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Basic knowledge of wholesale coffee companies

Coffee drinkers from all over the world appear to be growing in number as the quality of coffee beans improves. Therefore, wholesale coffee companies seem to be becoming more developed in the near future.

Overview about wholesale coffee companies

Wholesale coffee companies function as distributing coffee in bulk.

Definition of wholesale coffee companies

Wholesale coffee companies are the institutions that supply coffee in bulk for business or other nations to distribute to retailers.

Roles of wholesale coffee companies

Wholesale coffee companies have a significant impact on boosting bulk coffee consumption around the world, speeding up the consumption process, and delivering coffee closer to the point of consumption. Because wholesale coffee companies have such a large supply and demand network, they are usually able to quickly understand supply and demand information and are well-versed in both domestic and international coffee markets. The most precise information on the coffee market may thus be provided by wholesale coffee companies, which is especially vital for new customers.

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Wholesale coffee companies have such a large supply and demand network

Types of wholesale coffee companies

When it comes to wholesale coffee companies, people may know about 2 main types.

  • Direct coffee companies

Direct wholesale coffee companies are the one who have their own supplying source and growing areas that directly provide them coffee products. These types of companies are frequently at a low price, but the products are lower quality than other countries because they only provide green coffee beans. These wholesale coffee companies mainly come from some countries such as Brazil, Vietnam or Columbia, which are top leading coffee regions.

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Types of wholesale coffee companies

  • Indirect coffee companies

These types of wholesale coffee companies mainly come from Canada or Germany, they always import raw materials such as green beans coffee to produce high quality products such as coffee powder. Therefore, those companies can gain more economic advantage because these high-end products bring them more benefits and higher prices.

Characteristics of wholesale coffee companies

If a company want to become a wholesale coffee company, it has to meet some requirements

  • Having trustful supply

Instead of visiting the actual farms, wholesale coffee companies are a great option for inexperienced wholesale coffee consumers. Because wholesale coffee suppliers will assist you in selecting high-quality items from reliable producers at cheap prices.

  • Having knowledge about the market

Wholesale coffee companies are well-versed in the requirements of buyers. They assist producers in approaching the consumer market and tailoring product specs to purchasers’ desires.

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Characteristics of wholesale coffee companies

Products that wholesale coffee companies mainly provide

Green coffee has a higher yield among wholesale coffees, but processed coffee has a higher value because it has been roasted or turned into finished products such as instant coffee. As a result, coffee consumers can enjoy the full flavor of the coffee right away, fast, and easily.

  • Green beans coffee

Green coffee is made from coffee beans that have been peeled and processed without any additional processing. There are two primary types of green coffee in the world: Arabica and Robusta. Arabica is native to Ethiopia’s southwestern highlands and is the world’s most popular coffee, accounting for 60 percent or more of global production. Wholesale Arabica coffee beans are currently farmed in nations such as Brazil, Colombia, Mexico, Peru, and India, with Brazil being the leading producer. When it comes to Robusta coffee, Vietnam wholesale coffee companies are the world’s leading exporters.

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Green beans coffee

  • Processed coffee

Coffee that has been roasted, ground, or processed into finished products such as instant coffee is known as processed coffee. Because of its convenience and rapidity, instant coffee is in high demand in the United States and Asia. Meanwhile, Europe favors specialty coffees and other high-quality roasted coffee goods in Australia. High costs and rigorous manufacturing lines will result in high-quality finished coffee products that reflect the regional characteristics.

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Processed coffee

Factors that impact on wholesale prices of the wholesale coffee companies

There are 3 main factors affecting the wholesale coffee companies’ wholesale prices.

Effect of supply

Each region has its own effect of supply on wholesale coffee company

  • Brazil

Brazil’s Arabica production in the 2021-2022 crop is estimated to decline by 14.7 million bags to 35 million bags as most of the country’s main producing regions enter a biennial cycle, leading to the potential lower production capacity for the 2021-2022 crop. This leads to the wholesale coffee companies in Brazil may suffer from lack of supplying coffee source to export.

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The Coffee Belt – or the Bean Belt – is defined as an imaginary geographic band where ideal conditions are adapted for growing coffee

  • Vietnam

USDA recently downgraded Vietnam’s production forecast for the 2020-2021 crop year to 23 million bags, down 800,000 bags from the previous forecast due to lower-than-expected shipments to the European Union and the US.According to the Import-Export Department (Ministry of Industry and Trade), in the 2020-2021 crop year, coffee production of Vietnam is expected to decrease by 15% due to the impact of the October 2020 flood and drought in May and June 2020. This is the reason why Vietnam wholesale coffee companies lowered their profits from selling wholesale coffee products this year.

  • Central America and Mexico

Total coffee production in the region is forecast to decline slightly by 400,000 bags to 17.4 million bags with declines in Guatemala, Nicaragua, Mexico, and especially Honduras due to the impact of the leaf rust disease. Wholesale coffee companies in these regions have more difficulties in facing the disease to assure the coffee export quantity. Therefore, the coffee price may be slightly increased in this season.

Effect of demand

The USDA predicts that coffee imports to the European Union will drop 2.5 million bags to 42.5 million bags in the 2021-2022 crop year. Brazil, Vietnam, Honduras, and Colombia are the top suppliers to Europe, accounting for 34%, 24%, and 8%, respectively (6 percent ). Besides, the US, the world’s second largest coffee import market, is forecast to reduce imports by 300,000 bags compared to the previous crop year. Therefore, wholesale coffee companies from these suppliers will reduce their exporting quantity of coffee due to this reduction in importing activities of those regions. Moreover, the biggest effect of demand is due to the impact of the COVID-19 epidemic on global coffee consumption. The coffee price of wholesale coffee companies may grow in near future due to lack of supply and demand.

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The biggest effect of demand is due to the impact of the COVID-19 epidemic on global coffee consumption

Effect of shipment

Wholesale coffee companies are now facing troubles in shipping because of the closure of countries during the pandemic. Especially in Vietnam, lack of containers and rising sea freight rates, especially shipments to the US and Europe – 2 biggest coffee consuming markets, cause issues when wholesale coffee companies export. This issue will lead to the increase in the wholesale coffee bean price when exporting to those countries.

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Effect of shipment

How to find wholesale coffee companies from all over the world

Purchasers can use various ways to look for wholesale coffee companies and there are two main popular and easy ways:

  • Using the Internet search

Google is the most popular search engine that can provide consumers millions of results in just a few seconds. If purchasers want to search for a wholesale coffee company, they can use “Prestigious wholesale coffee companies” keyword to find and you can get a lot of information to learn about different types of company for making decisions. To get more specific information, you can find on e-commerce platforms such as Alibaba that only specialize in purchasing products to find the trustful suppliers.

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Using the Internet search

  • Brokers

Choosing a broker as a third partner is a realistic option for novices. While working with the Vietnam coffee company, they will ensure product quality and exchange processes. In addition, the cost will rise as a result of the fees paid to the middleman.

Top famous wholesale coffee companies in the world

There are some leading wholesale coffee companies worldwide.

Trung Nguyen Legend – Vietnam

This Vietnamese wholesale coffee company produces 1,500 tons of finished products each year from coffee powder. Japan, Singapore, Thailand, Germany, and a few new countries like the United States, Canada, the United Kingdom,… will each receive about 60% of the powdered coffee produced. In addition, the facility uses modern European technology to produce instant coffee worth more than 120 billion VND.

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Trung Nguyen Legend – Vietnam

K-Agriculture – Vietnam

K-Agriculture wholesale coffee company has helped transport thousands of tons of Vietnamese coffee to markets throughout the world, particularly in high-demand countries like the United States, Japan, and Africa. The products are hand-selected and processed according to particular ways before being sold on the domestic and international markets to ensure the quality of each grain. K-Agriculture is a leading agricultural company that specializes in the export of Vietnamese coffee beans, notably specialty coffee beans.

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K-Agriculture – Vietnam

Contact information:

Email: info@k-agriculture.com

Website: https://k-agriculture.com/

Whatsapp: +84855 555 837

Red Diamond Coffee & Tea – US

Red Diamond has been a trusted supplier in the United States since 1906. It has been in business for almost a century and is one of the oldest wholesale coffee sellers in the United States.

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Red Diamond Coffee & Tea – US

Son Duong coffee – Vietnam

Son Duong Coffee CoLtd is a wholesale coffee company that sources high-end coffee from places including Nam Ban, Buon Ho, Dak-nia, Tram Hanh – Da Lat, and the LangBiang plateau, which have plentiful raw materials. They want to become a partner who can help firms succeed in the international food and beverage market.

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Son Duong coffee – Vietnam

 Java Bean Plus

Java Bean Plus is one of the world’s largest wholesale coffee companies, delivering high-quality wholesale coffee at competitive prices. With a focus on customer satisfaction, Java Bean Plus has served over 2,000 clients across the United States.

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Java Bean Plus – US

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