Thai rice prices hit 3-week high on strong baht

Photo caption — Rice is displayed for sale at a store in Narathiwat, Thailand. Photo: AFP/TTXVN

Thai 5% broken rice was offered at $355-$365 a tonne, the highest since Aug. 21, compared with $355 last week, traders said, citing a stronger baht. Additional purchases ahead of Christmas shipments were the only notable support, a trader said.

In Vietnam, according to the Vietnam Food Association, 5% broken rice prices were offered at $450-$455 per ton this week, down from $455-$460 per ton a week ago.

A trader in Ho Chi Minh City said the Philippines’ 60-day suspension of rice imports, which began on September 1, is starting to have an impact. Traders said exporters have slowed purchases of paddy from farmers due to weaker demand from overseas markets.

In India, 5% broken parboiled rice prices were quoted at $367-$371 per tonne this week, unchanged from last week. India’s 5% broken white rice prices were quoted at $361-$366 per tonne this week.

Demand is improving as Indian rice is trading at a discount compared to supplies from other Asian countries, a trader in New Delhi said.

Meanwhile, Bangladesh has purchased a record amount of food under its 2025 summer rice procurement program. Despite bumper harvests, stable imports and ample reserves, domestic rice prices continue to rise.

US agricultural market

Soybean and corn futures on the Chicago Board of Trade rose in the September 12 trading session after the US Department of Agriculture (USDA) released its monthly supply and demand report with pessimistic but unsurprising forecasts.

On the Chicago Board of Trade (CBOT), soybean futures for the nearest delivery contract closed up 12.75 cents at $10.4625 a bushel. Corn futures for the nearest delivery contract rose 10.25 cents to $4.30 a bushel, while wheat futures for the nearest delivery contract rose 2 cents to $5.2350 a bushel, thanks to the spillover from the corn market (1 bushel of corn = 25.4 kg; 1 bushel of wheat, soybean = 27.2 kg).

According to a report released by the USDA on September 12, the corn harvested area this season will be the largest since 1933, leading to a larger-than-expected increase in production, although crop yields will not reach previous forecasts.

Arlan Suderman, chief commodities economist at StoneX, said the rise in prices was due to the USDA report, which, while negative, was not enough to trigger a wave of selling or scare away existing buyers. He said the market seemed to be “relaxed” because the news was not unexpected.

World coffee market

World coffee prices increased sharply on both exchanges in the session of September 12. On the ICE Futures Europe exchange in London, the price of Robusta coffee for delivery in September 2025 increased by 124 USD/ton to 4,817 USD/ton, while the price for delivery in November 2025 increased by 80 USD/ton to 4,601 USD/ton. On the ICE Futures US exchange in New York, the price of Arabica coffee for delivery in September 2025 increased by 9.65 US cents to 410.65 US cents/lb, while the price for delivery in November 2025 increased by 10.75 US cents to 396.85 US cents/lb.

In the domestic market, coffee prices in the Central Highlands region on September 13 increased by VND2,000/kg. Specifically, coffee prices in Dak Lak and Gia Lai provinces were at VND120,200/kg, while coffee prices in Lam Dong province were being offered at around VND119,800 - VND120,200/kg.

In recent days, coffee prices in both international and domestic markets have increased sharply, attracting the attention of not only exporters but also consumers. Behind this price increase is the resonance of many factors: unfavorable weather, escalating production costs, booming global consumption demand and increasingly strict international trade policies.

The global coffee supply is under great pressure from climate change. Brazil, the world’s largest producer of Arabica, has just experienced a severe drought and unusual frost, causing a sharp decline in production. In Vietnam, floods appeared right after a long dry period, affecting both the quality and progress of the harvest. These sudden weather fluctuations have significantly reduced the amount of coffee brought to the market, while inventories in international reserves have also continuously decreased.

In addition to the weather, the cost of coffee production is increasing. Rising prices for fertilizer, labor, energy, and transportation force farmers and businesses to sell coffee at higher prices to cover costs. In addition, sharp increases in international shipping costs due to fuel prices and logistical barriers further increase the price of exported coffee.

Political and trade factors also contributed to the heat in the market. The US has just imposed a 50% import tax on Brazilian coffee, disrupting the flow of goods. Instead of exporting large volumes to the US, Brazil has shifted to Europe and Asia, causing disruption in supply and prices. These barriers add pressure to an already unstable market.

Not only practical factors, but also market psychology plays a significant role. As Arabica and Robusta coffee futures continue to climb, speculators and businesses tend to hold onto stocks in anticipation of better prices. This makes the circulating supply in the market even scarcer, pushing prices up even faster.

Source: https://baolamdong.vn/gia-gao-thai-lan-cham-muc-cao-nhat-3-tuan-do-dong-baht-manh-391328.html