Vietnam is forecast to earn $1.6 billion from exporting 1.15 million tons of coffee in 2009, down 18% in value but a rise of 15% in volume from a year ago, according to the Vietnam Coffee and Cocoa Association (Vicofa).
Luong Van Tu chairman of Vicofa attributed the reduction to the falling coffee prices on global market.
The untied cooperation among domestic coffee exporters which creates chances for foreign speculators to dump the market is also a major reason for their revenue decrease, Tu added.
Coffee exports in September to December could reach 350,000 tons, after 800,000 tons were shipped in the first eight months to earn $1.2 billion, Tu said.
The figures suggested the average coffee price in the four remaining months this year could fall to $1,143 a ton, FOB, from $1,500 a ton in the first eight months.
“Coffee prices are now standing at a three-year low for a number of reasons, creating many difficulties for exporters,” Tu said.
Vietnam, the world’s largest Robusta coffee exporter, shipped abroad 16.67 million 60-kg bags of coffee worth $2.02 billion last year.
More than half the coffee Vietnam export goes to the European Union, 25% to the U.S. market and 7% to Japan.
Earlier, the U.S. Department of Agriculture predicted that Vietnam’s coffee exports may fall by 4.3% to 18 million bags following an output drop of 6.7% to 18.35 million bags due to adverse weather in the next 2009-2010 season.
Vietnamese coffee crop year runs from October to September. (Industry & Trade)
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