(HSV VIETNAM GROUP) - Under the influence of El Nino, world market demand increased while supply was limited, helping the prices of rice and durian continue to increase, and coffee set a new record.
Since the beginning of the year until now, domestic and world coffee prices have continuously created new peaks. At the end of the session on February 17, each kilogram of green coffee increased to 80,100 VND, an increase of 1,400 VND compared to February 16. This is a record high ever.
The export price of rice currently remains at 640 USD per ton, equivalent to last year's peak.
Meanwhile, Vietnam's "king of fruit" durian at the beginning of the year increased in price by 20% compared to the end of 2023 and is being purchased by businesses at warehouses for grade A goods at 200,000 VND per kg Monthong. This price is equal to the old peak a year ago.
Managing the largest durian - coffee - pepper granary in Vietnam, Mr. Vu Duc Con, Deputy Director of the Dak Lak Department of Agriculture and Rural Development, assessed 2023 as a year when many agricultural products "have good harvests and good prices". In particular, coffee, durian, and sweet potatoes continuously set new peaks. At the beginning of this year, prices of many agricultural products continued to benefit as world demand increased.
Mr. Dang Phuc Nguyen - General Secretary of the Vietnam Fruit and Vegetable Association - said that this year, in addition to China's large demand, the impact of El Nino and the prolonged Red Sea crisis have reduced the amount of fruits and vegetables in Asian and West African countries, and increased transportation costs have pushed up commodity prices.
Vina T&T Group CEO Nguyen Dinh Tung forecasts that prices of many agricultural products will continue to increase in the first months of the year and balance in the middle of the year. Among them, durian, coffee, and rice are the main products of Vietnam that will achieve many new achievements.
With durian, according to him, in the near future, China will allow Vietnam to export more frozen products to this country, so the price will continue to increase, and the market may enter a period of stability. In February and March, when countries like Thailand and Malaysia no longer have durian, Vietnamese goods will continue to be sold at high prices.
Sharing the same opinion, Mr. Con said that when the demand from China is large, plus the new policies and protocols applied by this country will stimulate the growth of durian.
With rice products, according to export businesses, in the world market, prices are difficult to cool down because of supply-demand imbalance. Vietnam is the third largest manufacturing and exporting country in the world, so it continues to benefit.
As a product that has "broken its peak continuously in the past 6 months", green coffee is also forecast by businesses to exceed 80 million VND per ton. According to the leader of the Vietnam Coffee and Cocoa Association, importers around the world are looking to Vietnam to buy coffee. In 2023, businesses will almost "empty" their warehouses for export. This is also the first time in history that by June 2023, people had no coffee to sell. Currently, the inventory of these goods has decreased sharply and is the reason for prices to continue to reach new peaks.
The report of the Ministry of Agriculture and Rural Development also predicts that commodity prices will change many times this year. In January, prices of most products tend to increase compared to November 2023. Of which, coffee increased by 4-9%, regular rice by over 6%, mango by 8%, raw shrimp (4%), raw fish (5-6.7%)...
The Ministry sets a target growth rate of the whole industry of 3.2-4%; Total export turnover of agricultural, forestry and fishery products is 54-55 billion USD. Among them, key agricultural products such as rice, coffee, and durian will continue to make a breakthrough this year.
Ha Diem HSV