Turn around and reduce 300 VND/kg

Coffee prices today (June 21) in the domestic market decreased by 300 VND/kg. Accordingly, the lowest transaction price in the localities is 66,200 VND/kg, continuing to be recorded in Lam Dong province.

Update domestic coffee prices

According to a survey at 8:50, today's coffee price decreased by 300 VND/kg.

According to records, localities are purchasing coffee at prices ranging from 66,200 - 66,900 VND/kg.

Of which, Lam Dong province has the lowest price of 66,200 VND/kg. Next is Gia Lai province with the price of 66,400 VND/kg.

At the same time of survey, Dak Lak province had a purchase price of 66,700 VND/kg.

Dak Nong recorded a transaction price of 66,900 VND/kg - the highest among the surveyed localities.

Market	Medium	Change
Dak Lak	66,700	-300
Lam Dong	66,200	-300
Gia Lai	66,400	-300
Dak Nong	66,900	-300
USD/VND exchange rate	23,320	0

Unit: VND/kg

Exchange rate according to Vietcombank

Coffee price developments from January to June 21. (Synthesis: *Anh Thu* )

Update world coffee prices

According to records, coffee prices on the world market have decreased. Specifically, the online price of robusta coffee in London for delivery in July 2023 was recorded at 2,807 USD/ton after decreasing by 0.92% (equivalent to 26 USD).

The price of Arabica coffee for July 2023 delivery in New York was at 177.45 US cents/pound after decreasing 4.03% (equivalent to 7.45 US cents) at the time of survey at 6:55 a.m. (Vietnam time).

The EC has just introduced a bill to ban the import of agricultural products whose production processes reduce forest areas.

Specifically, the EU's new anti-deforestation regulation requires companies to ensure that products sold in the European Union (EU) do not lead to deforestation and forest degradation.

Products subject to the new regulation include coffee, palm oil, soy, timber, livestock, cocoa, rubber (including derivative products containing, fed on or derived from products produced on land originating from deforestation and forest degradation) from countries entering the EU after 31 December 2020. Products in the above groups of goods if related to deforestation will be banned from import into the EU.

The new regulation will introduce new mandatory requirements by the end of 2024. There is not much time left to officially implement the bill banning the import of deforestation-related items from European countries, so Vietnam must step up the dissemination and enforcement of the above regulation.

VICOFA stated that coffee is a large and stable export item to the EU, currently accounting for about 42% of Vietnam's annual coffee export output. To stabilize and not fluctuate the market share of coffee exports to the EU, the Vietnamese coffee industry needs to comply with the regulations against deforestation and forest degradation approved by the European Council and effective from May 16, 2023.

According to the Sustainable Trade Initiative (IDH), Vietnam currently has about 1.3 million coffee-growing households, most of which have an area of only 0.5 hectares or less in 11 coffee-growing provinces.

This area is actually legal, not planted on land due to deforestation or forest degradation, but in reality, proving the origin according to regulations is not easy.

The Ministry of Agriculture and Rural Development believes that the EU's regulations on combating deforestation and forest degradation in agricultural production, including coffee, are both a challenge and an opportunity for us to restructure agricultural products, proving to the world that Vietnam is truly growing green.

Besides, requirements for traceability and transparency of agricultural product origin are inevitable demands from the market, including the EU market.

The Ministry requested the Department of International Cooperation to promptly submit to the Minister an action framework to implement this EU regulation; requested the Ministry's advisory agencies to adjust the action framework, consult with associations and industries to soon have an implementation program in line with the new European regulations.

Within the action framework, it is necessary to promote communication so that authorities and farmers clearly understand EU regulations on combating deforestation and forest degradation in agricultural production, including coffee; clearly define the responsibilities of the Ministry of Agriculture and Rural Development, authorities at all levels and people to implement EU regulations.

Source