Coffee price today March 27, 2025: Strong increase again

Domestic coffee prices today

Domestic coffee prices today, March 27, 2025 in the Central Highlands region decreased slightly compared to yesterday, fluctuating between 134,400 - 135,400 VND/kg.

Accordingly, traders in Dak Nong province are purchasing coffee at the highest price of 135,400 VND/kg. A sharp increase of 1,600 VND/kg compared to yesterday.

Coffee price in Dak Lak province is 135,400 VND/kg, an increase of 1,700 VND/kg compared to yesterday.

Similarly, coffee prices in Gia Lai province increased by VND1,600/kg and were traded at VND135,300/kg.

In Lam Dong province, coffee prices increased by VND1,600/kg to VND134,400/kg.

In recent days, the Central Highlands region has been facing a serious water shortage. The early drought has put millions of hectares of key crops such as coffee, pepper, and durian at risk of withering due to lack of irrigation water.

Although it is only mid-March and the dry season has not really begun, many areas have seen wilting plants, and in some places people have even had to cut young rice to feed cows due to lack of water.

To save their crops, farmers in many localities rushed to drill wells. Initially, the wells were about 40–50 meters deep, but after a short time, the water ran out, forcing people to drill deeper, in some places up to 180 meters.

The massive exploitation of groundwater causes the water level to drop rapidly. People do not need to wait for scientific research to notice this when everyone is racing to drill wells.

At the same time, domestic coffee prices are setting new records, surpassing all historical highs. The main reason comes from the scarce supply globally, especially Robusta coffee.

Prolonged dry weather in major producing countries such as Vietnam and Brazil has added to market tensions. High prices bring big profits to farmers but pose a big challenge for processing and exporting enterprises.

World coffee prices today

Coffee prices on the world market fell sharply on both exchanges:

Robusta Coffee (London):

Delivery in May 2025: Down 120 USD/ton, to 5,471 USD/ton.

Delivery in July 2025: Down 111 USD/ton, to 5,468 USD/ton.

Arabica Coffee (New York):

May 2025 delivery: Down 9.65 cents/lb, to 388.9 cents/lb.

July 2025 delivery: Down 9.45 cents/lb, to 383.2 cents/lb.

Speculators are expected to return to the market soon after cutting their previous net buying positions, Reuters reported.

A report from Rabobank warns that rainfall in Brazil is at its lowest level on record, and if the drought continues, it could severely impact the 2024–2025 crop yield, as well as slow down the development of coffee trees for subsequent crops.

Data from the U.S. Bureau of Labor Statistics shows that the average price per pound of roasted coffee hit a record high of $7.25 in February. But the entire supply chain is under severe pressure.

Coffee roasters buy only the minimum quantity to maintain operations, while traders face cash flow difficulties, unable to transport goods from production to consumption.

The coffee futures market is also witnessing caution, with many small and medium-sized roasters temporarily withdrawing from the market.

Roasters are still waiting for prices to fall further before resuming hedging, said Tomas Araujo, an analyst at StoneX Group Inc., but he expressed doubts that prices will fall as expected.

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Source: https://baonghean.vn/gia-ca-phe-hom-nay-27-3-2025-tang-manh-tro-lai-10293852.html