On April 6, coffee prices in the Central Highlands region exceeded VND100,000 (US$4) a kilogram. By April 7, prices have plummeted to a new record of VND103,000 (US$4.13) a kilogram at many localities.
The Vietnam Coffee-Cocoa Association (VICOFA) informed that domestic coffee prices would continue to maintain an upward trend under the impacts of the consistent fluctuations in global coffee prices. However, it is difficult to predict exactly the future peak.
Domestically, the significant rise in coffee bean prices is impacting many coffee processing and exporting enterprises, especially those that have signed long-term contracts with partners when coffee prices were low.
The domestic coffee bean prices have consistently risen due to a prolonged shortage tension of coffee supply sources for manufacturing factories from June 2023 until the 2024 production season.
Apart from the factor of coffee supply source shortage, prolonged heatwaves and drought in the Southeastern and Central Highlands regions led to significant output decrease of about 20 percent in this crop season.
The Ministry of Agriculture and Rural Development said that coffee export activities will be still ensured.
