(VAN) Coffee prices on 08/06/2024, drop globally. Currently, the domestic coffee market has decreased by VND 1,200, reaching VND 121,500 – 122,000/kg.
Latest coffee prices domestic and global on 08/06/2024
Coffee prices on August 6 globally
On the world market, both the London and New York exchanges saw a sharp decline on August 6.
Specifically, Robusta prices on the London exchange for September 2024 delivery dropped by $ 52 to $ 4,175/ton. The November 2024 delivery contract also saw a significant decrease of $ 59, falling to $ 4,029/ton.
Meanwhile, on the New York exchange, Arabica prices for September 2024 delivery fell sharply by 4.8 cents to 225.70 cents/lb. The December 2024 delivery contract dropped by 5.25 cents, reaching 224.30 cents/lb.
Latest Arabica and Robusta prices on 08/06/2024
World coffee prices dropped sharply today. According to experts, geopolitical tensions in the Middle East, fears of a U.S. recession, and a storm in Florida have pushed the global financial market into panic mode at the start of the week.
The market is witnessing a rare phenomenon where most asset types are plummeting, with stocks collapsing, the USD dropping significantly, and gold prices free-falling. This trend contradicts the usual rule where the USD and gold prices move inversely.
Experts have not yet provided many explanations for this trend. However, history has seen sell-offs in stock markets accompanied by declines in gold prices. When the stock market crashes, many institutions and investors holding gold sell it off to cover stock losses.
The simultaneous drop in prices for gold, USD, Bitcoin, and stocks is also explained by the potential formation of a bubble. Various assets, including the USD, gold, and stocks, have been inflated over the past few years.
These developments have pushed coffee trading prices on the London and New York exchanges sharply down at the start of the week.
Thus, global coffee prices on 08/06/2024, have turned downward compared to yesterday.
Coffee prices on August 6 domestically
Domestically, the coffee market today dropped by VND 1,200 compared to yesterday.
Specifically, in Lam Dong province, the three districts of Di Linh, Bao Loc, and Lam Ha all trade at VND 121,500/kg.
In Dak Lak, Cu M’gar district is buying at VND 122,000/kg today. Ea H’leo and Buon Ho districts are trading at VND 121,900/kg.
In Dak Nong province, traders in Gia Nghia and Dak R’lap are trading at VND 122,000 and VND 121,900/kg, respectively.
In Gia Lai province, Chu Prong district is trading at VND 122,000/kg, while Pleiku and La Grai are holding steady at VND 122,000/kg.
The purchase price in Kon Tum today is VND 122,000/kg.
Domestic coffee prices have also dropped significantly today, bringing the price down to around VND 122,000/kg.
According to a recent report from the Agency of Foreign Trade (Ministry of Industry and Trade), Vietnam’s coffee exports in the first 7 months of 2024 are estimated to have reached 964,000 tons, valued at nearly $ 3.54 billion; a decrease of 13.8% in volume, but an increase of 30.9% in value compared to the same period last year.
Notably, in July 2024 alone, Vietnam’s coffee exports were estimated at over 70,000 tons; a 35% decrease compared to the same period last year and nearly unchanged from May.
The agency forecasts that Vietnam’s coffee exports in the remaining months of the third quarter will decline due to low supply.
By October, when the 2024/25 coffee harvest season begins, supply is expected to increase again.
In the 2023/24 season, Vietnam’s coffee production was estimated at 1.47 million tons – the lowest in four years; a 20% decrease compared to the 2022/23 season (statistics from the Ministry of Agriculture and Rural Development). The production for the 2024/25 season is likely to remain low due to unfavourable weather conditions.
These statistics indicate that excluding the carryover stock from the previous year, Vietnam will have about 200,000 tons left for export from now until September 2024.
However, the Agency of Foreign Trade believes that the Vietnamese coffee sector will benefit from price increases. In July, the export price of coffee maintained its upward trend, reaching $ 4,844/ton; a 5% increase compared to June and double the same period last year.
Thus, domestic coffee prices on 08/06/2024, are trading around VND 121,500 – 122,000/kg.
$ 1 = VND 24.950 – Source: Vietcombank.
Agriculture News | Agri Products Price