The average coffee price today, January 5, on weekends is 120,300 VND/kg, down 1,700 VND/kg compared to the week, mainly due to the impact of Robusta coffee prices on the London floor (UK). Last weekend, the price of Robusta coffee on the London floor closed at 4,968 USD/ton (more than 125 million VND/ton), with the delivery term of March 2025.
Looking back over the past 3 years, coffee prices have had miraculous growth. According to Mr. Phan Minh Thong, General Director of Phuc Sinh Joint Stock Company, at the end of 2022, the price of domestic green coffee is only 34,000 VND/kg while coffee on the floor is only 1,200-14,00 USD/ton.
Thus, the price of raw coffee has increased 3 times in the past 3 years, beyond the imagination of many people.
Even roasters around the world cannot predict this. In 2024, there will be a time when major roasters in the world will temporarily suspend purchases to wait for prices to drop, but in reality it is the opposite. This causes many small roasters in the world to go bankrupt when they have to use 100% coffee ingredients.
In the domestic market, in fact, in the past 3 years, consumers will not see product prices increase that much. For example, depending on the segment, the price of a cup of coffee increases slightly from 1,000 – 5,000 VND/cup; In mid-range coffee chains, the price of a cup of coffee is usually from 35,000 VND – 50,000 VND/kg; At take away coffee shops, a cup of coffee is still priced from 17,000 – 25,000 VND/cup.
This means that cheap coffee ingredients have brought great profits to coffee processing and trading units in recent times.
Meet More fruit coffee at the 2024 Vietnamese Coffee – Tea Festival organized by Nguoi Lao Dong Newspaper
So for 5,000 VND, can consumers still drink a cup of coffee? In fact, yes, if consumers choose convenient products such as instant coffee or home-brewed powdered coffee.
Instant coffee brands (the type that only has coffee or a lot of coffee in 1, mixed with many ingredients: coconut, taro, mint,…) are priced around 2,000 VND – 7,000 VND/package.
With powdered coffee, with a popular price of 300,000 VND/kg, if you can brew 50 cups, each cup of coffee costs only 6,000 VND.
Mr. Nguyen Ngoc Luan, founder of the fruit coffee brand Meet More, said the instant coffee market is growing very quickly in the world, at a rate of about 30%/year while global coffee consumption is growing. only about 3%.
The reason is that instant coffee is very convenient, suitable for the busyness of today’s consumers. In addition, instant coffee has many flavors to suit the diverse needs of consumers. Currently, as the price of raw coffee increases, instant coffee has the added bonus of being cheap with moderate caffeine content.
However, in Vietnam, the growth of instant coffee consumption is slower than in the world because of the habit of sipping coffee at a shop and chatting with accompanying people.
