HANOI/BANDAR LAMPUNG: Coffee prices in Vietnam rose this week, tracking gains in London futures on supply concerns, traders said on Thursday, while in Indonesia, prices stayed unchanged from last week at the end of the harvest season.
Farmers in the central highlands, Vietnam’s largest coffee-growing area, sold beans in the range of 64,900-66,000 dong ($2.70-$2.74) per kg, up from 63,900-64,700 dong a week ago.
November robusta coffee settled up $47, or 2%, at $2,496 as of Wednesday’s close, tracking seven-day rally. “Prices are higher this week on growing supplies concerns but trading is muted since there are no beans left,” said a trader based in the coffee belt.
Rabobank this week revised down Vietnam’s production in the upcoming crop season to 29 million bags, half a million bags less than expected.
Another trader said the coffee belt was bracing for heavy rain at the moment but coffee trees were unharmed. Coffee exports from Vietnam are estimated to have decreased 4.9% in the first eight months of 2023 from a year earlier to 1.2 tonnes, equivalent to 20 million 60 kg (130 pound) bags, official data showed.
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