VASSOURAS, Brazil July 28 (Reuters) - Coffee growers in Vassouras, in Brazil's Rio de Janeiro state, are hoping for an eleventh-hour reprieve before the country is subject to tariffs of 50% on its exports to the United States.
Earlier this month, U.S. President Donald Trump announced new tariffs, which included raising duties on Brazilian imports to 50% from 10%, effective August 1. Producers of coffee and other goods hope a solution can be found before then.
"Brazil is the largest producer and exporter (of coffee) in the world," coffee farmer Thiago Garcia told Reuters at his farm in Vassouras.
Around a third of the coffee consumed in the U.S., the world's largest drinker of the beverage, comes from Brazil, which has in recent years been shipping about 8 million 60-kilogram bags (132 pounds) a year there, according to industry groups.
"There will be a surplus of coffee here in Brazil and the tendency is for (the price) to decrease, until they find another way to export to other countries," Garcia said.
Reporting by Renato Spyrro Writing by Oliver Griffin; Editing by Sharon Singleton
Source: Reuters