Key Points
Nicaragua coffee exports reached $918.2 million in 2025, a record fueled by the same global price surge lifting producers across all of Latin America. The country shipped 3.3 million quintales of coffee, up in both volume and value from the previous cycle, Central Bank president Oviedo Reyes announced at a harvest security ceremony in Jinotega, The Rio Times, the Latin American financial news outlet, reports.
A Continental Coffee Windfall
Nicaragua’s result is part of a region-wide phenomenon. International arabica prices surpassed $4 per pound in early 2025 — roughly double the 2023 average — driven by drought fears in Brazil’s upcoming harvest cycle, supply chain disruptions, and speculative positioning. Every major Latin American exporter posted record or near-record revenue.
Honduras, Central America’s largest producer, crossed $2 billion in coffee export revenue for the first time, an 80% increase over the previous cycle according to the Honduran Coffee Institute. Colombia projected exports exceeding $5 billion for 2025, its highest in history. Brazil earned a record $15.6 billion in total coffee revenue in 2025, though green bean export volumes actually fell 21% as farmers held back stock.
Nicaragua Coffee Exports in Regional Context
Nicaragua ranks sixth among Latin American coffee exporters by revenue, behind Brazil, Colombia, Honduras, Peru, and Guatemala. But coffee punches above its weight for the Nicaraguan economy: the sector is one of the country’s export pillars, helping drive GDP growth of 4.9% in 2025 and total exports to a record $8.9 billion.
The army deployed security for 600,000 harvest workers across more than 45,000 coffee farms during the 2025–2026 cycle. Producer Gonzalo Castillo Moreno from Dipilto described the military presence as essential for transporting beans safely at all hours — a reminder that in many LATAM coffee regions, security remains as important as agronomy.
Tariffs Reshuffle the Coffee Map
The price boom is colliding with U.S. trade policy. Washington imposed 50% tariffs on Brazilian imports in July 2025, cutting Brazil’s coffee shipments to the American market by 21% in the first eight months. Colombian, Honduran, and Central American producers have moved quickly to fill the gap, with Colombia’s exports to the U.S. rising 15% over the same period.
For Nicaragua, the reshuffling presents an opportunity. The country faces a lower 10% U.S. tariff rate, and its high-altitude arabica from Jinotega and Matagalpa provinces competes in the specialty segment where price sensitivity is lower. Analysts at Analdex and Adecafeh have noted that the tariff disruption could permanently alter Latin America’s coffee trade map if Brazilian exporters cannot secure exemptions.
Climate Threatens the Boom
The windfall obscures a structural vulnerability. Colombian production fell 14% year-on-year in the 12 months through February 2026, as La Niña weather patterns disrupted flowering cycles. Honduran producers report rising incidence of coffee leaf rust.
Nicaraguan farmer Castillo Moreno warned that the sector must invest in new varieties and water harvesting techniques to survive shifting conditions. Without adaptation, he said, the climate impact will only intensify.
The paradox of Latin America’s coffee moment is that record prices reward producers today while climate change erodes the productive base of tomorrow. Whether the region reinvests the windfall in resilient farming or simply enjoys the short-term revenue will determine whether this boom becomes a lasting transformation or a peak followed by decline.