Coffee prices in Vietnam’s Central Highlands, the nation’s primary coffee-growing region, witnessed a substantial surge on June 5, reaching between 122,000 and 123,500 VND per kilogram, equivalent to approximately 4.8 to 4.86 USD.
Dak Nong province recorded the highest price at 123,500 VND per kilogram, showcasing a notable uptick in market rates.
In Dak Lak province, coffee prices escalated by 3,000 VND per kilogram compared to the previous day, reaching 123,000 VND per kilogram. Similar pricing trends were observed in Gia Lai and Kon Tum provinces, where the product is being procured at identical rates.
The surge in coffee prices is attributed to a combination of factors, including the depreciation of the US dollar to its lowest level in the past fortnight and speculative activities witnessed across various global markets. These elements have collectively propelled the prices of numerous commodities, with coffee being no exception.
Internationally, the prices of Robusta coffee in London have witnessed significant upswings, fluctuating between 3,846 and 4,319 USD per tonne. Likewise, Arabica coffee prices in New York have followed a similar trajectory, experiencing an upward trend.
Furthermore, countries such as Brazil, Colombia, Peru, and Honduras, currently in the midst of their coffee harvest seasons, have observed a slight uptick in production. However, the production remains insufficient to meet market demands, thereby contributing to the sustained upward trajectory in coffee prices.