Coffee Service
Vietnam readies record coffee exports
June 12, 2023
Vietnam expects coffee exports to hit a record high this year as global production falls short of demand, driving higher prices on account of El Nino-induced weather conditions, according to xinhuanet.com, citing a Vietnam News Agency report.
El Nino conditions in Q3 2023 has raised fears of reduced production in Vietnam and Indonesia, Fitch Solutions said in a research report May 24. Brazil and Colombia, also large producers, will also be negatively impacted.
As coffee prices rose in response to tighter global supplies, Vietnam's coffee exports jumped 28.5% in May to $418 million.
Vietnam will review coffee plantation areas and cap national cultivation at 60,000 hectares and focus on high quality coffee under the government's sustainable coffee plan.
Vietnam's robusta coffee hit a high in the past three months last week to 61,800 Vietnamese dong ($2.6) per kilogram after expanding 25% in the first three months from the end of 2022.
Average prices jumped around 44% last week year-on-year in the Central Highlands, the nation's largest coffee farming area.
