Viet Nam Witnesses Significant Surge in Coffee Exports in January
Hanoi, The Gulf Observer: Viet Nam’s coffee exports demonstrated robust growth in January, reaching 230,000 tonnes and earning $623 million, marking a remarkable increase of 61.6% in volume and an impressive 100.3% surge in value compared to the same period last year, as reported by the Ministry of Agriculture and Rural Development.
The final days of the Year of the Cat witnessed a continued upward trend in average coffee prices in the Central Highland provinces. In some localities, coffee is being purchased at prices ranging from VND78,200-79,400 ($3.2-3.25) per kg. With the ongoing upward trajectory, domestic coffee prices are poised to exceed VND80,000 per kg in the near future.
The surge in domestic coffee prices is attributed to proactive purchasing by traders ahead of the Lunar New Year (Tết) holiday. Exporters, mindful of potential supply shortages akin to the previous year, have increased their procurement, contributing to the upward pressure on prices.
Dak Lak Province forecasts a coffee output of 580,000 tonnes for the 2023-24 crop, with an estimated export volume of 330,000 tonnes. If current high prices persist and experience marginal fluctuations, the province’s coffee export turnover could reach an impressive $900 million.
Lam Dong Province, with approximately 175,700 hectares of coffee, anticipates an output of 535,000 tonnes for the 2023-24 crop.
In 2023, Viet Nam achieved a record coffee export turnover of $4.24 billion, exporting over 1.6 million tonnes. Although the quantity dropped by 8.7%, the value increased by 4.6% compared to the previous year.
According to the Vietnam Coffee-Cocoa Association (Vicofa), Viet Nam’s coffee production for the 2023-24 crop is expected to be in the range of 1.6-1.7 million tonnes, slightly lower than the 1.78 million tonnes recorded in 2022-23.
