Robusta coffee prices slightly decreased

Coffee price today March 12: Temporary decrease, world demand for Vietnamese Robusta is very large

Coffee futures prices continue to correct when there is more supporting fundamental information. At the end of the first trading session of the week, Robusta coffee prices on the ICE Europe - London exchange continued to correct. May futures fell another $18 to $3,279/ton and July futures fell another $15 to $3,175/ton, both very significant decreases. Trading volume was below average.

Similarly, Arabica coffee prices on the ICE US – New York exchange also fell. May delivery futures fell another 0.2 cents to 185 cents/lb and July delivery futures fell another 0.30 cents to 183.15 cents/lb, both slight decreases. Trading volume was quite high above average.

Online coffee prices on London, New York, BMF floors Updated: 12/03/2024 at 14:24:01 (delay 15 minutes)

Online coffee prices on London, New York, BMF floors Updated: 12/03/2024 at 14:24:01 (delay 15 minutes)

Coffee prices in the Central Highlands provinces decreased today in the surveyed provinces and cities. Localities are purchasing coffee at prices ranging from 90,200 - 91,100 VND/kg.

Coffee prices in the Central Highlands provinces decreased today in the surveyed provinces and cities. Localities are purchasing coffee at prices ranging from 90,200 to 91,100 VND/kg. Specifically, after a decrease of 300 VND/kg, Lam Dong, Gia Lai and Dak Lak provinces now have coffee prices of 90,2000 VND/kg, 90,900 VND/kg and 91,000 VND/kg, respectively. Traders purchased coffee in Dak Nong at the highest price of 91,100 VND/kg after a decrease of 400 VND/kg.

Coffee futures extended a correction from late last week as forecasts showed above-average rains in major coffee-growing regions in Brazil last week helped ease drought concerns ahead of this year's winter.

Vietnam Customs reported that coffee exports in February reached 160,584 tons (about 2,676,400 bags), down 32.6% compared to the previous month and down 19.73% compared to the same period last year. Accumulated coffee exports in the first two months of the calendar year 2024, Vietnam exported a total of 398,819 tons, up 16.39% over the same period last year.

The Brazilian Coffee Exporters Association (Cecafé) reported that coffee bean exports in February reached 3.626 million bags, up 48.9% year-on-year, while in the first two months of the year, Arabica natural coffee exports totaled 6.076 million bags, up 35% year-on-year, and Conilon Robusta coffee exports totaled 1.031 million bags, up 531.4% year-on-year. This shows that delays in shipments of coffee exports cannot stop the flow of coffee from Brazil to major consumer markets around the world.

It is expected that commodity markets in general will continue to fluctuate strongly before the upcoming policy meeting of the US Fed at the end of April with the belief that interest rates will be cut.

The world market's demand for Vietnam's Robusta coffee is very large, which is the reason why domestic coffee prices have increased compared to many years in history, increasing continuously since the beginning of the year with an increase of about 50%.

Local dealers noted a significant drop in coffee inventories at the start of the season, which they said was a sign that the 2023/24 crop year could yield slightly less than the previous one.

According to the International Coffee Organization (ICO), global coffee exports totaled 12.6 million bags in January, up 32.3% year-on-year. The cumulative 4-month coffee crop year 2023-2024 (October 2023 to January 2024) reached more than 45.1 million bags, up 13.1% compared to 39.9 million bags in the same period of the 2022-2023 crop year.

The recent export surge largely reflects normalizing manufacturing conditions after a year of decline.

The ICO forecasts global coffee production in the 2023-2024 crop year to increase by 5.8% compared to the previous season to 178 million bags, of which Arabica output will increase by 8.8% to 102.2 million bags and Robusta by 2.1% to 75.8 million bags. Consumption is expected to increase by 2.2% to 177 million bags, the world coffee market will have a surplus of 1 million bags in the 2023-2024 crop year.

Source: https://danviet.vn/gia-ca-phe-ngay-12-3-ca-phe-robusta-giam-gia-nhe-2024031214351022.htm