Asia coffee: Trade slows in Vietnam ahead of holiday, Indonesia premiums slip

HANOI: Coffee trading in Vietnam remained subdued this week as sales slowed ahead of upcoming holidays, while premiums in Indonesia fell as farmers expect the harvest to begin in about a month, traders said on Thursday.

Farmers in the Central Highlands, Vietnam’s coffee belt, sold beans at 87,300 dong to 88,000 dong (USD3.32 to USD3.35) per kg, compared with last week’s 87,700 dong to 89,000 dong. Robusta coffee for July delivery settled up USD14, at USD3,419 a ton on Wednesday. “The market is fairly quiet, with fewer buyers and sellers,” said a trader based in the Central Highlands.

“The market will be closed next Monday and from next Thursday, but many will take the entire next week off,” the trader added. “Trade will not pick up until early May.”

Another trader said recent rainfall in the coffee-growing area gave plantations sufficient water.

In Indonesia, Sumatra robusta coffee beans were offered at a USD130 premium to the June contract, lower than last week’s USD150 to the May contract, a trader said. Another trader quoted a USD90 premium to the July contract, down from last week’s USD140 premium.

Coffee farmers in West Lampung said light rain was still falling on plantations, adding that the harvest is expected to start in about a month.