the overall supply dropping momentarily below average (-3%).

Similarly, shipments from the French West Indies are temporarily limited due to smaller shiploads during the week of 15 August. However, demand has remained quiet overall, even though certain countries have seen a slight improvement in sales in anticipation of new school year promotions.

Hence although there are still stocks, they remain fairly limited. As regards prices, while they remain stable in Southern Europe, the situation is improving particularly in Northern and Eastern Europe, where prices are strengthening and the markets are easing.

The only cloud on the horizon is the Russian market, where the situation is significantly deteriorating, with prices dropping.