Domestic coffee prices head to new peaks
The domestic coffee market this morning (January 27) continued to maintain a brilliant green color, extending the upward momentum from the beginning of the week. Purchasing agents in the key Central Highlands region have adjusted to increase prices from 300 - 800 VND/kg depending on the locality. The average price of the whole region has now climbed to 101,600 VND/kg.
Today's focus of attention is on Dak Nong province (old), which recorded the most impressive increase of 800 VND/kg, bringing the purchasing price to a peak of 101,800 VND/kg, only 200 VND away from the 102,000 VND mark.
In Dak Lak, the price also increased by 600 VND, listed at 101,600 VND/kg.
Gia Lai province recorded an increase of 500 VND, trading at 101,500 VND/kg.
Meanwhile, Lam Dong increased by 300 VND, officially reaching the mark of 101,000 VND/kg.
World coffee prices
The world market has just experienced a sublime trading session. On the London exchange, Robusta coffee futures for March 2026 increased by another 55 USD (equivalent to 1.33%), closing at 4,197 USD/ton. The New York exchange also witnessed the explosion of Arabica with an increase of 5.35 cents (1.52%), closing the session at 356.25 cents/lb.
The main driving force for the sharp increase in coffee prices is that the USD index (DXY) continued to plummet by 0.5%, falling to its lowest level in 4 months. The weakening greenback often supports commodity prices, including coffee, becoming more attractive to other currency holders.
In addition, the basic factor of supply is still supporting prices. The Cecafe Association reported that Brazil's coffee exports in December decreased by 18.4%, of which Robusta exports fell sharply by 61% compared to the same period. In addition, weather information shows that Brazil's largest Arabica growing region, Minas Gerais, only received 53% of the historical average rainfall in the past week, raising concerns about drought affecting yields.
Market outlook and forecast
Although prices are increasing well thanks to monetary factors and concerns about supply from Brazil, the market still has potential risks of correction. Inventory data on the ICE exchange is showing signs of recovery: Arabica inventories have risen to a 2.5-month high in mid-January, and Robusta inventories also reached a 1.75-month high at the end of last week.
However, with the current excitement and the fact that coffee prices in Dak Nong (old) have approached 102,000 VND, the short-term trend of domestic coffee prices is still positive. The decline in Robusta supply from Brazil is creating a great advantage for Vietnamese coffee.
