Vietnam Coffee Suppliers: An Overview

As the world’s second-largest coffee producer, Vietnam is a powerhouse in the global coffee industry. This Southeast Asian country is home to a multitude of Vietnam coffee suppliers, each offering a unique range of coffee products that cater to diverse tastes and preferences.

From the robust and full-bodied Robusta to the delicate and aromatic Arabica, these Vietnam coffee wholesalers provide a wide array of coffee beans sourced from various regions across the country. Each region, from the Central Highlands to the Northern provinces, is known for its unique flavor profiles and coffee bean varieties.

These Vietnam coffee exporters are renowned for their commitment to quality and sustainability. They source their beans directly from local farmers, ensuring that every bean is grown under optimal conditions and harvested with care. This dedication to quality is evident in the rich, bold flavors of their coffee products.

Products of Vietnam Coffee Suppliers

Vietnam coffee suppliers are known for their diverse range of coffee products. The two main types of coffee that these suppliers often supply in the world coffee trading market are Robusta and Arabica.

• Robusta Coffee: With favorable natural conditions, Robusta coffee is a major product of Vietnam coffee wholesalers. This type of coffee, which has a high caffeine content, is often used to make instant coffee. It accounts for more than 90% of Vietnam’s green coffee output. In the marketing years (MY) 2018/19, 2019/20, and 2020/21, the output of Robusta coffee was 1760, 1812, and 1680 thousand tons respectively.
• Arabica Coffee: Despite accounting for only about 5% of Vietnam’s green coffee output, Arabica coffee is highly valued by Vietnam coffee exporters. This is due to its harsh growing conditions, high quality, delicious taste, and wide application. The output of Arabica coffee in MY 2018/19, 2019/20, and 2020/21 was 97.7, 100.6, and 93.3 thousand tons respectively.

In addition to these two types of coffee, Vietnam coffee export companies also bring to the world processed coffee products such as roasted coffee and instant coffee. Previously, Vietnam only focused on exporting raw coffee. However, in recent years, with the appearance of a series of coffee processing factories with modern high technology and European investment capital, the proportion of processed coffee in Vietnam is increasing. This is a positive step towards entering the production-processing process in the coffee value chain of Vietnam.

The Vietnamese coffee export price in MY 2020/21 reached $1,971/ton, 12.5% and 14.3% higher than the same period in MY 2019/21 and in MY 2018/19 respectively. This increase is influenced by the world coffee price rise when the whole world continuously experienced extreme events such as frost in July 2021 in Brazil, floods in September-October 2020 in Vietnam, and the “dead sky” of the Covid-19 epidemic worldwide.

Areas with Many Vietnam Coffee Suppliers

Vietnam coffee suppliers are typically concentrated near the primary coffee-growing regions of the country, which include the Northwest, the Central Highlands, and Quang Tri.

• The Northwest: The Land of Arabica Coffee: The Northwest is often referred to as the “land” of Arabica coffee. The two Northwestern provinces, Son La and Dien Bien, are the largest Arabica coffee producers in the country. This region is home to numerous Vietnam coffee wholesalers who specialize in Arabica coffee.
• The Central Highlands: The Robusta Coffee Hub: The Central Highlands region focuses more on Robusta production than Arabica. In particular, DakLak, a province in the Central Highlands, produces 500,000 tons of Robusta per year. DakLak Robusta coffee is imported by more than 80 countries worldwide, contributing to Vietnam’s position as a leading Robusta coffee exporter. This region is a key area for Vietnam coffee exporters.
• Quang Tri: The Emerging Coffee Region: Quang Tri, while a long-standing production area, is not yet widely known. In recent years, Vietnam has begun to pay more attention to Quang Tri Arabica specialty coffee because of its characteristic salty taste. This region is seeing an increase in Vietnam coffee export companies.

The reason these regions have become leading coffee producers, as well as the concentration of many Vietnam coffee suppliers, is due to the favorable climate and terrain conditions for coffee development. The basalt red soil and the Mekong River system provide an abundant water supply, and the long-standing farming experience in these regions ensures high-quality coffee production.

Target Market of Vietnam Coffee Suppliers

Vietnam coffee suppliers have a broad reach, exporting Vietnamese coffee to more than 80 countries around the world. The main import markets for Vietnamese coffee include Germany, Indonesia, Italy, Japan, Spain, Russia, and the United States.

• Asian Markets: Asian countries are markets that have the most advantage in price due to their close geographical distance and wide choice of means of transport. This proximity allows Vietnam coffee wholesalers to offer competitive prices and flexible shipping options, making Vietnamese coffee an attractive choice for these markets.
• European Markets: European countries often choose to import coffee from Vietnam by sea to optimize import costs. Additionally, trade agreements like the EU-Vietnam Free Trade Agreement (EVFTA) have facilitated the import of Vietnamese coffee into Europe. This has supported Germany in becoming the largest importer of Vietnamese coffee in the past five years.
• The United States: The United States is another significant market for Vietnam coffee exporters. The demand for both Robusta and Arabica coffee in the US has seen a steady increase, making it a lucrative market for Vietnam coffee export companies.

The target market of Vietnam coffee suppliers is vast and diverse, spanning across continents. This global reach is a testament to the quality and appeal of Vietnamese coffee.

The Reasons for Choosing Vietnam Coffee Suppliers

The coffee market has seen strong development and competition due to the shift from a tea-drinking to a coffee-drinking culture. This has posed challenges for importers in choosing a reputable long-term source to maintain and develop their business. Here are the reasons why international importers should choose Vietnam coffee suppliers.

• Production Advantage: The biggest advantage of Vietnamese coffee is the favorable natural conditions that lead to high productivity, large output, and competitive prices. The tropical humid monsoon climate, temperatures ranging from 15-26 degrees Celsius, altitude from 400-1500 meters above sea level, abundant rainfall and sunshine, and a highly specialized farming system are determinants of coffee productivity in Vietnam. Productivity in Vietnamese coffee plantations can reach 3.5 tons per hectare, while Brazil, another major coffee producer, only reaches 1.8 tons per hectare.
• Price Advantage: Vietnam coffee wholesalers offer a price advantage. The FOB price of Vietnamese coffee is usually 5% lower than the world price, even when domestic costs are included. This makes Vietnamese coffee a cost-effective choice for importers.

• Tariff Advantage: One of the obvious advantages when importing Vietnamese coffee is the tariff benefits from the EU-Vietnam Free Trade Agreement (EVFTA). The EVFTA has implemented a policy of tax reduction for all coffee products, including green coffee, roasted coffee, and processed coffee, down to 0%. This is a great advantage for buyers when importing coffee from Vietnam coffee exporters and Vietnam coffee export companies.

Choosing Vietnam coffee suppliers offers numerous advantages, from production and price to tariff benefits. This makes Vietnam a top choice for importers looking for high-quality coffee at competitive prices.

Factors Affecting the Supply Chain of Vietnam Coffee Suppliers

The supply chain of Vietnam coffee suppliers is influenced by various factors, including supply, demand, and logistics.

• Influence of Supply: The supply of Vietnamese coffee has slightly decreased in the last three years due to the impact of epidemics and natural disasters. However, this decrease is not significant, and Vietnam continues to maintain its position as the second-largest coffee exporter in the world. The Vietnam coffee export output in the marketing years (MY) 2018/19, 2019/20, and 2020/21 was 1.17 million tons, 1.16 million tons, and 1.07 million tons, respectively.
• Influence of Demand: The demand for coffee skyrockets during the year-end festive season, especially after the worldwide Covid-19 vaccination campaign. As people gradually return to daily life, the consumption of coffee is not only at home but also at cafes and workplaces. It’s common for everyone to drink at least one cup of coffee every morning.

• The Influence of Logistics: The prolonged Covid-19 epidemic at the end of the year caused logistics activities at seaports to be delayed, leading to a significant increase in transportation costs, about seven times higher than before. This situation has caused Vietnam coffee wholesalers, Vietnam coffee exporters, and buyers to suffer a lot from customs warehousing. They hope that this situation will improve in the coming year.

The supply chain of Vietnam coffee suppliers is influenced by various factors, and understanding these factors can help in making informed decisions when dealing with these suppliers.

Finding Reputable Vietnam Coffee Suppliers

In the current global market, Vietnam coffee suppliers can be found everywhere, whether in Vietnam or abroad. Buyers looking to source high-quality Vietnamese coffee can find and engage with reputable suppliers through various channels.

• Intermediaries: Intermediaries often have headquarters or branches in Vietnam and other countries. They frequently travel between Vietnam and other countries to work with partners around the world. As a result, they have established many relationships with reputable Vietnam coffee wholesalers and Vietnam coffee exporters. Leveraging these intermediaries can be an effective way to connect with trusted suppliers.
• Agricultural Fairs: Agricultural fairs are often the first choice of long-standing and reputable Vietnam coffee suppliers. These suppliers are confident in showcasing the quality products they offer as well as their financial stability. Attending these fairs can provide buyers with an opportunity to meet suppliers face-to-face and evaluate their products firsthand.
• Online Search: Searching online can be extremely effective if you know how to use search tools like Google and wholesale e-commerce platforms. These free or low-cost tools can be your companion in the process of learning about any Vietnam coffee export companies. By conducting thorough online research, buyers can find a wealth of information about potential suppliers, including their product range, pricing, and reputation.

Finding reputable Vietnam coffee suppliers involves exploring various channels and conducting thorough research. By taking the time to understand the market and evaluate potential suppliers, buyers can ensure they source the best Vietnamese coffee.

How to Work with Vietnam Coffee Suppliers

Working with Vietnam coffee suppliers can seem daunting, especially with the myriad of considerations and preparations involved. Here are five basic steps to guide you through the process once you’ve identified one or several reputable suppliers.

• Step 1: Send a Letter of Intent (LOI), The first step involves sending a Letter of Intent (LOI) through the contact channels of the targeted Vietnam coffee wholesalers or Vietnam coffee exporters, such as Gmail, Messenger, or WhatsApp. A standard LOI usually includes basic information about the buyer’s company, the expected products, their specifications, the shipping address, and the desired price, if any.
• Step 2: Receive a Formal Corporate Order (FCO), After the Vietnam coffee suppliers receive the buyer’s LOI, they will check their stock and respond to the buyer with a Formal Corporate Order (FCO). The FCO will clarify whether the supplier can provide the item the buyer wants and whether it meets the standards set by the buyer. If so, the two parties will negotiate to finalize the Corporate Order.
• Step 3: Sample the Product, Based on the FCO, Vietnam coffee export companies will send buyers samples to experience the product. If the buyer is satisfied with the product, the two parties will negotiate in-depth and sign a commercial contract. This contract serves as legal proof of the cooperation between the two parties.
• Step 4: Fulfill the Contract, After signing the contract, the two parties will jointly perform the obligations and responsibilities of the contract and track the order to avoid errors. A coffee export order usually lasts 1-2 months, depending on the lead time, delivery time, and means of transport agreed upon by both parties.
• Step 5: Check the Delivered Goods, After receiving the goods, the buyers need to check the goods carefully in terms of both quantity and quality. If there are any problems with the order, it is necessary to immediately notify the Vietnam coffee suppliers to come up with the best solution together. If the goods and services of the suppliers are of good quality, then the two parties can proceed to sign a long-term contract.

Working with Vietnam coffee suppliers involves a series of steps that require careful consideration and communication. By following these steps, buyers can ensure a successful and beneficial partnership with their chosen suppliers.

Top Vietnam Coffee Suppliers Appreciated by World Coffee Experts

Here are the top three Vietnam coffee suppliers that coffee importers should not miss. These suppliers are recognized for their exceptional services and high-quality products.

• Vinacafe is a brand supplying instant coffee and is a part of the Vinacafé Bien Hoa Joint Stock Company. This Vietnam coffee supplier offers all types of instant coffee, from affordable to premium, and focuses mainly on the Eastern European market. With its wide range of products and strategic market focus, Vinacafe has established itself as a leading player in the coffee industry.
• K-Agriculture Factory: If you’re looking to buy high-quality green coffee beans, then K-Agriculture Factory is the supplier for you. Established in 1996, this Vietnam coffee wholesaler has 25 years of experience exporting green coffee beans worldwide. K-Agriculture offers a wide range of beans, from Commercial Robusta to Specialty Arabica. They are also a pioneer in optimizing business through online search channels, supporting buyers during the Covid-19 pandemic when direct travel to Vietnam to buy goods was not possible.
• WS Cafe is a bulk Vietnam coffee supplier. Although established not long ago, WS Cafe is dominated by professional and quality customer care services, helping buyers enthusiastically through every period. Their commitment to customer service and quality products makes them a preferred choice among buyers.

These top Vietnam coffee suppliers are appreciated by world coffee experts for their quality products and exceptional services. Choosing to work with these suppliers can ensure a steady supply of high-quality Vietnamese coffee.

Freshdi.com's Guide to Coffee Exportation

Freshdi.com's guide provides you with all the detailed information about the Vietnamese coffee industry, covering various topics from the import market and popular coffee varieties to price trends, finding exporters, and necessary considerations when exporting coffee from Vietnam. This guide helps you understand the Vietnamese coffee market, helping you succeed in trading with coffee suppliers in Vietnam.

Chapter 1: Comprehensive Overview of Vietnam’s Coffee Market Embark on a journey through Vietnam’s coffee export market, understanding its position, target markets, coffee types, cultivation areas, and more.

Chapter 2: Certified Vietnam Coffee Exporters List accredited by the Ministry of Industry and Trade - October 2023 Explore the list of coffee exporting enterprises that met the export conditions in 2022, as announced by the Ministry of Industry and Trade.

Chapter 3: Vietnam’s Top 10 Coffee Exporters (9 months 2022) Discover the top 10 coffee exporters in Vietnam, updated as of September 2022, and learn about their contributions to the global coffee industry.

Chapter 4: Top Vietnamese Coffee Suppliers: A Comprehensive Guide 2023 Uncover the leading Vietnamese coffee suppliers in our comprehensive guide, from sourcing to understanding the supply chain.

Chapter 5: How to Import Coffee from Vietnam: A Step-by-Step Process Learn how to import coffee from Vietnam, covering market conditions, coffee types, and the import process.

Chapter 6: How to Find Coffee Bean Suppliers in Vietnam Follow our step-by-step guide on how to find and connect with reliable coffee exporters in Vietnam for successful trade.

Chapter 7: Complete Guide to Customs Procedures for Importing and Exporting Vietnamese Coffee Navigate through the customs procedures for importing and exporting Vietnamese coffee, understanding the conditions, necessary documents, and more.

Chapter 8: Comprehensive Guide to Procedures and Taxes for Coffee Export from Vietnam Explore Vietnam’s coffee export procedures, taxes, and compare with other top coffee-exporting countries.

Chapter 9: Vietnam Rice Export: Top Types Of Coffee Exported Abroad Explore the various coffee bean types exported from Vietnam and learn how to choose the right one for your needs.

Chapter 10: Forecast for Vietnam’s 2024 Coffee Exports Get a glimpse of the future with a forecast for Vietnam’s coffee exports in 2024, including coffee prices and the potential impact on the global coffee market.

This guide provides a comprehensive understanding of the Vietnamese coffee market, from suppliers to exporters, and from import processes to future forecasts. It serves as a valuable resource for anyone interested in the Vietnamese coffee industry.

In conclusion, Vietnam coffee suppliers, wholesalers, exporters, and export companies play a pivotal role in the global coffee industry. With a diverse range of high-quality products, competitive prices, and a commitment to sustainability, they have established Vietnam as a leading coffee exporter. Whether you’re an importer seeking a reliable supplier, or a coffee enthusiast exploring global flavors, Vietnamese coffee offers an unparalleled experience. Remember, the journey of finding the right supplier is as enriching as the aroma of a freshly brewed Vietnamese coffee.

Source:

https://k-agriculture.com/vietnam-coffee-suppliers/#Top_Vietnam_coffee_suppliers_are_appreciated_by_world_coffee_experts

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