Domestic coffee prices
After a short recovery last week, the domestic coffee market this morning, February 23, suffered a sharp price drop shock. Purchasing agents in the Central Highlands simultaneously lowered prices deeply from 3,200 to 4,100 VND/kg, bringing the average price across the region straight down to 93,700 VND/kg. This is one of the strongest declining sessions since the beginning of 2026.
Detailed price fluctuations in regions:
Gia Lai: Recorded the strongest decrease of up to 4,100 VND/kg, currently purchased at 93,600 VND/kg.
Dak Lak and Dak Nong (old): Both recorded a decrease of 4,000 VND, bringing the price of raw coffee beans to the same level of 93,700 VND/kg and 93,900 VND/kg.
Lam Dong: Reduced by 3,200 VND, currently trading at the lowest level in the region at 93.2 million VND/kg.
World coffee prices
The international market has just closed a week of pressured trading under the weight of abundant supply reports from both Brazil and Vietnam.
New York Arabica Exchange: Closing session at 288.30 cents/lb. Arabica prices have fallen to their lowest level in 15 months after Brazil's Conab forecasting agency estimated 2026 production will increase by 17.2%, reaching a record level of 66.2 million bags. In addition, abundant rainfall in the Minas Gerais region reaching 113% of the historical average also contributed to strengthening the prospect of a bumper crop.
London Stock Exchange (Robusta): Closed at 3,615 USD/ton, hitting a 6.25-month low. Robusta is under great pressure from Vietnam's exports as volume in January just past jumped 38.3% compared to the same period, reaching 198,000 tons. In addition, the continued recovery of inventories on the ICE exchange (Robusta is the highest in nearly 3 months) is also a factor that completely curbs the recovery momentum.
Market outlook
In general, coffee prices are under heavy pressure from long-term surplus prospects. USDA forecasts show that world coffee production in the 2025/26 crop year will reach a record of nearly 178.9 million bags. The combination of record crop season forecasts in Brazil and Vietnam's rapid export speed is causing speculative funds to continuously liquidate positions to take profits.
In the short term, domestic coffee prices may continue to struggle to establish a new bottom around the threshold of 92,000 - 94,000 VND/kg. However, the market still has a few strengths such as Brazil's exports in January decreasing by 42.4% or Colombia's output decreasing by 34%.
