BANDAR LAMPUNG: Vietnam coffee prices were subdued due to weak demand and ample supplies in Indonesia and Brazil, though global prices rose, traders said on Thursday.

Farmers in the Central Highlands, Vietnam's largest coffee growing area, sold coffee at 32,600-33,000 dong ($1.41-$1.42) per kg, up from 32,000 dong a week earlier.

September robusta coffee settled up $40, or 3%, at $1,357 per tonne on Wednesday, its highest level in nearly six months.

"Market prices rose in the past week following the surge in London prices," one of the traders based in the coffee belt said.

"But only a few transactions took place this week due to low stock in Vietnam but ample supplies in Brazil and Indonesia."

Although the weather now is favourable for baby cherries to grow well, the National Hydrology Meteorology Forecast Center last week said that it was likely to rain heavily in the Central Highlands in November.

"That would seriously affect cherries picking and drying process and would hurt the beans' quality. I'm so worried," another trader based in the region said.

Traders in Vietnam offered 5% black and broken grade 2 robusta at a $160 premium per tonne to the September contract, down from $200-$220 premiums range last week.

Another trader quoted $50 premium to the November contract.

Another trader quoted $250 premium to the August, September and October contracts.