Drought in Brazil raised coffee prices by over 20%

The past January is the best month for the first raw material since 1997 .

After three consecutive years of decline , the beginning of 2014 brought some positive news for coffee producers in Latin America.

Fears of time in Brazil - the largest producer in the world, raised the price of Arabica with over 20 per cent. This made this January the best month for the first coffee since 1997 .

Largest economy in South America experienced its hottest January on record , the volume of rainfall was the lowest in 20 years. According to meteorologists the drought will continue for three weeks.

This led Citigroup experts predict further growth in the price of raw materials. Economist Stirling Smith recalled that last year there was less supply because of problems with the harvest , but this is totally different .

International Coffee Organization said that the outlook for coffee production in Brazil was revised down. Level was reduced by 10 million bags to 48 million bags , one bag is equivalent to approximately 60 kg.

In today's trading price of the stock exchanges in the U.S. raw materials continues its ascent , climbing slightly to 0.02 percent to 136.48 dollars per bag.