Coffee prices today, March 31st: Robusta drops nearly 5%, domestic prices plummet.
Coffee price update March 31st: Domestic prices plummet to 87,000 VND/kg. World Robusta prices fall nearly 5% due to supply pressure from Brazil and the highest USD level in the past 10 months.
Domestic and global coffee prices fell sharply in the last trading session of March. In the Central Highlands region, the official purchase price dropped below 90,000 VND/kg.
Domestic coffee market
As of 11:00 AM on March 31st, coffee prices in key producing provinces had decreased by 4,700 - 4,800 VND/kg:
- Dak Nong:87,700 VND/kg (down 4,800 VND/kg).
- Dak Lak and Gia Lai:87,500 VND/kg (down 4,800 VND/kg).
- Lam Dong:87,000 VND/kg (down 4,700 VND/kg), the lowest price in the entire region.
World coffee market
At the close of trading on March 30, red dominated online exchanges:
- London Stock Exchange (Robusta):The May 2026 contract fell 4.83% to $3,419 per ton. The July 2026 contract fell 4.77% to $3,348 per ton.
- New York Stock Exchange (Arabica):The May 2026 contract fell 3.02% to 292.55 US cents per pound. The July 2026 contract fell 3.13% to 286.6 US cents per pound.
Reasons for the sharp drop in coffee prices.
Robusta coffee prices hit their lowest level in over 7 months due to a combination of factors:
- Abundant supply:Brazil is forecasting a record harvest with a strong recovery in Arabica production. Cooxupe cooperatives anticipate a 12% increase in purchases compared to last year. Organizations such as Marex Plc and StoneX have raised their forecasts for Brazil's production to 75-76 million bags.
- Favorable weather:Key crop-growing regions in Vietnam have stable climatic conditions suitable for crops.
- Exchange rate pressure:The US dollar index (DXY) climbed to its highest level in 10.5 months, putting significant pressure on commodity prices.
- Consumption demand:Consumption growth in the Middle East is showing signs of slowing down.
Market supporting factors
Despite the prevailing downward trend, the market received some support from Robusta inventories on the ICE exchange reaching a 3.5-month low. On the other hand, the lack of rain in Minas Gerais (Brazil) and shipping disruptions in the Strait of Hormuz increased logistics costs, contributing to a localized tightening of supply.
In other news, Italian coffee company Lavazza has just announced positive business results in both revenue and profit, despite fluctuating raw material prices and weakening overall demand.