Airfare prices are getting hotter as summer travel season begins

* Airline ticket prices are gradually "heating up" as the summer tourist season begins

Entering the peak summer season, airfares also start to increase in price, especially flights to domestic tourist destinations such as Da Nang, Nha Trang, Phu Quoc,...

Due to the peak tourist season with increased demand for vacations from many passengers, airfares in June are much different from those in May, with many flights having prices about 20% higher.

The airfare market is getting hotter and hotter, especially for domestic flights. If you keep an eye on it for a while, you can easily see that airfares are increasing day by day.

Entering the peak summer tourist season, airfare prices are gradually "heating up". In the photo: Passengers passing through Vinh International Airport. Photo: Viet Phuong

Specifically, ticket prices from Hanoi to Nha Trang in mid-June range from 3.26 million VND/round trip ticket (Vietnam Airlines) to 3.5 million VND (Vietjet Air). On weekends, ticket prices go up to 4.2 million VND.

Airfare from Hanoi to Da Nang in June ranges from 2-2.3 million VND, in July it increases to 3.2-3.6 million VND/round trip ticket depending on the airline.

Hanoi - Quy Nhon route, ticket price ranges from 2.6-3.5 million VND depending on the airline. But in July, ticket price increased to about more than 4 million VND/round trip ticket.

The Hanoi - Phu Quoc route, compared to the peak period of April 30 - May 1, is somewhat cooler, because this is the rainy season on the Pearl Island, so the ticket price during the week is very cheap, only from over 2 million VND/round trip ticket if flying Vietjet, 3.38 million VND if flying Vietnam Airlines. However, entering July, the weekend ticket price increased to nearly 4 million VND/round trip ticket.

Not only domestic airfares increase but international airfares also increase during the peak summer season.

To prepare well for the peak summer season of 2023 as well as best serve the increased travel demand of people during this period, airlines have planned to increase flights. From June 1 to August 15, Vietnam Airlines, Pacific Airlines and VASCO (under Vietnam Airlines Group) will provide more than 7.3 million seats on the entire domestic and international flight network.

During peak periods, airlines will operate nearly 500 flights per day, an increase of approximately 30% compared to normal.

* Steel prices rise again on the stock exchange

Today's steel price for October 2023 delivery on the Shanghai Futures Exchange increased by 76 yuan to 3,524 yuan/ton. Steel futures for January 2024 delivery increased by 57 yuan to 3,452 yuan/ton.

Since April 8, steel prices have fallen for eight consecutive sessions and are below VND15 million/ton. Previously, when steel prices went through many price increases, construction prices also increased. However, steel prices have now fallen sharply but house construction prices have not decreased.

Construction steel prices have now decreased for 8 consecutive sessions.

Explaining this, a representative of a construction company said that steel prices have been fluctuating continuously since the beginning of the year, so it is difficult to determine construction prices. Besides, steel prices in the total construction cost are not too large.

Specifically, raw materials such as iron, steel, cement, bricks and sand generally account for 30% of the total cost, labor accounts for 30% of the project value and the remaining 40% is finishing materials. Although steel prices have decreased slightly compared to the beginning of the year, other costs remain unchanged. Therefore, the unit price for building a private house in the raw part is still fluctuating at a high level, from 4.2 to 4.5 million VND/m2. The price difference will depend on the construction area, the unit, the implementation area...

Since May 30, many domestic steel companies have continued to lower steel prices by VND200,000-300,000/ton, mainly for D10 CB300 rebar. Currently, domestic construction steel prices are about 20% lower than the same period last year.

* Export rice price increased by 3 USD/ton

Rice prices today, June 2, in the Mekong Delta remained stable. Meanwhile, export rice prices increased by 3 USD/ton to 498 USD/ton.

Accordingly, in An Giang, OM 18 rice is purchased by traders at 6,800 VND/kg; OM 5451 rice is priced at 6,300 - 6,500 VND/kg. IR 50404 rice is priced at 6,200 - 6,400 VND/kg. Nang Hoa 9 rice is purchased by traders at 6,600 - 6,800 VND/kg. Dai Thom 8 rice is priced at 6,800 - 7,000 VND/kg. Nhat rice is priced at 7,800 - 8,000 VND/kg. Nang Nhen rice (dry) is 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.

Domestic rice prices remain stable today. Photo: Viet Phuong

Regarding rice, the price of rice also tends to move sideways. Specifically, the price of raw IR 504 Summer-Autumn rice fluctuates around 9,450 - 9,650 VND/kg; finished IR 504 rice is 10,800 - 10,950 VND/kg.

For by-products, the price of broken rice remains stable at 9,400 - 9,500 VND/kg; dry bran 7,400 - 7,550 VND/kg.

In the export market, Vietnam's export rice price is being offered at 498 USD/ton, an increase of 3 USD/ton compared to yesterday; 25% broken rice is at 483 USD/ton. At this price, Vietnam's rice is currently 5-18 USD/ton higher than the same type of Thai rice.

The Vietnam Food Association assessed that this year is the most favorable for rice exports. Import demand in traditional markets such as the Philippines, China and Malaysia has increased sharply. Along with that, rice exports to new markets such as Indonesia and some African countries have increased dramatically. In addition, Vietnamese fragrant rice has been promoted in niche markets and has increasingly gained its own position, helping to make the rice export picture "more brilliant".

* Domestic coffee prices decreased by 100 VND/kg

Today's domestic coffee price, June 2, fluctuates from 60,200 - 60,800 VND/kg, down 100 VND/kg compared to yesterday.

Specifically, the price of green coffee beans (coffee beans, fresh coffee beans) in Lam Dong province, in districts such as Bao Loc, Di Linh, Lam Ha, coffee is purchased at a price of 60,100 - 60,200 VND/kg.

Coffee prices in Gia Lai and Kon Tum provinces stood at 60,500 VND/kg.

In Dak Nong province, coffee is purchased at a high price of 60,800 VND/kg.

Today's coffee price in Dak Lak province decreased by 100 VND/kg, in Cu M'gar district, the coffee price is currently at 60,600 VND/kg. In Ea H'leo district, Buon Ho town, the price is 60,700 VND/kg.

For world coffee prices, on the London and New York exchanges, the trend is upward.

Vietnam's coffee crop output this year is also forecast to decrease. According to the Vietnam Coffee and Cocoa Association (VICOFA), the output in the 2022-2023 crop is expected to decrease by about 10-15% compared to the 2021-2022 crop to about 1.47 million tons.

Demand for Robusta coffee remains high as the instant coffee industry continues to need this “cheap” coffee. The shortage is having a clear impact as Robusta coffee prices on the world market remain high.

Robusta coffee shipments in the period from October 2022 to March 2023 increased by 4% compared to the same period in 2021-2022, according to the International Coffee Organization.

According to experts, Vietnam's coffee exports are receiving good support from transaction and domestic prices remaining at record highs to aim for maintaining the 2023 turnover at 4 billion USD.