Covid lockdown in Vietnam could keep coffee prices 'relatively high' through 2022

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Covid lockdown in Vietnam could keep coffee prices 'relatively high' through 2022
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Vietnam, the world's second-largest coffee exporter, is battling its worst Covid-19 outbreak since the start of the pandemic.

Coffee prices could stay "relatively high" through 2022 due to constrained supply from major producers Brazil, Vietnam and Colombia, said Fitch Solutions.

Vietnam, the world's second-largest coffee exporter, is battling its worst Covid outbreak since the start of the pandemic.Pots of coffee bean are seen at a coffee shop in Hanoi, Vietnam on August 15, 2012. Vietnam is one of the world's top coffee producers and exporters.Vietnam's Covid-19 lockdown has constrained the global supply of coffee — and coffee prices could remain "relatively high" through 2022, said Fitch Solutions.

In August, Vietnamese coffee exports fell 8.7% from July to 111,697 tonnes, Reuters reported, citing customs data. Between January and August, Vietnam exported 1.1 million tonnes of coffee — 6.4% lower than a year ago, but coffee export revenue rose 2% to around $2 billion, said the news agency.

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