Rice and coffee prices remain high; USD increases slightly; Gasoline prices are expected to decrease

Domestic coffee prices remain high

Coffee prices in the domestic market remained high last week, reaching nearly 62,000 VND/kg at one point, but quickly fell back. However, at the end of last week, coffee prices remained above 60,000 VND/kg, setting the stage for good coffee prices at the beginning of this week.

Coffee prices today, June 5 in the Central Highlands provinces range from 60,700 - 61,300 VND/kg. Of which, coffee prices in districts of Lam Dong province are generally 60,700 VND/kg. Coffee prices in Gia Lai province are from 61,000 - 61,100 VND/kg. Green coffee beans in Dak Lak province are generally 61,200 VND/kg and the highest price in Dak Nong province is 61,300 VND/kg.

Coffee price reached over 61,000 VND/kg.

According to a report by the Ministry of Agriculture and Rural Development, in the first 5 months of 2023, the export turnover of agricultural products reached 10.3 billion USD, an increase of 9.9% over the same period in 2022. While many items have decreased export value such as rubber, tea, pepper, etc., coffee exports emerged as one of the items with higher export value than the same period last year with a total export turnover in the first 5 months of the year reaching 2.02 billion USD, an increase of 0.2%, accounting for nearly 20% of the total agricultural export turnover.

World coffee prices remain stable

Coffee prices on the two exchanges in London (UK) and New York (USA) remained stable last week, opening this week's trading with basic prices equivalent to the same period last week.

Specifically, on the London Stock Exchange (UK), Robusta coffee prices in the most recent trading session before the opening on June 5 ranged from 2,430 to 2,575 USD/ton. Of which, the July 2023 coffee delivery term reached 2,575 USD/ton. The remaining coffee delivery terms had matching prices of 2,542 USD/ton for September 2023; 2,482 USD/ton for November 2023; 2,430 USD/ton for January 2024. Trading volume in the short term (July and September 2023 delivery terms) was very good.

On the New York Stock Exchange (USA), the price of Arabica coffee in the most recent trading session fluctuated from 174.95 to 180.3 cents/lb. The trading prices were 180.3 cents/lb for July 2023 coffee delivery; 177.7 cents/lb for September 2023 delivery; 175.35 cents/lb for December 2023 coffee delivery and 174.95 cents/lb for March 2024 coffee delivery. Similar to the London Stock Exchange, the trading volume for July and September 2023 on the New York Stock Exchange still accounted for the majority.

Customers stopped buying rice because of high prices.

On June 5, in the Mekong Delta region, there was no change compared to yesterday. Accordingly, in An Giang, OM 18 rice was purchased by traders at 6,800 VND/kg; OM 5451 rice was 6,300 - 6,500 VND/kg. IR 50404 rice was in the range of 6,200 - 6,400 VND/kg. Nang Hoa 9 rice was purchased by traders at the range of 6,600 - 6,800 VND/kg. Dai Thom 8 rice was in the range of 6,800 - 7,000 VND/kg. Nhat rice was in the range of 7,800 - 8,000 VND/kg. Nang Nhen rice (dried) was priced at 13,000 VND/kg.

Similarly, the price of glutinous rice is stable. Accordingly, AG glutinous rice (fresh) is priced at 6,200 VND/kg. AG glutinous rice (dried) is priced at around 8,200 - 8,400 VND/kg. Long An glutinous rice (dried) is priced at around 8,600 - 8,800 VND/kg.

Rice prices remain high.

Regarding rice, the prices of raw rice and finished rice products tend to remain stable. Specifically, the price of raw rice IR 504 Summer-Autumn fluctuates around 9,450 - 9,650 VND/kg; finished rice IR 504 10,800 - 10,900 VND/kg.

At the retail market, rice prices remain stable, with regular rice at 11,500 - 12,500 VND/kg; Jasmine fragrant rice at 15,000 - 16,000 VND/kg; Soc regular rice at 15,000 VND/kg; Sticky rice at 16,000 - 18,000 VND/kg; Regular white rice at 14,500 VND/kg; Nang Hoa at 18,500 VND/kg; Soc Thai at 18,000 VND/kg; Taiwanese fragrant rice at 20,000 VND/kg; Japanese rice at 22,000 VND/kg; Bran at 7,600 - 8,000 VND/kg; Thai long grain fragrant rice at 18,000 - 19,000 VND/kg and Huong Lai at 19,000 VND/kg.

According to traders, the amount of raw rice imported today is low. Summer-Autumn rice transactions are stable, rice prices fluctuate slightly in some areas.

Domestic rice market trading has slowed down as many customers are stopping buying due to high prices.

In the export market, the export price of 5% broken rice from Vietnam is being offered at 498 USD/ton; 25% broken rice is at 483 USD/ton. At this price, Vietnamese rice is currently 5 - 18 USD/ton higher than the same type of rice from Thailand.

USD exchange rate increased slightly

The dollar edged up in early trading Monday after earlier losses as a US debt ceiling deal raised market risks and reduced the dollar's safe-haven appeal. US consumer spending data also showed higher-than-expected growth in April and rising inflation. Markets are pricing in a 62% chance of a Fed rate hike in June.

Domestically, the USD price on June 5 was 23,469 thousand VND/1 USD for buying and 23,529 thousand VND/1 USD for selling.

Foreign exchange rates on June 5.

Businesses predict a drop in gasoline prices

Although there is still a week left until the domestic gasoline price adjustment period (June 11), with the current oil price developments in the world, some key enterprises and retailers said that it is likely that in the next adjustment period, domestic gasoline retail prices will be adjusted down by 500 - 700 VND/liter, and may even decrease by 1,000 VND/liter.

“If the world oil price fluctuates in a downward direction in the coming days, it is forecasted that domestic oil retail prices may be adjusted up by 500-700 VND/liter, or even decrease further. In addition, the adjustment of oil prices this time will depend on the allocation of the Oil and Gas BOG Fund and other adjusted fees, if any,” said a representative of a major oil and gas enterprise.

In the domestic market, the selling prices of gasoline and oil today, June 5, are still applied according to the price at the afternoon management session on June 1 of the Ministry of Finance - Industry and Trade. Accordingly, the price of E5 RON92 gasoline increased by 390 VND/liter, the new price is 20,878 VND/liter; RON95-III gasoline increased by 516 VND/liter, to 22,015 VND/liter.