HANOI/BANDAR LAMPUNG- Trade in Vietnam’s coffee market was hit by a lack of beans at the end of the crop season, while prices dipped in Indonesia on rising supplies and low demand, traders said on Thursday.
Farmers in the Central Highlands, Vietnam’s largest coffee-growing area, sold coffee at 40,300-41,000 dong ($1.77-$1.79) per kg, little changed from last week’s 40,500-41,500 dong range.
“Buyers are turning to rival Brazil and Indonesia for beans as stocks are almost empty here,” said a trader based in Dak Lak province.
“The scarcity is the reason that is keeping prices from falling.”
The London ICE May contract settled up $4 at $2,092 per ton on Wednesday.
Traders in Vietnam offered 5 percent black and broken-grade 2 robusta at a discount of $220 per ton, compared with $250-$260 a week ago.
In Indonesia’s Lampung province, Sumatran robusta beans prices fell as new supplies came in while demand was tepid this week, traders said.
The beans were offered at a $170 discount to May and June contracts, down from last week’s $150 discount to the same contracts, one trader said. – Reuters
