A group of Brazilian coffee producers and Deputy Chairman of the Brazilian Soluble Coffee Industry Association (ABICS) in early 2007 will visit coffee plantations and processing plants in the central highlands of Vietnam, and then consider importing coffee from the country, leaders of the Vietnam Coffee and Cocoa Association (Vicofa) said.
Vicofa said the Brazilian deputy chairman revealed this intent in the latest letter, noting that the Government of Brazil the world’s biggest coffee producer decided to apply a new policy allowing ABICS to import raw coffee from other countries for re-export.
Experts have forecast a shortage of coffee in the coming time after reviewing Brazil’s current coffee yield. ABICS finds cooperating with Vicofa a solution for the possible shortage.
Brazil’s total coffee output may decrease by 22-25 per cent, to 34.2-35.8 million bags, in 2006-07 crop.
Meanwhile, Vietnam’s coffee nut output is expected to increase by 30 per cent at least, to 15-18.6 million bags.
Coffee price is rising in the world market. In the London market, robusta coffee is offered at US$1,453 per ton (delivery in December), up 2 per cent from the end of September, and 36 per cent over the same period of 2005.
The Arabica price in New York has also been at high levels, US$2,773 per ton, the highest peak over many years.
The export price of Vietnam’s coffee is US$1,400-1,410 per ton FOB HCM City. Although the central highlands, the Vietnam’s coffee hub, have started harvesting, stocks remain low because coffee is all exported just as it is harvested.
(Labor Dec 22 p4, VietnamNet Dec 22)
Vietnamese
