Coffee prices on 06/16/2024: Sharp decline this week

Coffee prices on June 16 globally

On the global market, both London and New York markets on June 16 are stable.

Specifically, the price of Robusta on the London market for July 2024 delivery is stable at $ 4,115/ton. And the September 2024 contract remains at $ 4,009/ton.

Meanwhile, on the New York market, the price of Arabica for July 2024 delivery is holding steady at 224.15 cents/lb. The September 2024 contract is at 224.40 cents/lb.

World coffee prices today are stable. Summarizing this week, Robusta futures for July delivery dropped sharply by $ 160/ton, while Arabica futures for the same period decreased by 0.65 cents/lb.

This week's decline in coffee prices was expected after previous strong increases. Despite unfavourable technical indicators, coffee prices have continued to rise recently.

Currently, favourable weather conditions for harvesting in Brazil have increased warehouse inventories, and excessive speculation on the market has put pressure on coffee prices. Meanwhile, rising demand and high shipping costs, along with concerns about reduced harvests in Vietnam, have helped coffee prices recover.

According to the ICO report, coffee exports in Asia-Pacific decreased by 0.3% in April to 3.8 million bags. Once again, Vietnam played a decisive role in this region, with coffee exports declining by 6.9% in April.

It can be seen that Vietnam's coffee exports have declined in 5 out of the first 7 months of the 2023-2024 crop year, marking the third consecutive monthly decline for the country.

ICO explained that Vietnam's export decline was due to high exports in the 2022/23 crop year and an off-cycle production year. However, April's export volume was still lower than the 2.8 million bags average over the same period in the past 3 years.

Thus, global coffee prices on 06/16/2024 showed no new changes compared to yesterday.

Coffee prices on June 16 domestically

In the domestic market, coffee prices today, June 16, remain unchanged compared to yesterday.

Specifically, in Lam Dong province, the districts of Di Linh, Bao Loc, and Lam Ha are trading at VND 119,000/kg.

In Dak Lak province, Cu M'gar district is purchasing coffee at VND 120,000/kg today. Meanwhile, Ea H'leo and Buon Ho districts are trading at VND 119,900/kg.

In Dak Nong province, traders in Gia Nghia and Dak R'lap are trading at VND 120,200/kg and VND 120,100/kg, respectively.

In Gia Lai province, Chu Prong district is trading at VND 120,000/kg, while Pleiku and La Grai are maintaining prices at VND 120,000/kg.

The purchasing price in Kon Tum today is VND 120,000/kg.

Domestic coffee prices today have shown no new changes and continue to hover around VND 120,000/kg. Summarizing this week, the domestic coffee market has experienced a significant decline of up to VND 3,500/kg.

Thus, domestic coffee prices on 06/16/2024, are trading around the range of VND 119,000 - 120,500/kg.