Vietnam's coffee belt incurred minor damages from Typhoon Damrey, but the storm is not expected to impact productivity, traders said on Thursday. The typhoon, Vietnam's deadliest this year, flooded some low-lying areas such as M'Drak, Krong Nang and Krong Bong in the key coffee-growing region and ripped a small amount of coffee cherries off the trees. "Farmers may face delay in collecting the cherries, but this would not affect productivity," said Phan Hung Anh, deputy director of Daklak-based Anh Minh Coffee Company.
Traders said farmers in Daklak were offering coffee beans at 39,000-39,500 dong ($1.72-$1.74) per kg, tracking a price drop in the London robusta coffee market. Prices remained at the lowest level since September 6, 2016. Sellers offered the 5 percent black and broken grade 2 robusta at a discount of $30-$50 to the January contract, traders said.
In Indonesia, the grade 4 defect 80 robusta beans was being traded at a $50 premium to the January contract, rising from a $20-$30 premium last week, a trader in Bandar Lampung said. Indonesia's coffee market stayed quiet and traders were not very active due to depleting stocks, the trader said, adding that the lack of stocks has led to the continued rise in premiums.
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