Impact of diesel price on coffee external transport cost and total cost in the Minas Gerais cities of Patrocínio and Guaxupé

Brazil’s coffee production plays a significant role in the global economy. The country is the world’s largest coffee producer, responsible for about a third of global production. Transportation is a relevant factor that impacts the coffee production chain, as it is essential for distributing production from the field to industries, export ports, and, eventually, final consumers. To calculate the costs associated with transport modes, it is essential to consider variables such as fuel prices — especially for diesel and S10 diesel —, which represent variable costs directly impacting price formation for transport services. In this context, the study aims to analyze the impact of diesel price on coffee external transport cost in relation to total cost in the cities of Patrocínio and Guaxupé, Minas Gerais, Brazil. This is a descriptive study, with a qualitative approach, using data from the National Supply Company (CONAB) on coffee production and from the Brazilian Agency of Petroleum, Natural Gas and Biofuels (ANP) on diesel and S10 diesel prices for 2013–2020 for the cities under analysis. The initial results showed a small variation in fuel prices over the period analyzed. Moreover, there was a strong relation between external transport and fuels, with a 0.010 significance level between the coffee external transport cost variable and total costs.