The San Francisco call., 1906-05-22
LIE COEEEE TRAnE
A Large Coming Crop Generally Ex.
pected.

Large Coming Crop Generally Ex-
pected.
The New. York Circular OF Henry
Nordlfnger & Co. says;
The visible supply Of the world de-
creased about $50. .00O bags during last
nlonth. making the decrease since the
The remaining two months of the new
crop year should show a further decrease
II about 100000 bags; we therefore eX-
pect tie year 10 wind up with a visible
SUpply of the world Of 81. million bags
against liz million bags last year. and
1898 million bags the year before last.
DESPITE the continued Improvement IN
the Position Of coffee, there has been
persistent liquidation OF old long hold
iHssk The, speculative bull interest must
h3ve been reduced fully IL million bags
during the past two months. a fair
part Of this selling was caused by
sharp decline IN the stock market
The decline in the price on the Ex-
change has brought the price OF high
grade Cofees down 10 a commercial
basis. 1t is not more than about a year
ag0 that cOffees grading better than
eSU. Were slow Of sale on the street
and were used almost exclusively for
Exchange. deliveries. Iatterly. however,
fhe fra5e demand for COffees up 10 and
including threes has been large enough
- virtually use up al the available stock
q these grades. and IL IS now olincuit
70 b.1y anything grading poorer than
rhrees without paying q consloeri@ote @
PREMIUM over rhe option market Ihese
tigb Qualities are gradually being more
Appreciated by the distributing tTaee,
md Il seems to US that the demanq LOT
thesR VIII not only continue but WIZ IN
Orders. from inland distributors have
for some months past been genefsAny
accOmpanied with request 70 ~ ~
forward shipments by fast route, ana ~
a. good MANY instances shippers Were
9sksd 70 let tracer fcnoW lhe slAP
ment. The buyers, eNlcehIy' ~
40 rrnodC and naQ
Moved rhetr stocks to run down pretty
low before buying. This hand 10 noun e,-l
Deliey will probably continue eren ,I,D Sae
lsazw crop movement sets N 1HS.or+
riard promises TO ,Deco'iis
The prospect Of very large coming crop
IS the basis OF this ~Ollcy- t1aE4ts Ia Ia
crops during the last three years OF apVue
Ia 610 900 hses OF Rio and Santos, T.
100000 70 I2.5O0.090 bag crop twhlch tle
-.la78ritv Of the trade seems 70 expect
= few years ago we had crops OF 10 5Oo,Ooo
nd 1908. 500 bags and that II Is the sur
-,lr,s rroduction Of those crops Which 70
{. considerable extent has been worKeo on
fi.-fng the three smaller crops succeeding
The cousuuution OF coftee SHOWS a
steady Increase and IS now ABOUT z.OOU,pOV
lags larger than Il was INe years e6o-
Nearly the entire increase IN the con-
er,-7-ffors Is IN Brazil coffee. The average
annual consumption OF Brazis during tne
five wears 1858 was S,I0o,OOo oags. ana
rags. The present crop year VIII show
consumption OF Brazil conee OF fuiy H.
Te0 00B bags
The distributing trade IN Europe and in
this country IS poorly supplied, ana 9..,, II,
Notwithstanding this. the deliveries from
rort stocks have reached the great figures
above MENTIONED what viii they oe next
-1ear Il some unusual incentive 70 stock up
ehoeild exist? Without any such incentive.
however. deliveries Of Brazil coffee alone
during the next crop year should reacn
T. 500 600 bags on 6 conservative basis OF
calculation A crop OF y .00oOoO- 10 Il
600 bags for Rio and Santos, ana say
ahogf 600 600 bags Of Bahias and Nicto-
,-ias would certainly not be enough in ex-
cess Of requirements to create any undue
epprehension more especially so as II Is
q well known fact that plantations which
produce largely this year cannot produce
largely the next. For our part, we do not
gree with those that predict a crop OF
u cor, 900 70 y 800 900 bags for Rio and
Santos No one at the present time ex-
poets the coming Rio crop TO be any
of the~estinates point 10 q smaller crop.
4she. whole Increase in this years ex-
peete6 production, Is ascribed TO
santos. Now, en- increase in the extent
g 100000 bags IN one year with the condi-
tons known 70 exist on. the plantations
IN that State is. to TO our mind, an i'm
possibility. II is said that the trees whic.
were c. te6own eloout four years ago, after
having been, rendered unproductive by
frost. have come Up again and are going
10 bear fruit plentifully this year, and
thts is given as one Of the reasons for
the expected increase. II all the so, 900. 600
trees which were rendered unproductiye
-s91eYs- 4l1,Ies cut down and all OF them would
not only bear fruit this year. but produce
the largest average yield ever known
namely 2 6-1o pounds per uee-they
would give about 100000 bags.