Coffee prices on 07/11/2024: Sharp decline

Coffee prices on July 11 globally

On the global market, both the London and New York exchanges saw a sharp decline on July 11.

On the London exchange, the price of Robusta for September 2024 delivery dropped by 157 USD, reaching 4,477 USD/ton. The November 2024 delivery price fell sharply by 153 USD, settling at 4,311 USD/ton.

On the New York exchange, the price of Arabica for September 2024 delivery decreased by 6.4 cents, down to 243.55 cents/lb. The December 2024 delivery price fell sharply by 5.95 cents, to 241.25 cents/lb.

Global coffee prices have sharply declined today after two consecutive days of increases.

The ICO reported that global coffee exports in May reached 11.8 million bags, up 9.8% compared to the same period last year, marking the eighth consecutive month of growth since the beginning of the current coffee year.

In the first eight months of the 2023/24 coffee year (October 2023 to May 2024), global coffee exports reached 92.7 million bags, an increase of 10.9% or 9.1 million bags compared to the same period last year.

Green coffee exports increased by 12% in May to nearly 10.8 million bags, accounting for 91.3% of the global coffee trade. The cumulative export in the first eight months of the current coffee year reached 84 million bags, up 11.6% compared to the previous year.

Brazilian Arabica was the main driver of global green coffee trade growth, with exports increasing by 56.1% in May and 24.8% in the first eight months of the 2023/24 coffee year, reaching a total of over 29 million bags. Brazil alone exported 3.1 million bags of Arabica in May, a significant increase of 59.2% compared to the same period last year.

Colombian Arabica exports also increased by 10% in May and 10.6% in the first eight months of the current coffee year, reaching 8.1 million bags. Colombia, the main producer and exporter of this type of coffee, exported 0.9 million bags in May and a total of more than 7.8 million bags in the first eight months of the 2023/24 coffee year, up 10.6% and 9.4% respectively compared to the same period last year.

Colombia's coffee production for the 2023/24 coffee year is estimated to increase by 18% compared to the previous year, reaching 12.5 million bags. Favourable weather conditions have helped Colombia's coffee production recover positively and boost exports.

However, Colombia's export volume is still significantly lower than the average of nearly 8.6 million tons in the first eight months of the 2017/18 - 2021/22 coffee years.

Thus, global coffee prices on 07/11/2024, have sharply declined compared to yesterday.

Coffee prices on July 11 domestically

In the domestic market, coffee prices today, July 11, have decreased by VND 1,000 compared to yesterday.

Specifically, in Lam Dong province, the three districts of Di Linh, Bao Loc, and Lam Ha are all trading at VND 127,100/kg.

In Dak Lak province, Cu M'gar district is buying at VND 127,700/kg today. Ea H'leo and Buon Ho districts are also trading at VND 127,70/kg.

In Dak Nong province, traders in Gia Nghia and Dak R'lap are trading at VND 127,600/kg and VND 127,500/kg, respectively.

In Gia Lai province, Chu Prong district is trading at VND 127,600/kg, while Pleiku and La Grai are both holding at VND 127,500 /kg.

In Kon Tum, the purchasing price today is VND 127,500/kg.

Domestic coffee prices today have sharply reversed, falling to around VND 127,000/kg. This marks the first decline of the week, following two consecutive days of strong increases.

Thus, domestic coffee prices on 07/11/2024, are trading around VND 128,100 - 128,700/kg.

$ 1 = VND 25.215 - Source: Vietcombank.