Global Coffee Market Sees Price Fluctuations and South Korea Import Surge

Domestic Coffee Prices Slightly Decline Amid Rising Global Market

Vietnam’s domestic coffee prices experienced a minor decrease of about 1,000 VND/kg, settling between 113,000 – 114,000 VND/kg as of October 9, 2025. This contrasts with a strong recovery in international coffee prices observed on the London and New York exchanges. The divergence highlights cautious buying behavior from local businesses, as new crop supplies begin to emerge while export demand remains uncertain (Báo Kinh tế & Đô thị, Oct 9, 2025; baonghean.vn, Oct 9, 2025).

Tariffs and Supply Concerns Push Arabica Prices Above $4 per Pound

Arabica coffee futures surged past $4 per pound, marking the highest level since February 2025. This rally is driven by concerns over supply tightness, aggravated by steep tariffs imposed on major coffee origins such as Brazil. The U.S. tariff structure, including a 50% duty on Brazilian coffee, has disrupted global trade flows, causing a temporary supply squeeze despite no fundamental global shortage. Speculative trading has further amplified price volatility (Royal New York, Oct 9, 2025; Farm Progress, Oct 9, 2025).

South Korea’s Coffee Imports Near Record High in 2025

South Korea is on track to set a new record for coffee bean imports this year, with customs data showing a 31% year-on-year increase in import value to $1.17 billion for the first eight months of 2025. Volume imports rose about 1% to 136,318 tons in the same period. Brazil remains the largest supplier, accounting for 21% of import value and 30% of volume. Colombian and Vietnamese coffees rank second and third respectively. Continued strong demand signals robust market growth in the region (Korea Bizwire, Oct 9, 2025).

Julius Meinl Launches Youth Empowerment Program in Indian Coffee Sector

Julius Meinl, in partnership with Fairtrade, has initiated the Generations Programme in India aimed at empowering youth involved in coffee production. This initiative focuses on sustainable development and skills enhancement for young coffee producers, aligning with growing industry emphasis on ethical sourcing and community support (PR Newswire, Oct 9, 2025).

Innovation and Market Trends in Coffee Sector

The coffee industry continues to evolve with new product offerings, including innovative seasonal blends and beanless alternatives, reflecting changing consumer preferences especially among younger demographics. The sector remains dynamic with ongoing product development responding to health, sustainability, and experiential trends (IFT.org, Oct 2, 2025).

Extreme Weather and Tariffs Impacting Coffee Production and Prices

Extreme weather events combined with high tariffs continue to challenge coffee production globally, contributing to price increases and supply chain disruptions. These factors underscore the complexity of current market dynamics and the vulnerability of coffee supply to environmental and policy changes (Fox Business, Oct 8, 2025).