With domestic Robusta coffee prices climbing to around 67,000 VND per kilogram—the highest in about 15 years—many coffee brands are planning to recalculate their selling prices.
At this raw-material price, roasters’ costs are estimated at roughly 120,000 – 135,000 VND per kilogram. As a result, quite a few coffee chains are now considering price adjustments.
On average, raw ingredients account for about 20 – 35% of the cost of a cup of coffee, depending on each chain’s business model. Since green-bean prices have risen about 200% compared with the start of the year, many small chains are preparing to raise their retail prices by roughly 10%. Larger chains, however, have not yet taken steps to increase prices.
In 2022, one of Vietnam’s largest coffee chains raised prices by 10 – 15%, explaining that the move was needed to maintain product quality in a volatile market.
Market analysts note that Robusta coffee is likely to establish a new, higher price baseline. Therefore, retail price hikes by coffee chains are expected in the near future. Still, any increase in the current period is projected to remain modest—less than about 1,000 VND per cup.