Diarrhea because of translation
Currently, Dak Lak has over 200,000 hectares of coffee, of which the area for the product is 187,940 hectares. The coffee production industry has created stable jobs for over 300,000 people directly producing and nearly 200,000 people related to coffee trees.
According to the data of the Import-Export Department, the Ministry of Industry and Trade announced at the Conference to summarize the coffee crop year 2018-2019 in Dak Lak, coffee is an important commodity, accounting for 3% of the country’s GDP. Export turnover for many consecutive years is over 3 billion USD. In recent years, although the world economy has had many difficult times leading to a decrease in purchasing power, Vietnam’s coffee exports have maintained a very encouraging growth rate.
Dak Lak was originally known as the “coffee capital” of the country, but in the face of a prolonged COVID-19 pandemic, many businesses operating in the coffee sector are on the verge of bankruptcy due to long-term losses. goods are backlogged and cannot be exported.
Mr. Nguyen Dinh Vien – Director of PM Coffee Co., Ltd., many coffee drink production facilities in big cities are experiencing a serious decline in sales. For the export of coffee-based products such as wine and tea, even though it has been agreed with foreign partners, it is still not possible to import/export goods, so it must wait until the situation is temporarily stabilized before signing. . Particularly in the domestic market, the basic branches of the enterprise still have a large backlog of unsold goods. If we include operating capital, our company is currently losing 500-600 million VND/month.
Pham Hoai Nguyen Anh – Director of Anh Coffee Company Limited, said that before the outbreak of the disease, the unit had just organized coffee production and service activities. The services of tour guides and tour guides taking guests to visit the local coffee production process did not have any revenue, although they were quite profitable in the past. In addition, the distribution and opening of other agents in some provinces and cities across the country have also stalled, making it difficult to resume good operation if the situation is not better. Currently, businesses are having to cover many losses every month to “hold their breath” through this difficult period.
Find a new direction
According to the Department of Industry and Trade of Dak Lak province, the output of high-quality coffee is about 160,000 tons, accounting for about 28.77% of the province’s total coffee output. Market demand for specialty and organic coffee products tends to increase. Therefore, the whole industry is advising on policies to improve the investment environment to attract more new investors to join the high-quality coffee production chain.
High quality coffee products are UTZ, 4C, Rainforest Alliance, Fairtrade certified coffee, specialty coffee, certified organic or uncertified organic coffee. According to statistics, the scale of production of high quality coffee such as specialty coffee and certified organic coffee has been expanded, but the scale is still small. The output of specialty coffee in 2021 will only increase by 15 tons, the organic production area will increase by 10 hectares.
Mr. Huynh Ngoc Duong – Deputy Director of Dak Lak Department of Industry and Trade said that in order to produce high-quality coffee for sustainable development, the Industry and Trade industry is advising on improving the investment environment to attract more investors. recently joined the association with farmers to produce high quality coffee products, including both domestic and foreign investors; formulating and implementing preferential policies to encourage the formation and development of high quality coffee value chains such as market access support, brand building, processing machinery support, subsidies certification… Encourage the formation and development of cooperative groups and cooperatives for coffee production in Dak Lak province.
In addition, the province also aims to attract investors to form processing factories, associating deep processing with raw material areas; prioritizing capital sources for enterprises investing in investment in processing machinery and equipment, subsidizing interest rates on loans for enterprises investing in renewing technological equipment. Support trade promotion funds to step up promotion, find markets, promote high quality coffee products; supporting the province’s coffee businesses to put coffee products on sale in supermarkets in the country, Mr. Duong said.
