Prices inch higher in Vietnam amid sluggish trade, low supplies

Vietnam is experiencing a surge in coffee prices, particularly robusta beans, due to a global market upturn and a decrease in shipments from the country. The price of robusta beans has risen by 63% this year, reaching $4,667 per metric ton. This has led to a pause in trading activities as buyers are withholding purchases until prices stabilize. Meanwhile, Indonesia has seen a drop in coffee prices, with Sumatra robusta beans offered at a $750 premium per ton to the August contract, a decrease from the previous week's $950 premium. Vietnam's coffee exports in the first half of the year[/INST] fell by 11.4% year-on-year, totaling 893,820 tons, as reported by customs data. The decrease was more pronounced in June, with a 11.5% drop compared to May, totaling 70,202 tons. Despite the favorable weather conditions for coffee cherry growth in the Central Highlands, the current pause in trading activities is expected to persist until at least early November. Indonesia's coffee prices have experienced a downturn, influenced by high London prices, with Sumatra robusta beans offered at a $750 premium per ton to the August contract, a decrease from the previous week's $950 premium. This fluctuation in prices reflects the market's volatility.

Coffee prices in Vietnam inched higher, with trading activities coming to a haltdue to a prolonged shortage of robusta beans, while prices in Indonesia fell this week amid high London prices, traders said on Thursday. Farmers in the Central Highlands, Vietnam’s largest coffee-growing area, were selling beans COFVN-DAK for 127,000-127,700 dong ($5.00-$5.02) per kg, up from 120,000-122,000 dong a week ago. “Domestic prices were up following a surge in global market due to lower shipments from Vietnam,” a trader based in the coffee belt said. “Activity is very tepid now and will remain this sluggish until at least early November. Only those who have to fulfil their contracts will buy at this current sky high price.” The price of robusta beans LRCc2 has risen 63% this year, peaking on Tuesday at $4,667 a metric ton on the London-based ICE Futures Europe market. Vietnam’s coffee exports in the first half of this year were 893,820 tons, down 11.4% from a year earlier, customs data ...