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Five export items to see price increases
16 | 08 | 2007
VietNamNet Bridge – The Information Advisory Council under the Ministry of Trade (MoT) has forecast that five items of farm produce will likely to see price increases, including coffee, pepper, seafood, rice and rubber.

Of these five items, coffee is likely to see the price increases in both the domestic and international markets due to the serious supply shortage.

According to the International Coffee Organisation, the 2006/2007 crop will provide 112mil bags of coffee only, a decrease of 7.87% compared to the previous crop. Coffee prices have seen sharp increases in the world’s market with robusta price reaching the $1,525/tonne level.

MoT has also forecast big increases in export rice price. Vietnamese rice exporters are offering the 5% broken rice at $310/tonne, and the 25% broken rice at $290/tonne.

The demand for rice imports is increasing in the world, especially after the Government of Thailand makes intervention into the rice market. Besides, as the Thai Baht stays firms in value, Thailand-sourced rice offered price has increased by $5-10/tonne.

In Thailand, the rice price levels were quoted at $317/tonne for 5% broken rice on March 15, and $295/tonne for 25% broken rice.

In Vietnam, as the Red River Delta provinces are in the between-crop period, food prices are increasing in some localities by VND100-200/kg. Rice price is now selling at VND3,400-3,600/kg.

Tra and basa purchasing prices are forecast to stay firm or see slight decreases in some days, while shrimp prices are believed to increase as the demand is very high in the world’s market.

MoT has also said that the prices of pepper and rubber will see slight increases in the time to come.

(Source: TBKTVN)
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