Domestic coffee prices in Vietnam rose further this week, traders said on Thursday, while discounts in Indonesia narrowed as the harvest comes to an end.
Farmers in the Central Highlands, Vietnam's largest coffee-growing area, sold beans at 46,800-48,500 dong ($2.00-$2.07) per kilogram, higher than last week's 45,000-47,300 dong range.
"Prices are high but trading is more or less muted since there are no beans left," said a trader based in the coffee belt, adding that prices may rise to 50,000 dong per kg.
Traders said markets would stay tepid until at least November, when fresh beans from the new crop season arrive.
London November robusta coffee settled down $4 at $2,224 per tonne on Wednesday.
Traders in Vietnam quoted 5% black and broken-grade 2 robusta at the same level as the London prices.
Indonesian Sumatra robusta coffee beans for November contract were offered at a discount of $140, unchanged from last week, a trader said.
Another trader quoted a discount range of $60-$70 to the October contract, narrowing from $80-$90 discount last week.
"Local exporters are still scrambling to buy (non graded) coffee because the harvest is about to end, and only 70%-75% of the harvest has reached the city," the second trader said.
($1 = 23,397 dong) (Reporting by Phuong Nguyen in Hanoi, Mas Alina Arifin in Bandar Lampung; Editing by Vinay Dwivedi)