"Selling by farmers dropped as London prices fell so quickly and as their demand for cash also decreased after the Lunar New Year holiday," said Phan Hung Anh, deputy director of Daklak-based Anh Minh Co. "I think if price rebounds to 48,000 dong, farmers might release more beans," he said. Discounts on 5-pct black and broken grade 2 robusta in Vietnam tightened to $50-$70 a tonne below the London's ICE May contract, from a discount of $65-$70 quoted on Tuesday, as a few beans are available.
Meanwhile, in Lampung, Indonesia's main coffee-growing area, there was no new trade as there was no supply. "Today's trading is so quiet, we are taking naps," an exporter said. Quotes for the robusta grade 4, 80 defects, reversed to a premium of $5-$20 a tonne to the March and May contract, compared with discounts of $5-$20 a week earlier, for a very thin trade on limited supply, exporter said.
Copyright Reuters, 2017