Robusta Coffee Prices in Vietnam and Indonesia

Robusta Coffee Prices in Vietnam and Indonesia : Coffee sales in Vietnam have been moderate with export prices easing this week while strong domestic consumption in Indonesia has limited export flows, Vietnam and Indonesia account for a quarter of global coffee exports.

Domestic coffee sales in Vietnam were slow because buying prices now stood around 6 percent below the key level of 38 million dong ($1,690) a tonne, at which speculators and growers could release stocks, traders said.

Vietnam's robustas grade 1, similar to Sumatran coffee, were offered at premiums of $110-$120 a tonne to November, while Indonesia's Sumatran robusta grade 4, 80 defects were offered at a premium of $100 a tonne.

"Domestic producers are buying actively in Indonesia now," a trader said, noting the flow for export so far this year has been higher than in the previous season.

Robusta exports from Indonesia's main growing area in Sumatra rose 70 percent from a year earlier to 45,700 tonnes in August, government trade data showed.

The August volume brought Indonesia's coffee exports in the current crop starting in April to nearly 131,000 tonnes, up nearly 51 percent from a year earlier, based on government data.

An Indonesian coffee industry group has lowered its output forecast to 500,000 tonnes this year from a previous estimate of 600,000-650,000 tonnes, due to the El Nino dry weather pattern.

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