Vietnam has exported more than 862,400 tons of coffee of all kinds, earning about USD 3.04 billion in less than half a year, an unprecedented record in history.

Preliminary statistics from the General Department of Customs, as of June 15, Vietnam has exported more than 862,400 tons of coffee of all kinds, earning about USD 3.04 billion. Compared to the same period last year, the volume of coffee exported decreased by 7.8% but the value increased sharply by 38.8%.

Although the volume of coffee exported decreased, this industry still set a historical record when the turnover exceeded USD 3 billion in less than half a year. This number is equivalent to the coffee export turnover of the whole year 2021.

Currently, the price of Robusta coffee on the London exchange for delivery in July 2024 increased sharply to USD 4,205/ton; for delivery in September 2024 increased to USD 4,060/ton.

On the New York floor, the price of Arabica coffee for delivery in September 2024 dropped to 226.25 cents/lb; for delivery in November 2024 decreased to 224.85 cents/lb.

In the domestic market, prices of green coffee beans are still on the rise. On June 20, green coffee beans was traded around the threshold of VND 120,000-121,200/kg.

Currently, in major coffee growing regions of Vietnam, drought and pests are seriously affecting the productivity of this crop. Coffee output in the 2023-2024 crop year is estimated to decrease by 20% compared to the previous crop year, to 1.47 million tons. This is the lowest level in 4 years, putting pressure on the supply of Robusta coffee in the world market.

According to experts, Vietnam has the world's leading Robusta coffee output, therefore the sharp decrease in supply has contributed to the recent increase in prices of the bean.

Notably, in the first 8 months of the 2023-2024 crop year (October 2023 to May 2024), Vietnam exported nearly 1.2 million tons of coffee, equivalent to 80% of the current crop's output and a decrease of 7% compared to the same period of the previous crop year. According to estimated output, the domestic coffee supply (excluding inventory) only has about 300,000 tons left for export before entering the new crop year.

According to coffee experts, in the upcoming period, the price of coffee bean will likely not fluctuate as strongly as in the first months of this year but will still maintain a high level. The reason is because Brazil is in full harvest season, while in Vietnam, it won't be harvest time until October.

The Ministry of Agriculture and Rural Development calculates that with our country's coffee output, this year, the export turnover of this industry will reach over USD 5 billion, the highest level in history.

Kylie Nguyen