Domestic coffee prices edge down in Vietnam on coronavirus fears
Friday, March 13, 2020, 09:11 GMT+7
HANOI/BANDAR LAMPUNG, Indonesia -- Vietnam’s domestic coffee prices slipped this week due to growing concern over the coronavirus, while trading activity in Indonesia remained slow as traders await new supplies, traders said on Thursday.
“Farmers have started to release beans as they worry about a cut in their profits after the WHO declared coronavirus a pandemic,” said a trader based in the central highlands.
“But I think the coronavirus fears will not hit Vietnam’s coffee prices hard given the number of cases in the country is still low compared to the world,” he added.
Farmers in the Central Highlands, Vietnam’s largest coffee-growing area, sold coffee at VND31,100 ($1.34) per kg versus VND31,500 last week.
Although demand since the outbreak is not as high as it was, traders, exporters and roasters are still keen on Vietnamese robusta, traders said.
Vietnam exported 173,789 metric tons, or 2,896 60-kg bags, of coffee in February, up 19.8% from January, customs data showed on Wednesday.
May robusta coffee settled down $8 or 0.63%, at $1,271 per metric tons on Wednesday.
Traders in Vietnam offered 5% black and broken grade 2 robusta at a premium of $160 per metric tons to the January contract on Thursday, compared to last week’s range of $145-$155.
