According to nongnghiep.vn
2023, exporting coffee get high Vietnam has exceeded the 4 billion USD mark for the second time in a row and reached a record level of 4.24 billion USD. In the first 9 months of this year, Vietnam’s coffee exports continued to exceed the 4 billion USD mark and broke the record of 2023, with a turnover of 4.37 billion USD, an increase of 40% over the same period last year. This is also the first time Vietnam’s coffee export turnover has exceeded the 4 billion USD mark after just 3 quarters.
The main reason that helped coffee exports soon surpass the 4 billion USD mark and set a new record this year is thanks to the increase in export coffee prices. According to the Import-Export Department (Ministry of Industry and Trade), in the first 9 months of 2024, Vietnam’s average export coffee price is estimated to reach 3,897 USD/ton, up 56% over the same period last year. Particularly in September, the average export coffee price was 5,469 USD/ton, an increase of 65% compared to September 2023.
Thanks to a sharp increase in export prices, coffee export turnover still set a new record in the context of decreased export volume due to reduced Robusta coffee output. In the first 9 months of this year, the amount of coffee exported reached only 1.12 million tons, down 11% compared to the same period in 2023. Of which, exports in September dropped to the lowest level since the beginning of the year when it reached only 65 thousand ton.
Robusta coffee output (Vietnam’s main export coffee) has decreased, clearly reflected in the structure of exported coffee types. In the first 8 months of this year, while Arabica coffee exports increased by 59% in volume, Robusta coffee exports decreased by 17% (reaching 892 thousand tons). Therefore, in the structure of coffee exports in the first 8 months of the year, the market share of Robusta coffee decreased slightly compared to the same period in 2023, while the proportion of Arabica coffee increased.
In addition to reduced output, another reason why the amount of Robusta coffee exported has decreased significantly this year is the increasing domestic demand for coffee. Mr. Do Ha Nam, Vice Chairman of the Vietnam Coffee and Cocoa Association, said that businesses are promoting investment in instant coffee processing plants in Vietnam, so the amount of Robusta coffee purchased is increasing. for processing is increasing, leading to a decrease in the amount of green coffee for export. The appearance of a series of coffee business chains in Vietnam also contributes significantly to increasing the amount of coffee consumed in the domestic market.
Coffee prices at the beginning of the 2023/2024 crop year are still at a high level. Image: Son Trang.
At this time, Vietnam has entered the 2024/2025 coffee crop year (October 2024 to September 2025). In the early days of October, coffee prices in the Central Highlands are trending down compared to the end of September.
According to some coffee market analysts, the main reason for the decrease in coffee prices in the first days of October is that the European Commission (EC) has just proposed to postpone the implementation of import ban regulations for one year. export of goods related to deforestation (EUDR). In recent months, because of concerns that many coffee shipments do not meet the EUDR, EU importers have stepped up coffee purchases from producing countries before this regulation takes effect (January 1). /2025), causing coffee prices to increase sharply. Therefore, postponing the implementation of the EUDR will reduce the pressure on coffee deliveries to the EU in November, leading to a decrease in coffee prices on trading floors and affecting coffee prices in main producing countries. including Vietnam.
Although it has decreased compared to the end of September, the current coffee price is still high, nearly 120 thousand VND/kg. Compared to early October 2023, current coffee prices in the Central Highlands are nearly 2 times higher. Thus, this is the first coffee crop in Vietnam where the price at the beginning of the crop is more than 100 thousand VND/kg. With forecasts that coffee output will continue to decrease in the 2024/2025 crop year, it is likely that Vietnamese coffee prices will continue to remain high throughout this crop year.
With the export results achieved in 9 months, Vietnam’s coffee exports this year are facing the opportunity to reach the 5 billion USD mark for the first time.