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Coffee prices perked up by buoyant demand

Similar to many other agricultural commodities, supply problems have caused the price of coffee to more than double since the start of 2010. However, there is a clear uptrend in coffee consumption too, which should continue to support prices even as supply recovers. As a result, we expect coffee to remain above 200 cents per pound for the rest of 2011, not far short of current levels of around 250.

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