These are the information raised at the Conference on summarizing the coffee crop 2018-2019 and discussing the orientation of the 2019-2020 crop, held by the Vietnam Cocoa Coffee Association on December 10 in Pleiku city. , Gia Lai province.
In the crop year 2018-2019, the whole country has nearly 690,000 hectares of coffee, output is approximately 1 million 700,000 tons, export turnover is nearly 3 billion USD. Compared to the previous crop year, output decreased by about 3%, while turnover decreased by more than 14%.
According to the Vietnam Cocoa Coffee Association, the export coffee price of this crop has been at a record low level in the past 10 years, sometimes down to 1,207 USD / ton for Robusta coffee, 88 cents / lb for with Arabica coffee. Facing such a price crisis, coffee producing countries have gathered to discuss solutions to solve problems for the coffee industry worldwide.
Coffee export prices of this crop are at a record low level in the past 10 years.
For domestic coffee prices, if the beginning of the previous crop was above 42,000 VND / kg, the beginning of this crop was only 35,000 VND / kg and continuously decreased, currently only about 30,000-32,000 VND / kg. Price fluctuations are always in a negative direction for coffee makers when input costs are always increasing. In the opposite direction, coffee selling prices are continuously at a very low level. Since then, making the revenue not enough, many coffee gardens have been cut down by the farmers and switched to planting other more valuable crops.
Along with the price crisis, Vietnam’s coffee industry is also facing many other challenges. Typically, the coffee aging situation is increasing rapidly. Although coffee replanting in the Central Highlands has been accelerated over the past years, it is a fact that the old coffee area is still very large.
In the Central Highlands, the coffee area over 20 years old is about 86,000 ha, accounting for 16%, the coffee area 15-20 years old is about 140,000 ha, accounting for about 26%. Meanwhile, the replanting has met many difficulties. The survey results of the Central Highlands Agriculture and Forestry Science Institute recently showed that the rate of coffee garden replanting failed was up to 38%. The reason is determined to be because farmers have not properly applied the replanting procedure issued by MARD.
 The coffee production situation of the country is also affected by weather and climate. |
In the objective aspect, the coffee production situation of the country is also affected by weather and climate. Drought expires to floods, continuously seriously damaging the key coffee growing areas of the Central Highlands.
The flood of August 2019 alone damaged more than 1,000 hectares of coffee in the Central Highlands. At the same time, heavy rains for many days cause the coffee pods to fall off a lot, causing a great impact on the next crop. The Vietnam Coffee and Cocoa Association predicts that the next crop year, the national coffee output may be reduced by up to 15% compared to this crop year.
According to Mr. Do Ha Nam, Chairman of the Board of Directors, General Director of Intimex Group Joint Stock Company, Vice Chairman of the Vietnam Cocoa Coffee Association, as the second largest exporter of coffee production. In the world, only Robusta coffee is the world’s largest, has confirmed the great progress of Vietnam’s coffee industry. However, the output is not associated with the quality and value of the coffee brought.
“Vietnamese coffee is 90% raw and coffee prices depend on London and New York futures, which are regulated by financial speculators, leading to consequences, Yields of coffee farmers are very uncertain. There are some very good years but some very difficult. The cycle has been repeated 3 times, there are times when it peaks and bottom, it can be said that the crop year 2018-2019 is the boom of the Vietnamese coffee industry, “said Mr. Do Ha Nam.
