AsemconnectVietnam - On Thursday, Robusta coffee prices in Vietnam's Central Highlands, the country's largest coffee-growing area fell by 1000 VND to VND63,900 – VND64,700 per kg compared to Yesterday, according to Kinhtedothi.

Gia Nghia of Dak Nong provided the maximum price of VND64,700/kg, while traders in Lam Dong province offered the lowest price of VND63,900/kg. Robusta coffee fell to VND63,900/kg in Bao Loc, Di Linh, and Lam Ha; to VND64,400 – VND64,500 per kg in Dak Lak; to VND64,600- VND64,700 in Dak Nong; to VND64,100 per kg in Kon Tum, and to VND64,000 - VND64,100 per kg in Gia Lai.
Regarding the prospects of the 2023/2024 coffee crop, which will begin in October, there are currently conflicting assessments. The USDA predicts that Vietnam's coffee production will increase by 5% to 31.3 million bags due to favorable weather conditions, with rainfall expected to be 10-20% higher than the average level. This increased rainfall will support irrigation and the growth of coffee plants. Additionally, many coffee farms that are entering the harvesting phase will contribute to boosting the average yield of Vietnamese coffee in the 2023/2024 crop. The record-high coffee prices this year also serve as a strong incentive for farmers to enhance their care for coffee plants to achieve higher yields and production.
However, the U.S. Climate Prediction Center has confirmed the return of the extreme weather phenomenon El Nino (hot and dry conditions) with a forecasted intensity ranging from moderate to strong. This poses a threat to the supply of coffee-growing regions, including Vietnam.
The El Nino weather phenomenon is expected to develop globally in the latter part of this year, posing a greater risk to robusta coffee compared to arabica. This weather phenomenon could disrupt precipitation patterns and temperatures, potentially tightening supply and increasing the price of robusta coffee. Analysts and weather experts indicate that the two largest robusta coffee-producing countries in the world, Vietnam and Brazil, could experience significant yield losses if El Nino develops strongly.
According to the International Coffee Organization's (ICO) forecast, the global coffee supply for the 2023/2024 season is projected to fall short by 7.26 million bags compared to demand due to the effects of El Nino causing drought conditions in many coffee-growing regions.
Following are domestic Robusta coffee prices on August 17, in Vietnam's Central Highlands:


T.Huong
Source: Vitic/Kinhtedothi