Coffee prices in Dak Lak, the country’s largest coffee bean-growing province, stood at US$2.08-US$2.11 (VND47,300-VND48,000) per kg at the end of last week as stockpiles remain low.
Inventories are expected to linger at a three year low until the next harvest season gets underway in October, said Pham Ngoc Bang, deputy general director of Dakman Vietnam based out of Dak Lak.
He noted that only about one quarter of last year’s harvest is left, which makes it hard to purchase beans. Heavy rain in Vietnam last December took a toll on both bean quality and supply during the drying process.
|Photo for illustration.
Beans are much darker and of lower quality than usual due to the rain, he added, which has resulted in sellers taking a negative hit on prices.
Activity in the coffee market is expected to pick up over the next few weeks as Indonesian farmers begin an early harvest starting late March before they enter the main harvest season beginning in July.