Sideways, highest at 66,300 VND/kg

Coffee prices today (July 31) in the domestic market are stable. In particular, the highest transaction price was recorded in Dak Nong province at 66,300 VND/kg.

Update domestic coffee prices

According to giacaphe.com at 10:25, today's coffee prices are moving sideways across the board.

In particular, localities are purchasing coffee at prices ranging from 65,600 - 66,300 VND/kg.

Specifically, Lam Dong province has the lowest price of 65,600 VND/kg. Next are Gia Lai and Kon Tum provinces with 66,000 VND/kg.

At the same time of survey, Dak Lak province had a purchase price of 66,100 VND/kg.

Dak Nong recorded a transaction price of 66,300 VND/kg - the highest among the surveyed localities.

Local survey	Average purchase price	Change from yesterday's record
Dak Lak	66,100	-
Lam Dong	65,600	-
Gia Lai	66,000	-
Dak Nong	66,300	-
Kon Tum	66,000	-

Unit: VND/kg

Coffee price developments from January to July 31. (Synthesis: *Anh Thu* )

Update world coffee prices

According to records, coffee prices on the world market have decreased. Specifically, the online price of robusta coffee in London for delivery in September 2023 was recorded at 2,588 USD/ton after decreasing by 3.18% (equivalent to 85 USD).

The price of Arabica coffee for September 2023 delivery in New York was at 157.9 US cents/pound after decreasing 2.2% (equivalent to 3.55 US cents) at the time of survey at 6:16 a.m. (Vietnam time).

Nestlé India will invest ₹4,200 crore by 2025 to expand its manufacturing capacity in noodles, coffee and chocolates as it sees an opportunity to sell both mass and premium products in the country, its Indian packaged foods chief said.

“If you look at FY20 to FY23, about ₹2,100 crore has been spent on capital investments. This is in terms of capacity building. About a third of it has been invested in food; another about a third has gone into chocolates and confectionery. The balance has gone into nutrition and beverages. Another ₹4,200 crore is being spent between FY23 and FY25. This includes about ₹900 crore invested in a new plant in Odisha,” said Suresh Narayanan, Chairman and Managing Director, Nestlé India.

Earlier this month, Nestlé India received in-principle approval from the Industrial Promotion and Investment Corporation of Odisha Ltd (IPICOL) to set up its 10th plant in the country at an investment of ₹894 crore. The plant will start operations in the next two years and will manufacture noodles, chocolates and confectionery.

“We are creating capacity because we see that the underlying demand is quite strong,” Mr. Narayanan said, according to Mint.

The announcement is in line with the company's current plans to allocate ₹5,000 crore to build new research centres and factories in India by 2025.

“There will probably be two or three areas where investments will be made. One, of course, is the new plant in Odisha. Then there is further expansion of facilities in the coffee and beverage business. There is what we call phase three and phase four of the Sanand (Gujarat) plant, where we will set up, apart from the noodle lines, also confectionery lines. Then there is some expansion in Moga; and also in our plant in Ponda, the chocolate plant,” he added.

Nestlé India recently reported a 37% rise in standalone net profit and a 15% rise in operating revenue for the June quarter. Mr Narayanan said domestic volumes grew 4-5% in the quarter, including high single-digit growth in the dairy and nutrition category, similar growth to the previous quarter in the chocolate and confectionery category, and double-digit growth in value-added noodles. However, demand for low-cost packs remained weak, which Mr Narayanan said is now recovering.

Companies like Nestlé have been battling high inflation that has affected many parts of its business, from coffee procurement to packaging.

Mr Narayanan said prices for some of the commodities Nestle uses are cooling. “Milk and wheat prices have been stable so far. The impact of El Nino and how it will affect us is not known,” he said.

Source