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Things to know about coffee bean manufacturers

Originated from Africa, coffee bean manufacturers can now be found anywhere around the world. They are an extremely important factor contributing to the blooming and ever-growing coffee culture today.

See more: The top 5 reputable Vietnam coffee factories

The brief introduction to coffee bean manufacturers

Coffee bean manufacturers have been around for centuries and it is undeniable that the growing number of coffee bean manufacturers across the globe partly represents the diversity and excitement of this industry.

Definition of coffee bean manufacturers

Coffee bean manufacturers are individuals and businesses that take care of the steps after coffee harvestation. This includes various stages, from processing the coffee cherries, roasting to packing the final products. These products would then be sold in stores, through coffee distributors, or directly to wholesale customers.

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Definition of coffee bean manufacturers

Types of coffee bean manufacturers

While there are numerous types of coffee, the majority of coffee bean manufacturers can be divided into two types: green coffee bean manufacturers and roasted coffee bean manufacturers.

  • Green coffee bean manufacturers

Arabica and Robusta are the two most popular and widely used types of green coffee beans in the world coffee market, which means that coffee bean manufacturers would mainly focus on producing these two. Depending on the climate and conditions of the regions they are located in, coffee bean manufacturers will accordingly choose the most suitable kinds of coffee process, such as dry process, wet process and honey process. Currently, around 60% of the world’s coffee output is Arabica coffee, the remaining 40% belongs to Robusta coffee. In 2020, the price of Arabica coffee is around $3727.5 per MT, which is about 1.5 times the price of the Robusta one ($1783.2 per MT). The price that manufacturers offer is often cheaper than traders’, which is the reason why professional coffee buyers prefer to import directly from the manufacturers.

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Green coffee bean manufacturers

  • Roasted coffee bean manufacturers

In general, roasted coffee bean manufacturers could either execute solely the bean roasting process, of which green beans can be imported from green coffee bean manufacturers, or perform the entire process themselves, from primary process to the packing. Roasted coffee beans’ levels vary from light, medium, medium-dark and dark depending on customers’ preferences and natural conditions of the roasted coffee bean manufacturers’ locations.

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Roasted coffee bean manufacturers

Location of coffee bean manufacturers

Some of the most popular and productive coffee bean manufacturers can be found in South America, South East Asia and Africa.

Location of green coffee bean manufacturers

To maximize productivity and profit, 95% of green coffee beans are exported from major coffee growing areas with ideal conditions and climate to plant and produce mass amounts of coffee. Therefore, most green coffee bean manufacturers are located in countries with those climatic features, namely Brazil, Vietnam, Colombia, Indonesia or Ethiopia.

Currently, Brazil is the number one country in terms of aggregate coffee production with about 3.7 MT (35.3% of the world total) whereas Vietnam stood at the second place with 1.74 MT (16.6% of the world total) and Colombia ranked third with 0.75 MT.

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Location of green coffee bean manufacturers

Location of roasted coffee bean manufacturers

Roasted coffee beans are typically manufactured in accordance with drinking preferences in each different country, thereby types of roasted coffee beans also vary, which include white roast coffee, light roast, medium roast, medium-dark roast, dark roast, etc. Most roasted coffee bean manufacturers are in European countries such as Germany, Italy, Belgium. These nations all have a life-long culture of coffee-drinking and a significant demand for roasted coffee beans. Aside from that, many Asian countries that traditionally consume tea have now shifted gradually towards coffee, making the demand for roasted coffee bean manufacturers increase each year.

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Location of roasted coffee bean manufacturers

Types of coffee that coffee bean manufacturers often supply

Currently, Arabica and Robusta are the two main types of coffee beans produced by coffee bean manufacturers with distinctive characteristics, flavor, shape, taste and so on.

Arabica

Arabica is the most popular type of coffee across the globe, contributing over 60% of world coffee production. Preferable in cool climates and can only be grown in areas with suitable altitude, climate and soil conditions for plantation, Arabica is more popular in Europe, with famous drinks such as Espresso, Cappuccino, Latte, etc. Overall, Arabica coffee is often more expensive than that of Robusta since its cultivation requirements are more demanding, at 3,800 to 11,000 USD/MTton depending on its quality. Due to its high prices, most experienced importers will buy coffee in bulk directly from the coffee factory for cheaper prices.

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Arabica

Robusta

Robusta coffee is the second most produced coffee in the world, making up around 40% of the worldwide coffee production. Most of the Robusta coffee bean manufacturers are in Vietnam and Africa, where these beans originally come from. When grown in perfect conditions (at an altitude of less than 600m, under tropical climate, most ideal in the central highlands), Robusta coffee should preserve its finest quality with a high bitterness and less aroma than Arabica. The taste of Robusta ranges from neutral to bitter. The price of this type of coffee ranges from 1600 – 4500 USD/MT.

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Robusta

In general, Arabica is considered to be a higher ranking in terms of quality and price, while Robusta’s output is usually higher because of better yield. Therefore, it is important for coffee bean manufacturers to research the market carefully and choose the right product to produce.

Liberica

Liberica only accounts for <1% of the global coffee market. It is mainly produced in Africa and Asia, especially in the Philippines, which remains one of the biggest Liberica coffee bean manufacturers.

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Liberica

The total number of both Arabica and Robusta coffee production have gone up in three consecutive years, of which Arabica production has always surpassed that of Robusta.

Main factors that affect the productivity of coffee bean manufacturers

There are many factors that can interfere with the productivity of coffee bean manufacturers such as supply, demand and government subsidies.

Effect of supply

Changing weather or unusual climatic events like the drought in Vietnam, higher cost of production or threat of disease such as the Covid-19 pandemic are some of the factors that may result in unstable coffee yield, which would negatively affect the supply ability of coffee bean manufacturers. As they struggle with poor production conditions, these coffee bean manufacturers may become unable to fulfill orders and thus interrupt with the supply chain of coffee beans around the world.

(Unit: MT)

MY 2017-2018 MY 2018-2019 MY 2020-2021
Arabica  5.67  6.24 6.12
Robusta 3.86 4.23 4.42

In three recent years, both Arabica and Robusta output witnessed a rise regardless of the disruption of the world supply chain because of the Covid – 19 pandemic.

Effect of demand

The Covid-19 pandemic has caused the demand and supply chain of coffee beans to freeze for nearly 2 years, lowering coffee prices as well as coffee bean manufacturers’ motivation. However, as vaccination campaigns are launching promptly in Europe and Asia and countries begin to reboost international trading, coffee bean manufacturers have finally got the chance to reproduce and continue with the production.

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Effect of demand

Effect of government subsidies

To encourage the production and export of Vietnamese coffee bean types, the Vietnamese government always encourages the application of advanced and new technologies in coffee production and processing to create high-quality products with competitive prices, based on the advantages of the country’s human and natural resources.

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Effect of government subsidies

How to find coffee bean manufacturers

The first step into the coffee bean market is to be able to know where to find your ideal coffee bean manufacturers.

Internet

With the widespread use of the Internet and a few clicks, you can immediately find all kinds of coffee bean manufacturers and their information. However, it is recommended to search from reliable websites, eg. government agencies or international trading associations.

E-commercial platforms

As coffee bean manufacturers are eager to promote their products on E-commercial platforms such as Alibaba, Tridge, or 1688 with detailed information and also public feedback from real customers, this is another useful channel to reach out to your potential coffee bean manufacturers.

Agricultural trade fairs

Long-time coffee importers prefer these kinds of fairs since they can easily experience the products and directly get contact with the coffee bean manufacturers without having to work through Intermediaries companies.

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How to find coffee bean manufacturers

How to work with coffee bean manufacturers

In order to work smoothly and effectively with coffee bean manufacturers, it is vital to understand these 6 main steps in the process of buying agricultural products:

Step 1: Buyers send Letter of Intent (LOI) to coffee bean manufacturers with detailed requirements regarding his/her order. A standard LOI will contain company information and order requirements. Many wholesale coffee bean distributors prefer to buy coffee in bulk directly from coffee bean manufacturers because of cheaper prices.

Step 2: After receiving the LOI, the coffee bean manufacturers will respond with the Final Corporate Offer (FCO). The final FCO will be concluded after several negotiations between the buyers and the manufacturers.

Step 3: The coffee bean manufacturers will send some samples over to the buyers for testing and experiencing, then they will be able to have more confidence in their purchasing decision.

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How to work with coffee bean manufacturers

Step 4: Both parties will now come to the most important step: signing the contract. This will be executed after the two partners have agreed to the negotiated terms and usually the buyers will have to pay an amount beforehand as a deposit after the contract has been signed.

Step 5: According to the Incoterm, the coffee bean manufacturers will make the order in 2-4 weeks. After packing and shipping the goods on board, required documents such as the Bill of Lading will be sent to the Buyer. During the delivery which may take 1 to 3 weeks, both parties need to track the vessel to be prepared for any unprecedented events.

There are two main shipment methods: sea freight and air freight. Sea freight shipment costs are usually lower than that of air freight since transporting goods in bulk would result in an enormous shipment fee. When stored in good condition, green coffee beans can last up to 2-3 months and a month for roasted coffee beans, therefore sea freight shipment is generally more cost-effective.

Step 6: Receive goods to check the quantity and quality and give feedback. Repeat the order.

Recommendation: Top famous and reputable coffee bean manufacturers

The top 3 most reliable coffee bean manufacturers are listed as follow:

Trung Nguyen Legend – The most modern coffee bean manufacturers

Trung Nguyen Legend has a long history in Vietnam and has concretized its position in the world coffee market. This brand has been around for more than 20 years with around 60 countries worldwide as their export markets, namely the U.S., Canada, Germany, Japan, etc. Some of these Vietnamese coffee manufacturers‘ products include green coffee beans, roasted and ground coffee, instant coffee, and weasel coffee. Its factory is located in the Central Highlands with a total of more than a 152-billion-VND worth of investment. Its capacity is estimated at 1,500 MTs of final products per year.

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Trung Nguyen Legend

Contact information:

Whatsapp: +84 855555837

K-Agriculture Factory – Vietnamese coffee bean manufacturers

Established in 1996 with 25 years of experience in exporting coffee beans and other Vietnamese agricultural products, K-Agriculture proudly preserves the leading position in bringing Vietnamese signature coffee beans to the global market. With a strict and careful process of selection and manufacturing, K-Agriculture products, from the Specialty Arabica Quang Tri to the Robusta Lam Dong Honey, always ensure the finest quality. This brand’s processing factory is constructed in Hung Yen Province over an area of around 14,000m2. There are different sections for each different stage of coffee processing, from a drying yard to a packing and storage area, ready to supply the best coffee beans and final products to the world.

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K-Agriculture Factory

Contact information:

Email: info@k-agriculture.com

Website: k-agriculture.com

Whatsapp: +84855 555 837 (Ms. Sarah)

Vinacafe – Vietnamese coffee bean manufacturers

With the mission of pursuing the original coffee philosophy, Vinacafe has spent nearly half a decade to concretize this mission by launching products that can preserve and follow the Vietnamese original style of coffee drinking. With a 500-billion-VND worth of investment, this factory is located on an ideal area of ​​​​nearly 5 hectares in Dong Nai province with a capacity of 3,200 MTs of pure instant coffee per year.

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Vinacafe

Contact information:

Whatsapp: +84 855555837

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