Coffee exports hit nearly $5 billion thanks to record price increase

The above figures have just been announced by the Ministry of Agriculture and Environment. The main reason for the sharp increase in coffee exports is the average price of 5,726 USD per ton - the highest ever.

Currently, global supply continues to decrease due to prolonged drought in Brazil and Vietnam, while consumption demand in Europe, the US and Asia increases sharply.

Arabica coffee and processed coffee are the items that account for a large proportion of the increased turnover, especially thanks to domestic enterprises promoting deep processing and taking advantage of tariff incentives from FTAs. In the markets, Germany, Italy, the US and Japan are major customers; Mexico alone saw a 55-fold increase in imports, reaching more than 71 million USD.

Coffee is a bright spot that contributes greatly to the total export turnover of the entire agricultural, forestry and fishery sector, reaching 28.04 billion USD, up 15.4% over the same period. Of which, agricultural products reached 14.76 billion USD (+ 27.7%), forestry products 6.93 billion USD (-9.9%), aquatic products 3.64 billion USD (+ 6.5%), livestock reached 199 million USD (+ 4.8%).

Some other agricultural products also grew strongly thanks to high prices such as pepper increased by 41.5% in value despite a decrease of nearly 17% in volume; cashew increased by more than 20%; rice reached 2.65 billion USD (up 38%) thanks to high exports to the Philippines, Indonesia and China. In contrast, vegetables and fruits decreased by 7.8%, tea decreased by 6% due to lower export prices and stagnant demand in China.

The total value of imported inputs for the whole industry such as fertilizers, animal feed, and pesticides reached 21.56 billion USD, down 5% over the same period, helping the agriculture, forestry, and fishery sector to have a trade surplus of nearly 6.5 billion USD, up 64.5%.

The Ministry of Agriculture and Environment assessed that the growth rate of the entire industry's exports is gradually regaining momentum, thanks to businesses proactively capturing the market, restructuring deeply processed products and making good use of incentives from free trade agreements.

                                                                                                                                                       Sources: Vnexpress