DAILY: Vietnamese coffee prices decreased on February 12, 2025
Wednesday, February 12,2025
AsemconnectVietnam - On Wednesday, robusta coffee prices in Vietnam's Central Highlands, the country's largest coffee-growing area, decreased by 1000 VND per kg to 129,000 - 130,000 VND per kg compared to yesterday, according to Kinhtedothi.
Domestic Coffee Prices (VND/kg):
Lam Dong Province:
Di Linh, Lam Ha, Bao Loc: 129,000 VND/kg
Dak Lak Province:
Cu M'gar: 130,000 VND/kg
Ea H'leo, Buon Ho: 130,000 VND/kg
Dak Nong Province:
Gia Nghia: 130,000 VND/kg
Dak R’lap: 130,000 VND/kg
Gia Lai Province:
Chu Prong: 130,000 VND/kg
Pleiku, La Grai: 130,000 VND/kg
Kon Tum Province:
130,000 VND/kg
After a sharp increase, coffee prices on both exchanges declined due to heavy speculative liquidation. Strong profit-taking at the peak caused Arabica, after repeatedly setting records during the session, to plunge significantly.
International Coffee Futures:
At the close of last week’s trading session:
Robusta Coffee (London):
March 2025 contracts: down 18 USD/ton, at 5,653 USD/ton
May 2025 contracts: down 34 USD/ton, at 5,663 USD/ton
Arabica Coffee (New York):
March 2025 contracts: down 15.6 cents/lb, at 413.45 cents/lb
May 2025 contracts: down 16.7 cents/lb, at 404.4 cents/lb
After a strong surge, coffee prices on both exchanges declined due to heavy speculative liquidation. Strong profit-taking at the peak led to Arabica’s deep drop right after setting multiple records during the session. However, coffee prices remain at a high level compared to the same period last year.
Market Outlook and Expert Analysis:
Experts believe that speculation over Brazil's coffee production outlook has caused significant fluctuations in the market. According to the Brazilian Ministry of Agriculture’s Crop Forecasting Agency, Brazil's 2025/26 coffee crop is projected to decrease by 4.4% compared to the previous year, hitting a three-year low of 51.81 million bags.
A Reuters report cited a coffee expert saying that two factors could put an end to this price surge:
1. High production from Brazil and Vietnam, which is expected no sooner than August 2026.
2. A significant decline in coffee consumption due to high prices.
Meanwhile, coffee traders remain concerned about low stock levels in Brazil, the country that produces nearly half of the world’s Arabica coffee. Currently, Brazilian coffee farmers have already sold about 85% of their harvested coffee and are in no rush to sell more.
T.Huong
Source: Kinhtedothi
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