“In Brazil, which produces a third of the world’s coffee beans, farmers are striking over falling prices and burning sacks of coffee in protest. Why are coffee-growers feeling the strain? [..]  Many Brazilian and Colombian farmers invested to boost production of arabica in response to the high prices of 2011, which has added to the oversupply and further depressed prices. And good weather in Brazil means that this year’s crop has turned out to be unexpectedly large. That is why Brazil’s farmers are striking, and are demanding more protection, in the form of fatter subsidies, from the state.”

http://www.economist.com/blogs/economist-explains/2013/07/economist-explains-9

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