In August, coffee export prices reached a record high of 3,054 USD/ton. This commodity's price also hit a record high on the domestic market. The business said that the coffee industry has never been in a situation where there is no more product to sell like it is now.
Vietnam's coffee exports in August 2023 were at a low point, the General Department of Customs reports, with 84.65 thousand tons earning 258.5 million USD, down 25.1% in volume and 2.9% in value from August of the previous year.

In the first 8 months of 2023, Vietnam's coffee exports reached 1.2 million tons, worth 2.96 billion USD, down 5.4% in volume but up 3.1% in value over the same period last year. 

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In August 2023, Vietnam's average coffee export price recorded a record high of 3,054 USD/ton, an increase of 8% compared to the previous month and a sharp increase of 29.7% compared to August 2022.

Our country's average coffee export price in the first 8 months of 2023 reached 2,463 USD/ton, up 8.9% over the same period last year.
As of August of this year, coffee shipments to Germany, Spain, and Belgium were down, whereas they were sharply up to Italy, the US, Japan, Russia, Algeria, and the Netherlands. Notably, coffee exports to the Indonesian market increased dramatically by 157.8% in volume and 118.6% in value compared to last year.

According to the Import-Export Department of the Ministry of Industry and Trade, the El Nino weather phenomenon anticipated to occur later this year is causing market concern. It will cause partial drought in the main coffee-producing countries around the Pacific. At the same time, the volume of certified coffee on both exchanges is still very low.

Because the market continues to be concerned about supply constraints, prices for Robusta coffee have recently recovered well.

In the domestic market, coffee prices continue to increase. Specifically, on September 15, coffee price in Dak Lak increased to 66,600 VND/kg, Lam Dong 65,900 VND/kg, and Gia Lai price 66,400 VND/kg in Dak Nong coffee was purchased at 66,900 VND /kg.

Information from the Department of Industry and Trade of Lam Dong province, as of September this year, coffee exports of this province are estimated to reach 69,250 tons, worth 154.5 million USD, an increase of 8.9% in volume and 19.18% in terms of value compared to the same period last year.
2023 is the year when green coffee has the highest export price in many years; however, the amount of coffee from people and businesses has dried up. We anticipate the coffee harvest season in Lam Dong at the end of this year.

Mr Phan Minh Thong, Chairman of the Board of Directors of Phuc Sinh Joint Stock Company, commented that the coffee industry has never been running out of goods to sell like it is now. The cost of coffee rose to a record high of 71,000 VND/kg, the highest level in the previous 30 years.

Vietnamese coffee, the world's second-largest supplier, is essential, claims Mr. Thong. However, Vietnam lost its coffee crop, causing scarce supply and increasing prices.

He forecasts that coffee prices will remain high in the last months of the year when the new harvest begins because of increased demand.

Leaders of the Vietnam Coffee and Cocoa Association (VICOFA) also admitted that coffee prices have been highest in the past 30 years. However, there was a shortage of coffee for August and September shipments. This led to a decrease in coffee exports from August to October compared to last year.

Recently, many gardeners have moved from cultivating coffee to planting fruit trees, according to VICOFA. Additionally, durian trees are now interplanted with intense coffee gardens, causing a drop in our nation's coffee production.

Furthermore, unfavourable weather is estimated to decrease this year's coffee output by 10-15%. However, coffee exports from now until the end of the year are still positive due to increased demand, while supply has not improved, VICOFA estimates.

According to the Ministry of Agriculture and Rural Development, the amount of coffee exported in 2023 will reach about 1.72 million tons, earning 4.2 billion USD.