According to the Ministry of Agriculture and Rural Development’s Department of Agricultural Product Processing and Market Development, coffee exports in September were estimated at 81,000 tons, earning USD 143 million.
Germany and the US were still the two largest coffee export markets of Vietnam in the first eight months of this year with export value of USD 270.6 million (accounting for 13.5 percent of the total) and USD 176 million (8.8 percent), respectively.
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Harvesting coffee in the Central Highlands province of Dak Lak |
A strong decrease in average coffee export price was a factor leading to the reduction in Vietnam’s exports to most traditional markets such as Germany, the US, Italy and Spain.
In the first eight months, the average coffee export price dropped by 10.7 percent to 1,709 USD per ton year on year.
The coffee price in the world market decreased because Brazilian growers enhanced selling because of a drop in Brazil's currency. Meanwhile, reserves in some major markets like the US continue to rise, according to the ministry.
In the domestic market, the price also decreased along with the world market trend.
The price of green coffee in September plunged by 100 VND per kilo to 32,400-33,400 VND in the Central Highlands provinces compared with August, reported the Cong Thuong (Industry and Trade) magazine.
The coffee price in the first nine months had a decrease of 100-200 VND per kilo compared to the end of 2018.
The Brazilian government has reduced its forecast on coffee output for this year's crop to 49 million 60-kg bags, down from 50.9 million bags forecast in May 2019, due to bad weather.
By the end of this year, coffee production is expected to increase as usual, so the international roasters and traders will promote their brand overseas.
Source: VNA