Coffee output in 2023-2024 crop forecast to fall 20 per cent

Wednesday, May 29, 2024 16:02

A worker of Đắk Lắk-based Vương Thành Công Manufacturing and Trading Co Ltd harvests coffee bean. — VNA/VNS Photo

Việt Nam’s coffee output in the 2023–24 crop year is estimated to decrease by 20 per cent compared to the previous crop year, to 1.47 million tonnes, the lowest in four years, putting pressure on Robusta supply in the world market, according to the Ministry of Agriculture and Rural Development.

Due to the impact of climate change, the dry season comes earlier than usual in Việt Nam, and prolonged hot weather causes water levels at dams in some provinces to rapidly decrease.

Fears that drought could affect crops have caused domestic coffee prices to increase sharply in the past week.

The price of coffee bean in the Central Highlands and southern provinces soared by VNĐ1,500 (US$0.059) per kilogramme, bringing the domestic purchase price of coffee bean to VNĐ114,500 – VNĐ116,000/kg.

Over the past years, coffee prices were low, prompting many farmers to gradually switch to higher value crops. However, this year’s coffee prices are experiencing a record high, and it’s expected to be an opportunity to motivate farmers to restore coffee growing area.

Việt Nam exported 756,000 tonnes of coffee, earning nearly US$2.57 billion in the first four months of the year, up 5.4 per cent in volume and 57.9 per cent in value from the same period last year. — VNS

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