The wholesale coffee beans market is always active and brings great profits, which is the target market of many coffee exporting countries. As a price-sensitive commodity, the wholesale coffee beans price is strongly influenced by small changes in output, consumption, or external factors such as environment, economics, and politics.
- 1 General information of wholesale coffee beans
- 2 Famous types of wholesale coffee beans
- 3 Ways to find reliable wholesale coffee beans suppliers
- 4 Finding reputable wholesale coffee beans suppliers
- 5 Ways to work with wholesale coffee beans suppliers
- 6 Factors affecting wholesale coffee beans suppliers
- 7 Top wholesale coffee beans suppliers around the world
General information of wholesale coffee beans
Coffee beans are traded around the world due to great demand from consumers. Many countries in Europe or Australia consume thousands of tons of coffee every year.
Definition of wholesale coffee beans
Wholesale coffee beans are coffee beans that are distributed in bulk to exporters, corporations, distributors, resellers, sometimes bulk buyers for the business or the cafe.
The wholesale coffee beans prices are often cheaper, customers will also have more discounts than buying in small quantities.
The situation of wholesale coffee beans around the world
- Worldwide coffee prices
The price of Arabica coffee increased continuously in the past 3 MYs while the price of Robusta coffee decreased in MY 2019/20 and increased again in MY 2020/21.
Colombian Milds prices increased the most, MY 2020/21 price increased 24% compared to MY 2019/20 and 45% compared to MY 2018/19.
|No.||Type of coffee||MY 2018/19||MY 2019/20||MY 2020/21|
- Worldwide coffee production
South America accounts for 48.8% of world coffee production, concentrated in two countries, Brazil and Colombia. The region ranked second in terms of output is Asia, concentrated in Vietnam and Indonesia.
Total coffee production in MY 2019/20 decreased by 0.72% compared to MY 2018/19, in which Arabica production decreased sharply by 3.3% but Robusta production increased by 2.8%.
Total coffee production in MY 2020/21 is expected to be 10.18 million tons, a slight increase of 0.4% compared to MY 2019/20. In which, Arabica and Robusta production is foreseen to increase 2.3% and decrease 2.1% respectively.
|MY 2018/19||MY 2019/20||MY 2020/21|
(Unit: million tons)
Worldwide coffee production is forecasted to decrease significantly in MY 2021/22 while coffee prices are predicted a continuous uptrend because of several climate-related shocks in Brazil and the tighter lockdown of the Covid-19 pandemic in Asia, raising concerns about rising logistics costs.
- Worldwide coffee consumption
Worldwide coffee consumption is foreseen to increase by 1.9% to 10.02 million tons in MY 2020/21 with the easing of pandemic restrictions and the prospect of further economic recovery.
The share of domestic consumption in coffee producing countries, which accounts for 30.2% of world coffee consumption in MY 2020/21, is expected to increase further as people’s living standards continue to improve while the remaining 69.8% is consumed in non-producing countries.
- Worldwide coffee export situation
High coffee prices are an opportunity for wholesale coffee beans suppliers to make more profits. Even though the Covid-19 pandemic delayed the shipment, world coffee exports in the past 3 MYs have remained at a stable level, approximately 8 million tons per MY.
Top of the world’s largest wholesale coffee beans countries
Europe is the largest exporter of finished coffee, accounting for 35% of exports while South America and Asia are the two largest coffee producing regions in the world.
The following are the countries with the leading coffee export value in the world.
|No.||Continent||Country||Export value (billion USD)|
- Brazilian wholesale coffee beans suppliers: Brazil has been the world’s biggest coffee producing country for almost 200 years with a $4.6 billion export value. In the past, the market for Brazilian coffee at one period accounted for 80%. Today, Brazil grows about a third of the world’s coffee.
- Vietnamese wholesale coffee beans suppliers: Vietnam is the second coffee producer in the world, after Brazil, and has the world’s leading Robusta output because of its favorable natural and economic conditions.
- Colombian wholesale coffee beans suppliers: Coffee was first produced in Colombia in 1723 and spread as a commercial crop. By 1912, coffee accounted for about 50% of Colombia’s exports. Currently, Colombia’s coffee export value is $2.58 billion.
Among coffee growing countries, there are only some big countries with a coffee export value of over 2 billion USD such as Brazil, Vietnam, and Colombia, accounting for 32.7% of the entire world’s coffee export value.
- German and Swiss wholesale coffee beans suppliers: Germany and Switzerland are two markets that do not produce coffee but have large export volumes. Because they import green coffee beans from less developed areas, roast and ship them around the world. Roasting and flavoring coffee requires a lot of electricity and water, resources that are often not available in less developed countries.
Trends in the wholesale coffee beans price of the world’s leading exporting countries in the coming time
According to experts in Brazil, the recent frost is expected to damage a significant number of coffee trees, negatively affecting production from the coffee season 2021 – 2022 onwards. Therefore, the price of Brazilian coffee is likely to increase due to the deficit in supply and affect the world prices of Arabica and Robusta coffee in the future.
The reason why wholesale coffee beans are grown in Southeast Asia
The climate and geography of Southeast Asia are ideal for coffee farming. In addition, the region’s history, coffee culture, and expertise in coffee production have contributed to a thriving coffee industry in ASEAN.
- The tropical climate is hot and humid with temperatures above 24oC, having abundant light, humid heat over 80%, and a large rainfall of 1500-2000mm, suitable for the development of tropical industrial crops such as coffee.
- The hilly feralit soil, especially the fertile basalt red soil in the volcanically affected areas, is favorable for the development of large industrial crop areas.
- Many river systems with abundant water sources such as the Mekong River and the rich underground water help to supply water for industrial crop areas.
Social and economic conditions
- Southeast Asia has a large population, abundant labor force with experience in growing tropical industrial crops.
As a result, coffee has become an important commodity for Southeast Asian countries, with an export value of 6.2 billion USD, equivalent to 16% of world coffee output, including:
- Vietnam is the second largest coffee exporter in the world, after Brazil, and the largest in Southeast Asia, with the world’s highest Robusta production.
- The second is Indonesia, the world’s fourth-largest Arabica coffee-growing region.
- Laos is considered the third-largest coffee producer in Southeast Asia and the country is also known for producing high-quality Arabica beans.
- The Malaysian market is dominated by instant coffee due to the growing demand for flavored products with an average annual growth of 8-10%.
- Thailand also continues to attract business and investment due to the growing coffee demand.
- The Philippines is determined to revive its coffee industry to target niche markets and serve growing domestic demand for specialty coffees.
Famous types of wholesale coffee beans
The two main types of coffee in the world are Arabica and Robusta, loved by many coffee connoisseurs.
- Arabica: Arabica is native to the southwestern highlands of Ethiopia and is the most popular coffee worldwide – accounting for 60% or more of the world’s coffee production. Currently, Arabica coffee is often grown in countries such as Brazil, Colombia, Mexico, Peru, India, of which the largest producer is Brazil.
- Robusta: Robusta coffee is made from the beans of the Coffea Canephora plant. In Vietnam, up to 90% of coffee production comes from Robusta coffee, helping Vietnam coffee beans export volume ranks second in the world. Robusta coffee is grown mostly in the Central Highlands such as Dak Lak, Dak Nong, Kon Tum.
These two types of coffee are also favored not only by their abundant supply but also by the quality of each bean.
Ways to find reliable wholesale coffee beans suppliers
Finding a reputable wholesale coffee beans supplier is extremely essential because this directly determines your long-term business.
- Search wholesale coffee beans suppliers on Google and E-commerce platforms
In today’s developed industrial age, the Internet is one of the greatest free resources. Reputable wholesale coffee beans suppliers that are visited by many people often are on the first page of search results on Google or international E-commerce platforms such as Amazon, Alibaba.
- Find reliable broker services
Broker services are a good choice for newers. A master broker service will help in finding a reputable and cheap source.
- Participate in international agricultural trade fairs
Agricultural trade fairs are often organized by the Government to trade products among wholesale coffee beans companies. So, it is a valuable chance to find prestigious wholesale coffee bean suppliers.
Finding reputable wholesale coffee beans suppliers
Here are some suggestions for locating reputable wholesale coffee beans suppliers and avoiding scam suppliers.
Signs for finding reputable wholesale coffee beans suppliers
- Having a valid business license and a real address: A reputable wholesale coffee beans supplier must have a business license, the company’s red seal issued by the government, and a clear address, phone number, emails with their own company’s domain name.
- Having a clear profile of products: Certificates should be available to the purchaser’s request such as C/O form ICO, C/O form B, Fair Trade certificate,…
- Transparency in cooperation: The suppliers need to have transparent documents with the buyer such as the contract.
- Considering legal issues: A reputable supplier must always be a legal business and always comply with the law.
- Financial stability: Financial stability will determine whether a supplier will be a reliable partner and supply will not be interrupted as a result of financial risk.
Signs for avoiding scam wholesale coffee beans suppliers
- Unclear contact information: a scam supplier will try to hide illegal business. Therefore, people may not access the website or call the wholesale coffee beans suppliers directly.
- Prices are too low: changes in coffee prices are updated daily on official websites. Wholesale coffee beans suppliers can decrease the price to compete, but if a wholesale coffee beans supplier offers a much lower price compared to the price on the exchange, they are most likely just trying to trick for some money or provide low quality goods.
- Refusing to negotiate face-to-face: Although knowing that during the Covid-19 pandemic, it is extremely difficult to negotiate directly, it is still possible to use online meeting platforms such as Google Meet or Zoom for online negotiation. If they do not want to communicate directly, they may be trying to hide something.
Ways to work with wholesale coffee beans suppliers
Doing the following steps is an important thing when buying wholesale coffee beans.
- Comparing among wholesalers on the coffee market via the internet or commercial sites carefully before negotiating.
- Asking for a discount of 15% -20% to get the best price with coffee beans wholesalers. If bought in bulk, the price may be lower than expected.
For first-time buyers, it is very important to ask for samples to avoid receiving poor quality goods or taking a long time to return if receiving the unrequired goods.
Contracts are an important document when working with wholesale coffee beans suppliers. The contract should be ensured that the agreement is in the best interest of both parties and follows the common law and must be checked carefully before signing.
Wholesale coffee beans suppliers will recommend the appropriate payment method based on the number of products. However, it is best to divide the entire order value into 2 installments: before and after receiving the product to ensure that the final condition of the goods meets the specified standards.
Receiving and checking goods, and feedback to the wholesale company
- When the products have been shipped to the destination, check to ensure that they meet the negotiated requirements.
- If not, contact wholesale coffee beans suppliers as quickly as possible to discuss the solution further.
Factors affecting wholesale coffee beans suppliers
Environmental, economic, or political impacts can significantly change the output and wholesale coffee beans prices.
Influence of natural conditions
To provide well-qualified cherries, coffee trees need to have suitable weather conditions. Only a few weather changes can affect the coffee supply in several market years, especially for influential markets such as Brazil, Vietnam, and Colombia.
Last July, the frost in Brazil destroyed thousands of coffee trees and will increase the world price of coffee in the next 2-3 market years.
Influence of socio-economic situation
The Covid-19 pandemic in the past 2 years has strongly affected the trade flows of the economy. The closure to fight the epidemic of many countries also makes transporting wholesale coffee beans to other countries extremely difficult and expensive.
Influence of politics
Many major coffee exporting countries are facing face problems with politics, leading to distractions in growing coffee. For example, the riots in Thailand also greatly affected the supply of coffee at this time.
Top wholesale coffee beans suppliers around the world
There are millions of wholesale coffee beans suppliers around the world but here are the top 3 leading wholesale coffee beans suppliers that many buyers search for every day.
Ga Food – Brazilian wholesale coffee beans suppliers
The Brazilian supplier is famous for its abundant source of high-quality Arabica coffee with a medium roast, a coffee that many people love.
Although only operating since 2016, this supplier has received many orders and has a reputation for supplying wholesale coffee around the world.
K-Agriculture Factory – Vietnamese wholesale coffee beans suppliers
With a 25-year history of delivering Vietnamese agricultural products to the world, K-Agriculture Factory is a leading agricultural company distributing wholesale coffee beans to the international market.
The products are carefully selected and handcrafted to ensure the quality of each coffee bean before being preliminarily processed and released to domestic and international markets.
Whatsapp: +84855 555 837 (Ms. Sarah)
Hacienda Flandes – Colombian wholesale coffee beans suppliers
Hacienda Flandes is a big Colombian coffee farm located in the Ande Mountains.
Hacienda Flandes has a long tradition and in-depth knowledge of coffee production over three generations with more than 100-year development and has now opened the door to international trade in roasted arabica coffee.