Arabica coffee hits 13-year high, cocoa also climbs
Updates with closing prices and comments
LONDON, Nov 22 (Reuters) -Arabica coffee futures rose to a fresh 13-year high on Friday, buoyed by concerns that next year's crop in Brazil may be smaller than earlier expected, while cocoa prices were also sharply higher.
COFFEE
* March arabica coffee KCc2 settled up 6.4 cents, or 2.2%, at $3.021 per lb after setting a 13-year high of $3.0390. It was the first time it surpassed $3 per lb since 2011.
* Dealers said the run-up in prices had been fuelled by concerns about next year's crop in Brazil with reports that trees have relatively low numbers of the cherries which contain the coffee beans.
* "We revise up our three-month target for arabica coffee to $3.10/lb, and note a significant upside risk skew to this forecast as supply from Brazil and Vietnam could still underperform," said Citi in a note to clients.
* Dry weather earlier this year looks to have damaged the crop's potential in Brazil despiterains in October.
* January robusta coffee LRCc2 rose by 4.1% at $4,985 a metric ton.
* Dealers noted the harvest in top robusta producer Vietnam was progressing well but farmers appeared in no rush to sell.
COCOA
* March London cocoa LCCc2 settled up 408 pounds, or 5.8%, to 7,492 pounds per ton, after setting a five-month high of 7,654pounds.
* Dealers said unfavourable weather in the Ivory Coast, including the prospect of an early Harmattan this year was helping to support prices. Harmattan is a seasonal dry wind which blows from the Sahara desert and can harm cocoa pods and dry the soil, making beans smaller.
* They noted technical indicators were also supportive following the recent rise in prices.
* "We expect prices to edge higher in the near term, highlighted by recent bullish momentum and positive indicators; however, futures need to close above the current resistance of 7,348 (pounds a ton) to confirm the outlook for higher prices in the long term," broker Sucden Financial said in a note.
* March New York cocoa CCc2 rose by 5.2% to $9,085 a ton.
SUGAR
* March raw sugar SBc1 was little changed at 21.36 cents per lb as the market continued to lack a clear overall trend.
* March white sugar LSUc1 was also stable at $553.60 a ton.
Reporting by Nigel Hunt and Marcelo Teixeira; Editing by David Evans and Mohammed Safi Shamsi
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