Coffee exports - carelessness is the loss of second Position

VCN- Vietnam is the second largest country in terms of coffee production and export. To maintain this position, while enhancing added value for the coffee industry, the important solution is to actively support enterprises to invest and timely re-farm hundreds of thousands of the old coffee hectares.
coffee exports carelessness is the loss of second position

Exports over $ 3 billion

According to the Ministry of Agriculture and Rural Development, in the first 10 months of this year, the coffee export value was 1.17 million tons and 2.69 billion USD, down 22.7% in volume and 2.5% in value over the same period of the last year 2016. It is worth noting that the average export price of coffee in the first nine months of the year reached USD 2,286.7 per ton, up 27.5% over the same period in 2016. Germany and the US continue are the two largest markets for coffee of Vietnam in the first 9 months with market share of 14.6% and 13.1%

Talking to reporters of Customs newspaper Mr.Luong Van Tu, Chairman of the Vietnam Cocoa Coffee Association (Vicofa), said: "Currently, there are nearly 90% of the export coffee in the form of coffee beans, more than 10% is ground coffee and dissolved. The demand for coffee in the world market is still increasing. Vietnam has exported coffee to 140 countries and territories and coffee products are accepted by markets. Therefore, the volume of decreased coffee exported this year is not related to the difficulty of the market or the quality of Vietnamese coffee, but the decrease is mainly due to the previous year of drought, crop failure, and coffee production. In addition, the level of consumption of coffee in the country increased, causing the coffee export decreased.

On the price, according to Mr. Tu: Vietnam is one of the countries where coffee prices are competitive because of high coffee yields. Each hectare has yielded about 2.4 tons / ha, while the average yield of world coffee is less than 2 tons / ha. It is predicted that in the whole year, the coffee export value reached $ 3 billion and volume of 1.3 million tones

Maintaining the second position of the world

Vifoca estimates that in the current context, developing a sustainable coffee industry requires moving to a new era with two specific targets set. The first is to maintain the second position in the production and export of coffee beans of the world. The second step is to accelerate the processing of ground roasted coffee, dissolve and other products to bring export turnover to 2030 to 5-6 billion USD.

Relate to this issue, Mr. Self Analysis: Currently, in the development of ground roasted coffee, dissolved, the domestic enterprises encountered a lot of difficulties about the capital. Only a few large companies have been deployed such as: Vietnam Coffee Corporation, Vinacafe Bien Hoa Joint Stock Company, Me Trang Coffee Joint Stock Company, An Thai Group, Phuc Sinh Coffee Joint Stock Company. In order to have a machine processing instant coffee or roasting with a capacity of 1,000 tons, businesses have to invest about $ 10 million. This is the point to consider, disassemble and support the DN.

Around the problem, how to maintain the position of coffee beans ranked second in the world, according to Mr. Tu, the most important is to implement the strong re-farming program, the re-farming is the annual work having to be done to replace The old low-yielding crops. The amount of coffee which is needed to replenish in the next 5 years is up to 160,000 ha. While the progress of re-cultivation in the Central Highlands provinces is slow, except Lam Dong. Along with that, the coffee growing area in the Central Highlands has not increased. "In this context, the strong re-planting of coffee trees is aimed at avoiding the situation in Vietnam such as Indonesia and Columbia, when the area of coffee is too much, re-farming untimely, the decrease of the yield, their position was lost. In Columbia, when the yield fell to 7 million bags, the government had to launch a national reforestation program to support 30 percent of orchard investment and a three-year non-interest period. So far, when the area has been restored, Columbia has reached 15 million bags, "said Tu.

In addition, he emphasized, priority should be given to the development of high yielding varieties, good quality. 100% of the re-cultivating garden is grown new seeds, researching and developing the drought-tolerant varieties and subjecting to climate change. Vifoca recommends that the Government set up the Coffee Development Fund and provide coffee seedlings and free seeds of shadow tree to farmers; At the same time, the Government soon issues standards of roasted and ground coffee, ensuring the interests of consumers. For banks, the proposal was made to provide sufficient funds for re-farming and business operations of the coffee sector.

Some experts further commented that in order to ensure sustainable development, the coffee industry also needed to boost the branding and promotion of domestic and foreign trade and increase domestic consumption to 20-30% At the same time, the quality of coffee beans in the stage of coffee harvesting is over 80%.

By Thanh Nguyễn/Bui Diep

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