The big paradox of the Vietnamese coffee industry

At the seminar The new development period of the Vietnamese coffee industry took place in Da Lat (Lam Dong) on ​​December 9, the Minister of Agriculture and Rural Development Nguyen Xuan Cuong pointed out quite a number of paradoxes of the Vietnamese coffee industry. Nam over the years.

Specifically, the area of ​​Vietnam coffee has occupied 645,000 hectares, output reached 1.6 million tons (in 2016), became the world's second largest coffee producer (after brazil). Vietnam's average coffee yield is 2.5 tCO3 / ha, which is three times higher than the world average. However, the value and brand of our coffee industry is very low.

As the second largest country in the world for this kind of agricultural products, Vietnam is dependent on world prices, so the domestic coffee industry is fundamentally insecure and unstable. Only 10% of coffee production in our country is used for processing in the domestic market, the remaining 90% is raw export to the world market, so not build the brand. This is just like Vietnamese coffee growers are just wage earners for the foreign coffee market.

One of the big reasons why Vietnam does not control the price of coffee is from production to processing and trading in the country, said Nguyen Xuan Cuong.

In addition, the chain linking organizations applying scientific methods to production is not good, the area of ​​old coffee is restored, grafted slowly, the farmers abuse fertilizer, pesticides ... especially the use Water resources are not reasonable .... All of this has led to high costs of coffee production, unsatisfactory quality, direct impact on coffee costs and profitability.

According to the Ministry of Agriculture and Rural Development, orientation to 2030, Vietnam has no policy to increase the area, even reduce the area of ​​coffee in places where no advantage. Focusing deep processing, promoting links to develop trade to increase the value of the coffee sector in Vietnam.