Domestic coffee prices
The domestic coffee market this morning, March 20, exploded with brilliant green color after a series of stable recovery days. Key coffee growing localities simultaneously adjusted to increase purchasing prices from 800 to 1,000 VND/kg, helping the average price of the entire Central Highlands region reach 93,500 VND/kg. This strong increase has brought domestic coffee prices back to the highest price range in the past 3 weeks.
Detailed purchase prices in regions:
Dak Lak and Gia Lai: Both break through with an additional 1,000 VND, currently purchasing at 93,500 VND/kg.
Dak Nong (old): Increased by 800 VND, currently anchored at 93,500 VND/kg.
Lam Dong: Recorded price of 92,300 VND/kg after increasing by 800 VND compared to the previous session.
The synergy between the actual shortage of goods and increased logistics costs is creating an extremely solid foundation for domestic prices.
World coffee prices
Thursday's trading session witnessed world coffee prices surge, with Arabica setting a 1-month high and Robusta reaching a 1-week high.
New York Stock Exchange (Arabica): May 2026 futures increased by 8.00 cents (+2.73%), closing at 300.90 cents/lb. The increase occurred despite pressure from ICE inventory of Arabica reaching a peak of 5.75 months (more than 585,000 sacks) and StoneX's forecast of record output of 75.3 million sacks for Brazil next crop.
London Stock Exchange (Robusta): May 2026 futures increased sharply by 90 USD (+2.51%), closing the session at 3,669 USD/ton. Robusta prices exploded as inventories on the ICE exchange continued to fall deeply to a 2-month low (only 4,285 lots), forcing speculators to buy back less aggressively. The closure of the Hormuz Strait due to the war in Iran increasing freight and fuel costs also continued to be the main driving force pushing prices up.
Market outlook
The coffee market is showing strength from demand and geopolitical risks. Although Brazil received good rain (Minas Gerais region reached 139% of the historical average) and Vietnam increased exports by 14% in the first 2 months of the year, sea transport bottlenecks have created a temporary "bottleneck" in global supply. The continuous decline in Robusta inventory on the London exchange since the beginning of March is the clearest proof of short-term shortages.
It is forecasted that in the last sessions of the week, coffee prices will continue to maintain the excitement around the 93,000 - 94,500 VND/kg range. However, farmers should note that long-term record production reports from Rabobank and Conab may trigger a wave of profit-taking at any time.
