Vietnam's coffee woes continue! Planted area may shrink in the future

Source:Best Coffee > News Author:qjroot Published:2024-06-16 18:14:53

Currently, the market price of the main variety of Robusta coffee exported by Vietnam remains high. Although Robusta coffee futures prices have declined, they still stand at $4,000 per ton. This is mainly due to reduced production caused by various problems in Vietnam's coffee industry.

However, by May, Vietnam had entered the rainy season, but rainfall was still insufficient to alleviate the drought. According to local meteorological reports, in May and now June, the main coffee-producing region of Gia Lai Province received only 10–15 mm of rain, which did not effectively relieve the drought conditions. Moreover, much of the precipitation has been in the form of short-lived showers.

Local farmers can only reduce the impact of extreme weather on coffee plants through measures such as heavy irrigation, but with little effect. Moreover, farmers report that coffee trees grown in Vietnam are sensitive to temperature and thrive at 24-28°C. However, current temperatures are higher, ranging between 25-35°C, leading to reduced yields, lower quality of flowers and fruits, and decreased coffee quality. Additionally, higher temperatures make it very easy for pests and diseases to spread.

Reduced exports have kept robusta coffee prices high. According to some coffee brands, some businesses are now having to purchase coffee from Indonesia, but not much, as Indonesian coffee prices are also relatively high. In the end, many coffee brands now have no choice but to raise their prices.

Vietnam is the world’s largest exporter of pepper. Although its output has also decreased due to weather conditions, the limited market supply has driven prices up. These high-value crops are clearly more attractive to farmers, which may lead to a reduction in Vietnam’s coffee cultivation area in the future.

Vietnam's coffee woes continue! Planted area may shrink in the future

Download App