World coffee price has increased dramatically from the end of November to now said a source from the trade ministry.
In response to decreasing world coffee output, traders have boosted buying and storing coffee, which is believed to be the reason for the sudden price spikes. Robusta is now hovering around US$712 a tonne in London trades, a rise of over US$100 a tonne compared to the average price last month.
The price of Vietnam’s export coffee is now at US$590 a tonne, an increase of some US$30 a tonne compared to the beginning of November.
The trade ministry forecasts that world coffee price will continue increasing in December. Currently, domestic coffee price has increased by 1,000 dong a kilogram compared with last month: coffee type 1 is 9,300–10,000 dong per kilogram and type 2 around 8,500–8,650 dong per kilogram.
The country is expected to export 900,000 tonnes of coffee this year earning US$590 million. This will be the highest record in coffee exports over the past 30 years, the trade ministry said.
In the first eleven months, coffee exports increased 44% to 800,000 tonnes bringing US$550 million.