Coffee price on 07/7/2023: The market fluctuates slightly

World coffee price on July 7

Coffee prices on July 7 in the world market increased and decreased in two major exchanges.

At the time of the survey, the price of Robusta coffee on the London exchange for delivery in September 2023 decreased slightly by $ 2/ton (equivalent to 0.08%); down to $ 2,510/ton.

The price of Arabica coffee on the New York exchange delivered in September 2023 increased slightly by 1.55 cents/lb (equivalent to 0.98%); to 160.45 cents/lb.

For the November delivery term, the price of coffee on this floor increased by 1.50 cents/lb (equivalent to 0.95%); to 159.65 cents/lb.

World coffee prices today fluctuated slightly when the London exchange had another 3rd consecutive day of decline, but increase again on the New York exchange.

The coffee market on the London exchange continued to correct slightly, which is not out of the speculative market. The impact of the current monetary policy of major central banks is at a high level. Meanwhile, the net buying of Robusta coffee on this floor is still too much with the difference in price (Dif) in producing countries being pushed to a high level, around $ 250-300/ton, causing real commodity prices to set a 15-year high.  

On the New York exchange, Arabica coffee prices reversed to increase after the release of the minutes of the June meeting, showing that there is a consensus among the Fed executives on the possibility of further tightening of the currency at the upcoming meetings.

And this has caused USDX to bounce back, since then, investors have moved capital flows to seek shelter in high-liquid commodity exchanges. This finally shook the coffee futures markets significantly.

Thus, the price of coffee on 07/7/2023 in the world market increased and decreased in contrast to yesterday.

Domestic coffee price on July 7

Coffee price on July 7 in the domestic market decreased by VND 100/kg compared to yesterday. 

Specifically, the price of Lam Dong coffee (in 3 districts of Di Linh, Bao Loc and Lam Ha) is being purchased at VND 64,500/kg today.

In Cu M'gar district (Dak Lak), the price of coffee today is kept at VND 64,800/kg. In Ea H'leo and Buon Ho districts, today's coffee price in Dak Lak is at VND 64,700/kg.

Coffee prices in Gia Nghia and Dak R'lap of Dak Nong province today were purchased at VND 65,000 and VND 64,900/kg, respectively.

In Gia Lai, the price of coffee in Chu Prong today is at VND 64,600/kg; while Pleiku and La Grai are holding the same level of VND 64,500/kg.

The price of coffee today in Kon Tum is being purchased at VND 64,600/kg.

The domestic coffee price today has another consecutive day of slight decrease, but the threshold of VND 65,000/kg is still there.

According to data from the Agency of Foreign Trade, our country's coffee exports in June 2023 reached 150,000 tons, worth $ 392 million, unchanged in volume and up 2% in value over the previous month. 

Accumulated in the first 6 months of 2023, coffee exports reached more than 1 million tons, worth $ 2.4 billion, down 2.2% in volume, but up 3% in value over the same period last year. The average export price of coffee was estimated at $ 2,367/ton, up 5.2% compared to the first half of last year.

Experts forecast that the volume of exports from now to the end of the year may decrease by about 50% over the same period due to the gradual depletion of inventories, mainly from FDI exporters. 

However, the recent price increase is also not beneficial for FDI businesses because they have delivered goods to roasters before under contract. Therefore, inventories of FDI businesses this year are also lower than those of the same period last year. 

Thus, the price of coffee on 07/7/2023 in the domestic market traded around the threshold of VND 64,500 - 65,000/kg.

$ 1 = VND 23,440.00 - Source: Vietcombank