Coffee price today 11/12/2024: Unprecedented rapid and strong fluctuations
Today's domestic coffee price, December 11, is at 123,500 - 124,000 VND/kg. The coffee market fluctuates faster and stronger than ever before.
Domestic coffee prices today
Specifically, today's coffee price in Dak Lak increased by 2,000 VND/kg compared to yesterday, reaching 124,000 VND/kg.
Coffee prices today in Lam Dong also increased by 2,500 VND/kg compared to yesterday, reaching 123,500 VND/kg.
Similarly, today's coffee price in Gia Lai increased by 2,000 VND/kg compared to yesterday, reaching 124,000 VND/kg.
Coffee prices today in Dak Nong are still at the highest level, increasing by 2,000 VND/kg compared to yesterday, reaching 124,000 VND/kg.
According to the General Statistics Office, Vietnam's coffee exports in November reached only 1 million bags, down 49.1% over the same period last year.
Accumulated in the first two months of the current coffee crop year (October and November), coffee exports from Vietnam, the world's largest producer and exporter of robusta coffee, reached 983,000 bags, 36.61% lower than the figure of more than 1.73 million bags in the same period last crop year.
However, the value of coffee sales in the first 11 months of 2024, was reported to have increased by 35.4% year-on-year to a record $4.9 billion.
World coffee prices today
At the end of the most recent trading session, the price of Robusta coffee in London for November 2024 delivery increased by 220 USD/ton compared to yesterday, at 5,466 USD/ton, and for January 2025 delivery increased by 229 USD/ton compared to yesterday, at 5,429 USD/ton.
Arabica coffee prices for December 2024 delivery increased by 16.25 cents/lb compared to yesterday, at 346.35 cents/lb, and for March 2025 delivery increased by 16.15 cents/lb compared to yesterday, at 343.80 cents/lb.
The domestic and international coffee markets have experienced a volatile week, with unprecedented rapid and strong price increases. This is a positive signal for farmers, but creates great pressure on coffee exporting, roasting and retailing businesses.
The Vietnam Coffee and Cocoa Association (VICOFA) assessed that the 2023-2024 crop year is one of the crop years with the strongest price fluctuations ever. Right from the end of the 2022-2023 crop year, the export supply began to be in short supply, and coffee prices have continuously increased since the beginning of the new crop year.
VICOFA also stated that these fluctuations are causing many difficulties and risks for import-export enterprises, especially in the implementation of international business contracts.
This year, domestic coffee prices have fluctuated so rapidly that at times they have exceeded export prices. Data from February to July shows that domestic coffee prices have consistently been higher than export prices, a rare occurrence in previous crop years.
Mr. Do Ha Nam, Chairman of the Board of Directors and General Director of Intimex Group, commented that coffee exporting enterprises are currently facing many risks. The main reason is the high cost of purchasing goods, while the market is unpredictable.
The strong fluctuations on the exchanges not only affect the price of coffee in the physical market but also pose great risks to roasters and exporters. In particular, many businesses apply the form of "selling first, buying later", so when the price of coffee increases sharply, they may fall into a situation where they have to buy goods at a higher price than the previous price, leading to losses.
In the context of the market continuing to fluctuate strongly, businesses need to be cautious and find flexible ways to respond to minimize financial risks.
