DAILY: Vietnamese coffee prices rose by 300 VND on June 12
Monday, June 12,2023AsemconnectVietnam - On Monday, Robusta coffee prices in Vietnam's Central Highlands, the country's largest coffee-growing area increased by 300 VND to VND64,400 – VND65,100 per kg compared to Yesterday, according to Kinhtedothi.com.
Cư M'gar of Dak Lak provided the maximum price of VND64,800/kg, while traders in Lam Dong province offered the lowest price of VND64,400/kg. Robusta coffee increased to VND64,400 per kg in Bao Loc, Di Linh, and Lam Ha; to VND 64,900 – VND65,000 per kg in Dak Lak; to VND 65,000 – VND 65,100 per kg in Dak Nong; to VND64,600 per kg in Kon Tum, and to VND64,500 - VND64,600 per kg in Gia Lai.
According to the Vietnam Coffee and Cocoa Association (Vicofa), Vietnam's coffee output in the 2022/2023 crop year is expected to decrease by 10-15% compared to the previous crop year and reach about 1.4 million tonnes. The main reason comes from the fact that in recent years, many coffee growing areas have been switched by farmers to other more effective crops such as durian, avocado, passion fruit, etc., or intercropped with other crops in the coffee garden (pepper, cocoa, avocado) to reduce market risks and increase economic efficiency.
According to the US Department of Agriculture's forecast, Vietnam's coffee production in the 2022/2023 crop year will decrease by 6% to 29.75 million bags.
The decrease in the coffee area can be seen in Binh Phuoc - the province with the most significant coffee area in the Southeast, with about 16 thousand hectares, concentrated in the districts of Bu Dang, Bu Gia Map, and Dong Phu. Coffee trees have been planted in Binh Phuoc since the 1920s, then spread to other provinces in the Southeast, such as Dong Nai and Ba Ria - Vung Tau.
In recent years, the area of industrial crops in Binh Phuoc, such as coffee, pepper, and cashew, has declined as farmers switch to other crops, mainly durian. According to the Binh Phuoc Provincial Statistics Office, in 2022, Binh Phuoc reduced 604 hectares of coffee and more than 1,100 hectares of pepper. Meanwhile, the durian growing area increased by 28.4% to more than 4,800 hectares.
While coffee production in Vietnam decreased due to a decrease in area, the world production of Robusta coffee decreased due to adverse weather. The International Coffee Organization (ICO) forecasts that global Robusta coffee production in the 2022-2023 crop year will reduce by 2.1% compared to the 2021/2022 crop to 72.7 million bags. In particular, the most significant decrease was in Asia and Oceania, with a decline of 4.6% and reaching about 49.7 million bags.
Following are domestic Robusta coffee prices on June 12, in Vietnam's Central Highlands:
T.Huong
Source: Vitic/Kinhtedothi
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