By 2025, the opportunity for Vietnamese coffee is still very large when the world’s leading coffee producing country, Brazil, will reduce production.
Coffee exports exceed 5 billion USD mark
Our country’s agricultural, forestry and fishery exports this year are estimated to reach 62.5 billion USD, of which coffee alone is nearly 5.5 billion USD with a total volume of more than 1.3 million tons.
The high export price of coffee is one of the factors that helped Vietnamese coffee reach this important milestone. For example, the Vietnamese coffee industry had a very successful year when exports exceeded the 5 billion USD mark in both the crop year and the calendar year. Coffee became the third agricultural product after vegetables and rice, with an export turnover of over 5 billion USD and was the agricultural product with the strongest price increase among Vietnam’s main export products.
Farmers are excited because coffee prices are good.
The increase in export coffee prices has also led to an increase in domestic coffee prices. Currently, coffee prices are at a record high, fluctuating above 120,000 VND/kg and at times reaching 130,000 VND/kg. Many families are excited because their income is higher, and they can welcome a more prosperous Lunar New Year.
With more than 3.4 hectares of coffee, Ms. H’Yiăm M’lô’s family in Ko Tam hamlet, Ea Tu commune, Buon Ma Thuot city expects to harvest nearly 10 tons of coffee beans this crop.
With a selling price three times higher than previous years, it not only helps her family escape difficulties after many uncertain harvests, but also improves income, giving her more motivation to invest in the coming years.
Ms. H’Yiăm M’lô – Buôn Ko Tam, Ea Tu commune, Buon Ma Thuot city, Dak Lak said: “Although this year the coffee crop is not good, the price is high so I am very happy. I have money to invest in renovating part of the old coffee garden to develop the economy and increase income”.
Dak Lak is the province with the largest coffee area in the Central Highlands with more than 210,000 hectares, with an average output of over 500,000 tons/year. In the 2024-2025 crop year, the estimated output will decrease by 5-10% compared to the previous crop year due to thousands of hectares of coffee suffering from drought in the 2024 dry season. However, with the current high price, coffee growers are still very excited because their income has increased significantly.
According to agricultural experts, if the coffee price is stable at over 120,000 VND/kg and maintained for the next few years, it will not only improve the lives of ethnic minorities but also create more motivation for them to feel secure in sticking with and investing long-term in coffee trees.
Opportunities for Vietnamese coffee
This year, coffee growers have had a good harvest and good prices. In 2025, the opportunity for Vietnamese coffee is still very large when the world’s leading coffee producing country, Brazil, will reduce production.
According to the US Department of Agriculture, drought and high temperatures during the fruit development period in Brazil will result in lower yields than initially estimated. Brazil’s coffee exports next year will be 2.6 million bags lower than in 2024. Meanwhile, in Vietnam, the world’s second-largest producer, coffee exports are expected to increase by 1.8 million bags in 2025 thanks to improved supplies.
With the sharp increase in coffee export prices and the advantage in supply, Vietnamese coffee is facing the opportunity to change its position in the world market.