On March 8, today’s coffee prices in the Central Highlands provinces were recorded at 90,400 VND/kg (Lam Dong) to 91,800 VND/kg (Dak Nong), an increase from 1,400 – 1,700 VND/kg compared to yesterday. before.
Coffee price on the London exchange for May delivery is also at 3,381 USD/ton, an increase of 72 USD/ton compared to March 7.
Coffee prices have increased continuously since the beginning of the year until now with an increase of about 50% and compared to the same period last year, coffee prices have doubled.
The owner of a coffee production and trading business in Gia Lai joked that coffee growers and traders today “just open their eyes to see coffee prices increasing”.
He forecasts that coffee prices will continue to increase, at least in the next 2 months when the world has more coffee supply from other producing countries such as Indonesia and Brazil. The next price peaks could be 100,000 VND/kg, even 120,000 VND/kg due to coffee scarcity.
Coffee is increasingly valuable
Mr. Le Huy Quang, CEO of Le’s Farm High-tech Agricultural Company Limited (growing and processing avocado and coffee trees), explained that coffee trees have been left out for a while due to low prices, and farmers Switching to fruit trees resulted in a decrease in output.
“Coffee’s price is back, farmers are the first to benefit. With the price of 60,000 VND/kg, they were happy, now the price exceeds 90,000 VND/kg, the joy is even greater. Coffee area is recovering and farmers It’s also smarter not to overuse fertilizer like before” – Mr. Quang commented.
However, rising coffee prices also make it difficult for some businesses to finalize contract prices first and then purchase goods, and domestic prices are not linked with international prices. Many businesses lack capital to do business when banks do not increase loan limits when coffee prices increase.
According to the Import-Export Department (Ministry of Industry and Trade), it is estimated that in the first 2 months of 2024, Vietnam’s coffee exports are estimated to reach 438 thousand tons, worth 1.38 billion USD, an increase of 27.9% in volume and an increase of 85%. % in value compared to the same period in 2023.
In February 2024, Vietnam’s average coffee export price is estimated to reach 3,276 USD/ton, up 7.4% compared to January 2024 and up 50.6% compared to February 2023.
