ASIA COFFEE-Vietnam prices flat on week, premiums fall in Indonesia

By Phuong Nguyen and Mas Alina Arifin

HANOI, July 3 (Reuters) - Vietnam's domestic coffee prices were flat this week, as low stocks and rising supplies from other producers impacted trading activity, while premiums fell in Indonesia following global cues, traders said on Thursday.

Farmers in the Central Highlands, Vietnam's largest coffee-growing region, sold beans COFVN-DAK at 94,700-95,200 dong ($3.62-$3.64) per kg, little changed from last week's 94,500-95,000 dong range.

Rising supply of beans from Indonesia and Brazil were weighing on prices.

The U.S. administration on Wednesday said it closed a trade deal with Vietnam that includes a 20% tariff on goods coming to the United States.

"It is a relief for all exporters, although the U.S. is not Vietnamese beans' main destination," said a trader based in the coffee belt.

LIFFE robusta coffee LRCc2 settled down $58, or 2%, at $3,602 per metric ton on Wednesday.

Another trader based in the region said activities remained quiet as most market participants were taking cautious steps.

Traders offered 5% black and broken-grade 2 robusta COFVN-G25-SAI in the range of $70-$80 per ton premium to the September LIFFE contract.

In Indonesia, Sumatra robusta coffee bean exports in May were 34,056.2 tons, up 137% on a monthly basis, data from the local trade office showed earlier this week.

Sumatra beans were offered at $250 premium this week to the September-October contract, a decline from $330 premium last week to the September contract as "an adjustment to the London terminal," one trader said.

Another trader quoted $200 premium to the September contract.

($1 = 26,185.0000 dong)