Vietnam coffee beans trading develops due to suitable natural conditions, advanced farming techniques, and strong support of the government. And Vietnam coffee beans exporters carry the mission to bring Vietnamese coffee beans to all corners of the world.
Related: Ways to find reliable Vietnamese coffee wholesale suppliers
Contents
- 1 General information about Vietnam coffee beans exporters
- 2 Famous types of coffee beans supplied by Vietnam coffee beans exporters
- 3 Competitive advantages of Vietnam coffee beans exporters
- 4 Factors affecting Vietnam coffee beans exports
- 5 Finding reputable Vietnam coffee beans exporters
- 6 Signs of reliable Vietnam coffee beans exporters
- 7 Signs of scam Vietnam coffee beans exporters
- 8 Working with Vietnam coffee beans exporters
- 9 TOP famous Vietnam coffee beans exporters
General information about Vietnam coffee beans exporters
Vietnam coffee beans exporters have a great mission to bring Vietnamese coffee beans to the world.
Definition of Vietnam coffee beans exporters
Vietnam coffee beans exporters are the businesses that bring Vietnamese coffee beans to international markets. In other words, they are experts in the coffee industry, selecting the best quality beans, looking for foreign partners who want to buy coffee beans in bulk, and ship coffee to their country.
The setting of Vietnam coffee beans export
In the world, Vietnam has been the second coffee exporting country in terms of output and fifth in terms of value for many years. Vietnam’s coffee exports are increasingly gaining a foothold in the international market, especially known as the world’s leading exporter of Robusta coffee.
Export price of Vietnam coffee beans
MY 2018/19 | MY 2019/20 | MY 2020/21 | |
Vietnam coffee beans export prices | $1,724/ton | $1,751.2/ton | $1,971/ton |
- Coffee is a price-sensitive commodity. Supply disruptions during the Covid-19 pandemic and a rise in logistics costs lead to a sharp increase in Vietnamese coffee beans export prices.
- The two largest importers of Vietnamese coffee beans are the US and Europe. The economic reopening after the Covid-19 pandemic has boosted the demand for Vietnamese coffee beans imports.
- Frost in Brazil recently caused world coffee production to drop sharply, world coffee prices have increased. Vietnam coffee export prices are no exception.
Export output of Vietnam coffee beans
MY 2018/19 | MY 2019/20 | MY 2020/21 | |
Vietnam coffee beans export volume | 1.17 million tons | 1.16 million tons | 1.07 million tons |
In the past 3 years, Vietnam coffee beans export volume decreased slightly. The MY 2020/21 export output is down 7.5% compared to the MY 2019/20 output and down 8.5% compared to the MY 2018/19 output. The export output of Vietnamese coffee beans decreased due to many different reasons.
- Since the end of 2019, due to the Covid-19 pandemic, the cultivation, harvesting, and processing of farmers have been interrupted due to social distancing. As a result, crop quality is not guaranteed and coffee output is also reduced. Vietnam coffee beans exporters do not have enough coffee to export.
- The demand for coffee of young Vietnamese people is increasing, so the increase in domestic coffee consumption makes Vietnam coffee beans exporters also being affected.
- Floods in November 2020 and drought in May-June 2021 also cause a significant reduction in coffee production and export volume in the coming MYs as well.
Export value of Vietnam coffee beans
MY 2018/19 | MY 2019/20 | MY 2020/21 | |
Vietnam coffee beans export value | 2,000 million USD | 1,980 million USD | 1,990 million USD |
Due to the decrease in export volume, the export value of MY 2019/20 also decreased. However, the export value in MY 2020/21 increased as export volume decreased, showing that the quality of Vietnam coffee beans has improved. Both the Government and farmers are making efforts to invest in the quality of Vietnam coffee beans from the stage of planting, harvesting to processing and preserving to enhance the coffee beans quality more.
Coffee export methods of Vietnam coffee beans exporters
- Direct coffee export
Vietnam coffee beans exporters will be in charge of coffee production, processing, packaging, then sign contracts with customers and directly export coffee beans to customers through export regulations of Vietnam.
- Entrusted coffee export
Coffee producers will hire an outsourcing business called Vietnam coffee beans exporters to handle essential coffee export procedures and receive a fixed amount in the commission agreement when exporting successfully. There is a disadvantage that Vietnam coffee beans exporters are likely to spend a lot of money on this service.
- Coffee export according to a trade agreement between two states
The exported coffee quantity has to be followed by a trade agreement between the two governments to promote bilateral relations. There will be special incentives for coffee exporters and importers in terms of price, tariff, or procedure. For example, the EU-Vietnam Free Trade Agreement (EVFTA) has reduced the export tariffs on Vietnamese coffee to the EU market from 7-9%.
Main importing markets of Vietnam coffee beans exporters
Vietnamese coffee has been present in more than 80 countries and territories around the world, mainly in major markets such as Germany, USA, Spain, Italy, Belgium, UK, and emerging markets such as China, Russia, Korea, Japan, Taiwan, Philippines, Thailand… In which, Germany is still the leading importer of Vietnamese coffee in many MYs.
Famous types of coffee beans supplied by Vietnam coffee beans exporters
Types of exported Vietnam coffee beans are very diverse depending on the purpose of the Vietnam coffee beans exporters and importers. However, there are two popular types.
Robusta coffee
90% of Vietnam coffee beans exports belong to Robusta, making Vietnam the world’s 1st exporter of Robusta coffee. Dak Lak is considered the world’s Robusta garden. 200,000 hectares of coffee plantations in Dak Lak produce half a million tons of Robusta per year.
Arabica coffee
Despite the fact that Arabica coffee accounts for only 5% of export output, many countries continue to import Vietnamese Arabica coffee because Arabica coffee cultivation is particularly advantageous in some regions, as well as the 5 percent lower price of Vietnamese coffee beans exporters compared to the trading market price. Aside from that, Vietnamese Arabica coffee has its own unique properties that give it a distinct flavor.
Competitive advantages of Vietnam coffee beans exporters
Vietnam coffee beans exporters have certain competitive advantages compared to others, helping them to become reputable exporters in the international market.
- Selling coffee in bulk
Vietnam coffee beans exporters always supply coffee in large quantities. Coffee production is the strength of Vietnamese agriculture. Annual Vietnamese coffee production is ranked 2nd in the world, so importers can buy coffee in large quantities at any time of the year to meet their business needs.
- Stable output
Vietnam is a long-time coffee producer, has a lot of experience in coffee production and export, so Vietnamese coffee output, despite being affected by domestic and foreign bad impacts, always maintains its output quite stable for export.
- High-quality products
For agricultural crops, favorable natural conditions are an important factor determining plant quality. Favorable climate conditions, fertile soil, and abundant water are factors that support the quality of Vietnamese coffee beans, giving them a unique taste and aroma that is different from any other coffee in the world.
- Competitive price
The price of Vietnamese coffee is usually about 5% lower than the world coffee price. This is a huge advantage of Vietnam, helping Vietnamese coffee beans exporters retain many international customers.
- Government support
Understanding its strengths, the Vietnamese government always offers policies to support Vietnam coffee beans exporters and promote Vietnamese coffee exports. The Ministry of Agriculture and Rural Development has approved the product development project named “Vietnamese high-quality coffee” with an estimated budget of about 170 billion VND by 2030. Specifically, this project has set specific goals to develop a value chain in production, consumption and build large-scale high-quality coffee material areas with drying and storage systems, preservation, and processing plants that are suitable for production scale.
Factors affecting Vietnam coffee beans exports
Vietnam coffee beans exporters are influenced by the setting of Vietnam coffee beans exports. However, they always flexibly adapt to those changes in order to provide the best products to importers.
- Supply on Vietnam coffee beans exports
The reduced supply and increased domestic consumption caused Vietnam coffee beans exports to be strongly affected. Therefore, Vietnam coffee beans exporters still always try to source large quantities from different plantations while ensuring quality to meet consumers’ demand.
- Demand for Vietnam coffee beans exports
The competition for coffee beans among Vietnam coffee beans exporters is also more fierce when the demand for coffee at the end of the year increases again. The price of export Vietnam coffee beans also increased because of that.
- Weather conditions on Vietnam coffee beans exports
Every year, Vietnam suffers from many natural disasters such as floods and droughts. People are always on guard, however, the historic flood at the end of 2020 and the drought in May and June 2021 continuously has caused many coffee trees not to bear fruits or a large amount of damaged and crushed coffee. Therefore, sometimes Vietnam coffee beans exporters need to limit profits to keep their customers or maybe cancel or delay contacts with their customers.
- Other factors on Vietnam coffee beans exports
The Covid-19 epidemic has confounded the lives of farmers, the growing and export of coffee have also been affected partly by limitations at seaports and customs clearance procedures along with logistics costs that are 3-7 times higher than normal.
Finding reputable Vietnam coffee beans exporters
- Assistance through searching tools
Google or is a free tool for searching information with a total of 6.69 billion searches daily. Importers can find reputable Vietnam coffee beans exporters on the first page of Google search results. Yellowpages is also a website that has a trustworthy source for coffee importers.
Furthermore, it is very useful to engage in online forums or groups on Facebook or LinkedIn in order to search or ask for every topic you feel inquisitive about.
- Brokers
Now it is accessible to hire intermediary brokers who know about Vietnam coffee beans exporters. Importers can require them to do market research on coffee beans suppliers and give a list of coffee beans exporters or even product samples from factories to choose easily. But importers have to spend a lot of money on this service.
- E-commerce platform
The E-commerce platform is software where Vietnam coffee beans exporters launch and manage their online stores, so it is a backbone of trading online. To be more specific, the platform provides features that allow enterprises to build their branded online storefronts to locate and purchase their products and services.
The most outstanding platform is Alibaba with over 100 years of experience and 1 billion consumers across the world until 2021 with a mission to connect worldwide businesses. Thus, there is a wide range of Vietnam coffee beans exporters updating their products here.
- Trade fair
Trade fair is a traditional method for importers to have direct interaction with Vietnam coffee beans exporters within a day. Importers can experience the samples first-hand at the trade fair.
Signs of reliable Vietnam coffee beans exporters
Vietnam coffee beans exporters need to have the following markings to prove their credibility.
- 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 of scam Vietnam coffee beans exporters
In the digital age, not all Vietnam coffee beans exporters with the above characteristics are reputable. With the sophisticated tricks of the scam Vietnam coffee beans exporters, new importers easily lost money. New importers can refer to the following signs to evaluate Vietnam coffee beans exporters.
- 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.
Working with Vietnam coffee beans exporters
Working with large Vietnam coffee beans exporters is a big step in the work of the coffee trading business. It is because coffee is a truly safe investment owing to its long-term high economic value.
Price negotiation
- 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.
Samples testing
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 under quality goods.
Contract
Contracts are an important document when working with wholesale coffee beans suppliers. The contract should ensure that the agreement is in the best interest of both parties and follows the common law and must be checked carefully before signing.
Payment
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.
Receive goods and feedback
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.
TOP famous Vietnam coffee beans exporters
Below are Top 3 Vietnam coffee beans exporters that many importers believe to buy coffee in bulk.
Trung Nguyen Legend
Trung Nguyen Coffee Joint Stock Company, founded in 2007, is one of the most favorite Vietnamese coffee brands. The main products of the company include Trung Nguyen Soluble Coffee, Trung Nguyen Blended coffee, Trung Nguyen roasted coffee beans, Legend coffee, Weasel coffee, Trung Nguyen coffee shop.
The factory system includes Saigon Coffee Factory (Binh Duong), Trung Nguyen Soluble Coffee Factory (Binh Duong), Trung Nguyen Coffee Factory, Bac Giang Factory. The Vietnamese coffee products from the company are exported to over 60 countries globally, typically: USA, Canada, Russia, England, Germany, Japan, China, ASEAN, etc.
Contact information:
Whatsapp: +84 855555837
K-Agriculture Factory
K-Agriculture has been one of the leading exporters of rice, coffee, cashew nuts, and spices in Vietnam.
K – Agriculture is also a leading company trading agricultural products powered by Vietnam’s Ministry of Industry and Trade with the goal of bringing Vietnamese agricultural goods to the international market.
The company has supplied Vietnam robusta green coffee beans to major markets: EU, Japan, Africa… K-Agriculture always ensures sufficient supply and wholesale coffee products such as robusta, arabica coffee, coffee powder, green coffee. With a great affection towards Vietnamese coffee, the products will exceed customers’ expectations.
Contact information:
Email: info@k-agriculture.com
Website: https://k-agriculture.com/
Whatsapp: +84 855555837
Son Duong Coffee Co., Ltd
Son Duong Coffee Co., Ltd is a producer and supplier of Vietnamese coffee materials. Besides, the company also processes finished packaging of coffee beans and instant coffee 3in1 with HACCP standards. The company brings the quality of coffee from the excellent raw material areas such as Nam Ban, Buon Ho, Dak-Nia, Tram Hanh – Da Lat, and LangBiang plateau.
Contact information:
Whatsapp: +84 855555837