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Strong growth of Vietnamese coffee wholesale in difficulties

Vietnamese coffee wholesale has great profitability in terms of output and quality, meeting domestic and foreign demand, and is an important commodity of Vietnam’s economy. 

See more: Vietnamese Robusta Coffee purchasing with K-Agriculture

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General information of Vietnamese coffee wholesale

As a commodity of great economic value, wholesale Vietnamese coffee contributes 3% to the GDP of Vietnam’s economy. The production is estimated at 1,625,000 tons per year, Vietnamese coffee wholesale has many competitive advantages. 

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Definition of Vietnamese coffee wholesale

Vietnamese coffee wholesale is the distribution of large volumes of coffee to domestic and international organizations, businesses, and individuals at a price lower than the normal retail price.

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Definition of Vietnamese coffee wholesale

Vietnamese coffee wholesale export prices

The Vietnamese coffee wholesale price in the last three MYs increased continuously, which is a good sign for the Vietnamese coffee wholesale industry. 

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Vietnamese coffee export prices in last 3 market years

With supply disruptions from Brazil, logistics costs rise and large demands for Christmas, world coffee prices are predicted to continue to increase sharply in the near future and Vietnamese coffee wholesale price is not out of this trend.

In the domestic market, Vietnam’s coffee output in the coming year may be reduced by 10% due to heavy rain. Because the demand for main markets such as the US and EU is recovering thanks to the vaccination campaign and economic reopening, the decrease in coffee output is the basis for expecting coffee prices to increase in the future.

Vietnamese coffee output 

Although Vietnamese coffee output in MY 2019/20 reached 1.8 million tons, down 5% compared to MY 2018/19, it still accounted for 17.8% worldwide coffee output. In MY 2020/21, Vietnamese coffee output is predicted to decline by 15% due to the impact of floods in October 2020 and drought in May and June 2021.

In recent times, Vietnam is suffering from the COVID-19 pandemic, seriously affecting coffee output. The prolonged COVID-19 pandemic has caused a restriction in Vietnamese coffee export. Many Vietnamese coffee wholesale suppliers are facing difficulties in the distribution and export of coffee while the production and logistics cost still increase.  

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Vietnamese coffee output (million tons)

Areas with a lot of Vietnamese coffee wholesale

The current coffee-growing area of ​​Vietnam according to the data of the Ministry of Agriculture and Rural Development (2020) is 680,000 hectares, the output is 1.8 million tons per year. In which, the Central Highlands region provides the largest coffee output in the country, followed by the Northwest and some central provinces in Vietnam. Therefore, wholesale Vietnamese coffee in these areas has a very high potential for distribution to the market and for export.

Currently in Vietnam, wholesale Vietnamese coffee not only has large wholesalers in the main coffee producing regions mentioned above but besides, there are agents and wholesalers with reputable addresses in Vietnam. Hanoi, Ho Chi Minh, Binh Duong, Can Tho, and some major cities of Vietnam – almost all Vietnamese coffee wholesalers spread across the region.

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Areas with a lot of Vietnamese coffee wholesale

Famous Vietnamese coffee wholesale types

Types of Vietnamese coffee wholesale are very diverse, however, there are two popular types.

  • Green coffee beans

Green coffee beans are coffee beans that have just been primarily processed. In Vietnam, there are two main types of green coffee, Arabica and Robusta, and a small amount of Excelsa coffee. In which, the majority of Vietnamese coffee production is Robusta, which is why Vietnam is the world’s largest coffee exporter.

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Green Vietnamese coffee wholesale beans

  • Processed coffee beans

Processed coffee beans are beans that have been roasted or ground or processed into finished products like instant coffee. The European market is one of the potential markets to import processed coffee from Vietnam, in which the UK has the largest demand for instant coffee.

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Processed Vietnamese coffee wholesale beans

Favorable conditions of Vietnamese coffee wholesale 

Currently, wholesale Vietnamese coffee has many economic advantages compared to other coffee wholesalers in the world.

Vietnamese coffee wholesalers have the advantage of stable supply volume

Based on the ranking of the world’s largest coffee exporting countries, Vietnam is currently in second place and is also the first Robusta exporter in the world coffee market. That proves that Vietnam is gradually making its mark on the world coffee map in terms of both output and quality.

Covid-19 has greatly affected the world in terms of coffee production, many coffee-producing regions have significantly reduced their output. Brazil sharply decreased in output while Vietnam stands in a fairly stable position due to good disease control. With a good epidemic, stable Vietnamese coffee production has created an opportunity to rise to dominate the market.

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Vietnamese coffee wholesale processing methods

Vietnamese coffee wholesalers have the advantage of large coffee growing areas

Vietnam has 3 large coffee growing regions: the Central Highlands, the Northwest, and some central provinces. In which the Central Highlands region accounts for the largest proportion (93% nation output) and ranks first in quality. 

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Vietnamese coffee wholesalers have the advantage of large coffee growing areas

Vietnamese coffee wholesale has economic advantages from Vietnamese government policies and trade agreements

Vietnamese coffee wholesale is strongly supported by the government to promote the key industry and bring Vietnamese agricultural products to the world. 

The Vietnamese government has supportive policies

The Vietnamese government implements policies for the coffee industry to ensure competitiveness and sustainable development.

  • General policies like “The agricultural restructuring project”, “Approving the development plan of Vietnam’s coffee industry to 2020 with a vision to 2030” are promoting coffee growth and export. 
  • Production support policies are introduced to support coffee production, specifically coffee replanting in 2 years, or support coffee production according to VGAP, GAP, UTZ, 4C standards.
  • Input support policies (irrigation fees, seeds, fertilizers…) such as Resolution No. 55/2010/QH12 are released on exemption and reduction of agricultural land use tax, and supply of machinery,  coffee production equipment.
  • Vietnamese coffee wholesale benefited a lot from the policy of linking production between farmers and businesses. Vietnamese coffee wholesalers are exempt from land use tax for factory construction, application of science and technology, capital support, training costs.
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The Vietnamese government has supportive policies

Vietnamese wholesale coffee enjoys many incentives from trade agreements

From August 1, 2020, the Vietnam – EU Free Trade Agreement (EVFTA) took effect, instant coffee exports to the EU enjoy an export tax of 0% compared to the previous 10-20% rate, which is a great advantage for Vietnamese coffee wholesale businesses. The new tax rate creates advantages for Vietnamese enterprises to export instant coffee to this large market. At the same time, the agreement also specified that 39 geographical indications of Vietnam that are committed to protection by the EU will have geographical indications on coffee.

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The Vietnam – EU Free Trade Agreement (EVFTA)

Criteria to evaluate quality Vietnamese coffee wholesale suppliers

To guarantee the reputation of Vietnamese coffee wholesale suppliers, buyers can rely on specific criteria.

Vietnamese coffee wholesalers must provide qualifications

Reputable Vietnamese coffee wholesalers are assessed on their portfolios. Vietnamese coffee wholesalers must have legal business registration licenses according to the laws of the Vietnamese state. If a Vietnamese coffee wholesaler has a branch in a foreign country, it must have a business registration license of that country.

An important and indispensable thing in the capacity profile of Vietnamese coffee wholesalers is to have certificates of qualified coffee products. For Vietnamese businesses, it is necessary to have Certificates according to Vietnamese and international standards such as:

  • TCVN 4193:2005: Vietnamese coffee quality standards
  • Fair Trade certificate: The US fair trade certificate.
  • UTZ: is a coffee certificate that emphasizes transparency of product traceability
  • RFA: certification for a coffee farm that controls sustainable coffee standards related to the environment, economy, and society.
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Certificates according to Vietnamese and international standards

Reputable Vietnamese coffee wholesalers are judged by the partners they have cooperated with

Normally, the partners of Vietnamese coffee wholesalers are businesses, business partners who buy coffee in large quantities as raw materials. Besides, Vietnamese coffee wholesalers can be partners of major coffee import markets in the world such as the US, Germany, Italy, Spain, Japan…

Vietnamese coffee wholesalers demonstrate their capacity through the partners they cooperate with so that they can get orientation and set criteria to choose the right cooperation relationship, helping businesses gain more profits.

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Reputable Vietnamese coffee wholesalers are judged by the partners they have cooperated with

Information about Vietnamese coffee wholesalers is clear and transparent

It is necessary to check if the supplier really exists such as website address, contact method, business license, website check is the optimal way to measure the reputation of a wholesale coffee supplier.

The supply of Vietnamese coffee wholesalers must be guaranteed. Does the supplier guarantee the supply of raw materials, maintain long-term cooperative relationships with partners or not; Large-scale production; have a factory (should consider the size and operation of the factory), transportation system, etc.

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Information about Vietnamese coffee wholesalers is clear and transparent

Customer service of Vietnamese coffee wholesale suppliers

The customer service of a Vietnamese coffee wholesaler is the support in every case, especially when problems arise such as product defects, poor quality, lack of orders. Therefore, here is an indispensable criterion in evaluating and selecting wholesale Vietnamese coffee. When evaluating a supplier, it is necessary to gather opinions on the quality of support, the attitude of the supplier and response time to support requests, and the qualifications of the support staff.

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Customer service of Vietnamese coffee wholesale suppliers

Working with Vietnamese coffee wholesale suppliers

After having a certain amount of information about Vietnamese wholesale coffee, wholesale buyers can contact the wholesaler to learn more about the product and work with the partner.

Looking for Vietnamese coffee wholesalers and Vietnamese coffee wholesale products

Checking whether the Vietnamese coffee wholesaler is really knowledgeable about their products. When the wholesaler clearly presents and can answer all the questions about the product, it shows that the wholesaler works very well and cares about products.

Price negotiation

  • Comparing among wholesalers on the Vietnamese coffee market via the internet or commercial sites to understand the price before negotiating.
  • Lowering the price by 15% -20% to get the best price with the wholesaler. If buying in bulk, the price can be lower than expected and have more preferential policies.

Contract signing

This can be considered as one of the most important stages of the negotiation process with Vietnamese coffee wholesalers. Vietnamese coffee wholesale has certain standards to be brought to the commercial market. Make sure that the business license and product safety certification requirements are in accordance with Vietnamese law.

In addition, both parties need to agree on the delivery date, quantity of coffee, coffee model, any additional requirements, which may be accompanied by a sub-contract.

Payment

Actively find out the payment methods of Vietnamese coffee wholesalers through the website, or discuss directly with the wholesaler.

Wholesale buyers can pay the coffee wholesaler upfront, either by the bag or by volume. Usually, buyers should pay by bag (60kg/bag) to ensure peace of mind when the wholesaler supplies the next time.

Receiving goods, check and giving feedback to Vietnamese coffee wholesalers

  • Check the quantity of coffee delivered and the quality of coffee products to promptly respond to the Vietnamese coffee wholesalers.
  • Feedback will be an opportunity for both parties to become long-term partners.
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Working with Vietnamese coffee wholesale suppliers

Finding quality and reputable Vietnamese coffee wholesale suppliers

There are numerous ways to connect buyers with trustworthy Vietnamese coffee wholesale suppliers. Buyers can look for wholesale suppliers of Vietnamese coffee on the E-commerce platforms, through professional services, or other networks.

Form Advantages Disadvantages
Find on Top E-Commerce Exchange
  • Can quickly find information
  • Have customer feedback
  • Many choices of Vietnamese coffee wholesalers
  • Can be cheated
  • Feedback from customers is not genuine
  • Can’t check the product directly
“Find supplier” service
  • Don’t be afraid to be cheated
  • Get more good and quality information about Vietnamese coffee wholesalers
  • Cost extra
Join Industry Groups, Forums, and Other Professional Networks
  • Have feedback on wholesale coffee shops in Vietnam
  • Variety of information
  • Convenient search
  • Too much information about wholesalers coffee
  • Unable to verify the credibility
  • Can be scammed
Attend a Trade Show
  • Directly meet Vietnamese coffee wholesalers
  • Can see the product
  • Directly asked about products, factories
  • May miss out on better wholesalers Vietnamese coffee if you make a quick decision

Top 3 Vietnamese coffee wholesale suppliers

Here are Vietnamese coffee wholesalers, which are evaluated for their reputation through service, the scale of coffee product supply, as well as the coffee standards of Vietnam and the world. 

K – Agriculture Vietnamese coffee wholesale supplier

K-Agriculture has been one of the leading exporters of rice, coffee, cashew nuts, and spices in Vietnam.

K – Agricultural is also one of the first supply chain companies supported by a partner, Vietnam’s Ministry of Industry and Trade – Vietnam Trade Promotion Agency – VIETRADE.

The company always puts quality first. K – Agriculture is confident to be the most prestigious and quality Vietnamese coffee wholesaler in the market.

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K-Agriculture and customers

K-Agriculture is an intermediary Vietnamese coffee wholesaler, taking the best coffee raw materials in Vietnam such as Lam Dong, Quang Tri, Son La and conducting the processing to meet food quality and safety standards.

The large supply of coffee, as a wholesale partner of major markets: EU, Japan, Africa. With Vietnam wholesale coffee products such as Robusta, arabica, coffee powder, green coffee. K – Agriculture always ensures sufficient supply and wholesale coffee products are popular and popular in the market with a large, modern and advanced factory system.

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K – Agriculture’s large-scale coffee factory

Contact information:

Website: k-agriculture.com

Phone: +84855 555 837 (Whatsapp Available)

Email: info@k-agriculture.com

Brownka Coffee Factory – Kien An Vietnamese coffee wholesale supplier 

BROWNKA is a Vietnamese coffee wholesaler that mainly supplies roasted and ground coffee beans and some nutritious beans to provide health to consumers.

The main source of raw materials is in the Central Highlands – the region that provides the largest coffee production in Vietnam with the mission of spreading the coffee flavor and promoting the culture of enjoying coffee.

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Brownka Coffee Factory – Kien An Vietnamese coffee wholesale supplier

Huca Food Vietnamese coffee wholesale supplier

Is a wholesaler of Vietnamese coffee in Khanh Hoa – Vietnam? Huca Food is an enterprise with a multidisciplinary field of coffee. Mainly focus on production lines with modern machines.

Wholesale products are instant coffee products, filter coffee. At the same time, Huca Food receives coffee processing. The highlight of this Vietnamese coffee wholesaler is focusing on wholesale and development of weasel coffee products.

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Huca Food Vietnamese coffee wholesale supplier

In conclusion, we are, K-Agriculture Factory, sincerely serve you anywhere, at any time via Whatsapp: +84855 555 837.

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