Coffee sales in Vietnam are expected to pick up this week after domestic prices, tracking gains in London, rose 2.5 percent on Tuesday from late last week, traders said. On Monday London's September robusta coffee contract finished up $9 at $1,379 a tonne.
A pick-up in roaster buying has helped to halt a slide that saw prices fall on Friday to the lowest levels since the contract was revised in January 2008. Local quotations in Buon Ma Thuot, the capital of Daklak, Vietnam's top coffee-growing province, rose to around 25,000 dong ($1.36) per kg from as low as 23,800 dong on Monday and 24,400 dong last Friday, traders said.
Offers for spot shipment rose to around $1,360 per tonne on Tuesday from $1,340 on Friday, but that was still lower than last Tuesday when they stood at $1,445 per tonne, they said. "Quickly thinning local stocks plus the gain in London will support domestic prices this week and we expect farmers to sell more to take advantage of the price rise," said a trader in Buon Ma Thuot who declined to be named.
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