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    • Vietnam’s Coffee Market
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Vietnam's Garment Market

TEXTILE AND GARMENT EXPORT MODES IN VIETNAM

by admin 31 August, 2020
written by admin

Vietnam is arguably the second-best country to source products behind China, especially with textile and garment products. With the advantages of low labor costs, geographical location and favorable trade agreements, Vietnamese textiles and garments are increasingly improved in quality and quantity, which can obviously meet large orders with strict requirements. And among all, the mode of export is one of the most essential factors that foreign exporters shall keep in mind before making decision on sourcing textile and garments from Vietnam. Outlined below are most popular export modes that are being used in Vietnam.

CMT export mode (Cut – Make – Trim)

In the textile and garment industry, CMT is in short for: Cut, Make, Trim. In particular, this term means:

• Cut: Cutting fabric from rolls of fabric according to pre-designed patterns from customers.

• Make: Sewing, stitching, and patching fabric together into a finished product.

• Trim: Cutting the thread and cleaning the thread from clothes after stitching. Performing inspection, finishing products, packing finished products as required.

CMT is the simplest export method. When cooperating in this mode, buyers, buying agents and buying organizations provide the processing enterprise all of the inputs to produce products including designs, materials, transportation,… Manufacturers will only carry out product cutting, sewing and finishing. Enterprises who have limited production capability and design ability should take advantage of this export mode.

Summary of the operation process of orders

FOB export method (Free On Board)

FOB is a higher level export method than CMT. The term FOB in the textile industry is understood to be a form of buy-off style. Under the FOB method, enterprises shall actively participate in the production process, from purchasing raw materials to producing final products. Unlike CMT, FOB producers need to buy the necessary inputs instead of being provided by their buyers. The FOB operations vary considerably based on actual contractual relationships between the supplier and the foreign buyer.

Summary of the operation process of orders

ODM export method (Original Design Manufacturing)

According to the ODM method, enterprises participate not only in the input sourcing and tailoring process but also in the design procedure. Firms will create designs and resell the products to buyers. As a result, an ODM manufacturer is not allowed to manufacture the same design without authorization from the buyer.

Summary of the operation process of orders

OBM export method (Original Brand Manufacturing)

Accordingly, businesses are responsible for designing their own products, importing raw materials, cutting sewing, and shipping. For OBM orders, businesses enjoy higher profit margins than all other export forms.

Summary of the operation process of orders

Currently, exporting textiles and garments from Vietnam is mainly processed under CMT method. The proportion of exports in this form accounts for about 70% of the industry’s export turnover. The EU is one of the largest markets of Vietnam. Annually, the EU imports over 80 billion USD of clothing. Asian countries such as China, Singapore, Taiwan, Korea… are also close partners of Vietnam. With its abundant labor force and lower capital requirements, Vietnam is considered to have an huge advantage in sewing in the supply chain. In Vietnam, FOB is also the method targeted by exporters. The price of the product  include all costs involved in the manufacturing process from importing, checking raw materials, cutting fabric, sewing finished products, packing to transporting to the port. This method makes it easier for enterprises to do business with limited ability, from input material sourcing, manufacture planning to products selling.

Viego Global – Your trusted sourcing partner in Vietnam

At Viego Global, we know it’s more than just finding the right Vietnam supplier since every step of the supply chain requires proper implementation in order to ensure Vietnam quality commodities are well delivered to clients. We always try our best to determine the best suppliers based on customers’ needs. During research on potential suppliers, discussion and factory visits, we inspect every single thing from business license, capacity, to past orders as well as the equipment and the workers’ competence. This is why Viego Global makes sure that you can reach the best Vietnam suppliers at the most competitive price. Please contact us HERE for further support!

31 August, 2020 0 comment
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Vietnam's Coffee Market

EXPLORING THE CONNECTION BETWEEN CANEPHORA & ROBUSTA

by admin 31 August, 2020
written by admin

For most people in the coffee industry, robusta is viewed as an inferior coffee. The general belief is that robusta beans produce a worse cup of coffee with a less desirable flavour profile. It is cheaper to grow for farmers, more productive, naturally higher in caffeine, and resistant to drought and disease. As a result, robusta is viewed as a “filler” coffee, used in blends and instant coffee.

Although this isn’t totally incorrect, there are a lot of misconceptions about robusta. One of the biggest is that robusta technically isn’t a different species of coffee at all, but instead one of the most common commercial names for the Coffea canephora plant.

This article explores what canephora is, what the differences are between conilon and robusta coffee, and how canephora could evolve in the future.

Source: Perfectdailygrind.com

WHAT IS CANEPHORA COFFEE?

According to the International Coffee Organization (ICO), canephora accounts for approximately 35% of the world’s total coffee production. It was only cultivated outside of Africa in the 19th century, almost 300 years after arabica plants left the continent. As a result, little is known about its history, botanical background, varieties, and cultivars in comparison to arabica.

Vietnam is the world’s largest canephora producer, followed by Brazil. Mexico is the only other Latin American country that produces robusta at any kind of significant rate. Other notable canephora producing countries are the Ivory Coast, Indonesia, India, and Uganda.

In comparison with arabica plants, canephora is generally hardier, more productive as a crop, and its cherries achieve more uniform ripening. It also has a naturally higher caffeine content. While they thrive in high temperatures or tropical climates at a lower altitude, canephora plants can be farmed at altitudes as low as 100 m.a.s.l.

Generally, the world’s biggest canephora/robusta buyers are major roasters and manufacturers. They use it in a variety of caffeinated products, including capsules, blends, and energy drinks. Demand for robusta is also on the rise. The ICO reports that in the 12 months leading up to May 2020, arabica exports decreased, while robusta exports increased.

Source: Perfectdailygrind.com

WHAT IS THE DIFFERENCE BETWEEN ROBUSTA AND CONILON?

Coffea canephora is the scientific name of the coffee plant that produces beans that are commercially referred to as robusta in general. However, much of the canephora coffee produced in Brazil, is instead referred to as conilon. While the plants are of the same species, they are considered to be of different genetic “groups”.

Christophe Montagnon, CEO of RD2 Vision, tells me that conilon plants come from a genetic group called “SG1”, while the broader genetic group of robusta plants is referred to as “SG2”.

“The Coffea canephora species is made of different genetic groups,” Christophe explains. “One of two Congolese groups encompasses coffees from Central Africa, mostly from the Democratic Republic of Congo and Uganda.” The first group is broadly recognised as robusta, Christophe tells me.

Source: Perfectdailygrind.com

“The other one of these two Congolese groups is referred to either as ‘SG1’ or as ‘conilon’,” he says.

Conilon plants, farmed in Brazil today, were originally found along the river Kouilou in the Democratic Republic of Congo. When written down, the “Kouilou” was misspelt, and became “Konilon”, later becoming “conilon”.

As a result, conilon plants do have a genetic origin that differs from “typical” robusta plants, but are still the same species and possess many of the same traits. There are however slight differences between the conilon “line” and others.

For example, conilon plants do not grow as tall, and have a larger canopy than typical robustas. They also mature more early, have smaller leaves, and are often more resistant to drought.

Often, plants from both genetic groups are farmed together. Christophe explains that conilon plants mature later in the season. So, for example, in Brazil, some producers instead plant both conilon and robusta plants which will mature at different times. This allows them to effectively plant for a number of consecutive harvests.

Source: Perfectdailygrind.com

CANEPHORA HYBRIDS

Dr Aymbiré Francisco Almeida is a scientist who used to work with two coffee research institutes in Brazil: the Brazilian National Coffee Research Consortium Center (Embrapa), and Incaper. He has studied canephora for three decades.

He tells me that one of the challenges with canephora hybrids and cultivars is that “the canephora species has open fertilisation,” meaning that “there’s no pure line as is the case with arabica”. This makes it difficult to trace the genetic history of a certain hybrid variety.

However, some arabica varieties contain genes from the canephora species. This is the case with Icatu, Sarchimos and Catimor, among others.

AN INCREASE IN QUALITY?

Canephora coffees are typically used to add strength and caffeine to arabica coffee blends and beverages. Aymbiré says that “mixing arabica with high-quality canephora brings desirable advantages: the body and the crema capacity are increased, both typical characteristics of a canephora cup”.

He also notes that consumer choices today aren’t driven by the traits of certain species or varieties. Instead, people choose coffees according to taste and personal preferences.

“Unfortunately… research has not been carried out on [canephora’s] individual sensory attributes”, say Ted Lingle and Sunalini Menon, authors of The Craft and Science of Coffee.

Source: Perfectdailygrind.com

Quality robusta is becoming more prevalent in the coffee sector. Requirements for all coffees have increased, regardless of species, and quality standards are as high as they have ever been. “In addition to genetics, much has evolved in the past 30 years, such as crop management, harvesting, and processing,” Aymbiré says. He tells me that, these days, even the least careful canephora producer “washes, peels, and pulps their coffee” because farming without minimum quality standards is not practical.

However, this increased focus on quality comes with its own challenges. For example, higher quality canephoras usually require manual harvesting. Mechanised harvesting can damage the cherries, and many canephora plants have multiple stems, which means that using machines isn’t always the best option.

THE GROWTH OF SPECIALTY CANEPHORA COFFEE

Some producers find that when robustas are farmed and processed with the same care taken with specialty arabica, they can produce an intense and flavoursome cup. These coffees can have high acidity, medium sweetness, and low bitterness. The potential cup profile of a carefully produced and roasted canephora is a full-bodied coffee with a long aftertaste, low-medium acidity and bitterness. Some have even described the coffee as having notes of spices, flowers, and fruits including melon, walnut, nutmeg, and cacao.

Canephora can be processed, dried, and fermented in the same way as arabica, but the timings of each step will be different as the fruit has different characteristics. It also needs to be roasted differently, as canephora cherries have a much lower sugar content, fewer acids, and a rigid, “meatier” structure.

Source: Perfectdailygrind.com

In 2010, the Coffee Quality Institute launched the official Q Robusta program, which focuses on quality robusta grading. It is adapted from the Specialty Coffee Association’s methodology for arabica. Brazil’s Specialty Coffee Association has also accepted canephora producers as members since 2018, and hosts an annual Canephora Cup of Excellence award.

Specialty robustas produced in the Amazon area of Rondônia, Brazil, will be the first in the world to receive a geographical indication (GI). This means that the coffee has been officially recognised as possessing certain qualities that are unique to its origin. Alongside Brazil, high-quality canephoras are also produced in other countries, including Ghana, Ecuador, the Philippines, India, and Thailand.

THE FUTURE OF CANEPHORA

World Coffee Research and the ICO have been developing research programs and studies to determine the quality potential of canephora. These initiatives aim to “change the underlying assumption that robusta coffees are necessarily lower quality”. Climate change and its impact on arabica plants mean the future could be brighter for robusta, which is a naturally stronger plant.

Recent trials and researches conducted by Embrapa also suggest that specific canephora cultivars could thrive at different altitudes and climates. This would expand the areas in which it could be grown. Canephora genetic material can be adapted to be viable at altitudes ranging from 500 to around 1,500 m.a.s.l.; colder climates at certain heights have also been shown to improve fruit quality, creating sweeter and bigger cherries. Similar programs conducted in India have also had successful results.

There could also be an increase in demand for canephora from outside the coffee industry. The natural high caffeine content of canephora varieties makes them suitable for use in cosmetics, diet supplements, isotonics, and energy drinks.

The canephora and arabica plants produce incredibly different coffees with varied cup attributes and flavour profiles. Many people in the specialty robusta world believe this is the biggest barrier to its success.

There are a wide range of researchers and producers investigating the quality potential of the different canephora subspecies. Some are already experimenting with them to improve their arabica crops’ yield or resistance to disease and pests.

However, if the species is to be accepted in the specialty coffee arena, buyers, traders, and roasters will also need to work alongside the researchers and producers investigating the potential of quality canephora.

Source: Perfectdailygrind.com 

Viego Global – Your trusted sourcing partner in Vietnam

Finding these kinds of article interesting? Check out more on how to import coffee beans from Vietnam with our Sourcing Blog on “Vietnam’s Coffee Market” series. 

Are you sourcing coffee green beans from Vietnam? Do you need a supply of good quality and at good price? If you want to connect with any qualified coffee manufacturers in Vietnam, please comment below so we could help you out easily. Being presence at the factory location, Viego Global has the capability to professionally source, manufacture and execute order providing maximum benefit to our clients in terms of delivering a wide range of products at the best competitive pricing. Please contact us HERE for further support!

31 August, 2020 0 comment
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Vietnam's Coffee Market

HOW TO FIND WHOLESALE COFFEE BEAN SUPPLIERS IN VIETNAM?

by admin 26 August, 2020
written by admin

Products is the life-blood when it comes to doing business. You require to source goods to market at wholesale rates to your local clients. After going through the product analysis, finding the right suppliers may ask for sufficient time and effort. Particularly, when seeking for suppliers in Vietnam, keep the huge cultural and language gap between you and the Vietnamese suppliers in mind. Before diving into this guide, read our previous blog on the “Vietnam’s Coffee Market” series to know the best types of coffee beans to source in Vietnam. Outlined below are some solid tips to nail the method of finding wholesale coffee suppliers in Vietnam.

HOW TO FIND WHOLESALE COFFEE SUPPLIERS IN VIETNAM

1. Criteria for choosing the best wholesale coffee suppliers in Vietnam

When it comes to Vietnam wholesale coffee suppliers, there is a huge number of them in Vietnamese marketplaces. However, finding quality suppliers is a big deal. You may need to vet them as much as possible before you decide to work with them. A great way to begin this research is by asking them about their standards pertaining to product quality, logistics, certification, and client satisfaction. The web is preferably the best platform to look for. Here are some invaluable questions you should keep in mind.

Are you dealing with manufacturing or a trading company?

This can help you negotiate the best deal. The manufacturer and the supplier can be the same person if the goods belong to the same niche. For instance, a supplier supplying coffee products sells everything related to coffee. Alternatively, if multiple products of different niches are being sold by one supplier then the likelihood of that supplier being a trading company is obvious. Hence, consider asking them directly about their credentials or take a look at their catalog.

How long have they been in business and which countries have they exported their coffee to?

While choosing the coffee beans suppliers in Vietnam, you can quickly identify the best producers who are generally producing various countries. The longer they’ve been around, the higher the chance they’re running a reputable operation. This can provide you with an idea of the quality of the products. Make sure to always request the pre-production sample to assess the entire production quality before you make a deal with the suppliers.

What is the minimum grade of coffee beans and the minimum order quantity they accept?

When buying coffee beans from a Vietnamese wholesaler, you also need to ensure that they shall be able to continue to provide you with the best possible beans far into the future. Figuring out whether they can afford large quantities supply. The wider choice of different coffee materials they offer, the higher likelihood of that supplier securing their supply ability. Also, the grade of coffee beans can immediately reveal what type of supplier you’re working with.

Do they obtain any quality certifications for coffee beans?

Checking whether the coffee beans are certified with the essential certifications for coffee quality guarantee. In Vietnam, coffee suppliers providing good-quality coffee beans should conform to the following quality standards: ISO 9001: 2015, HACCP certification, and Good Manufacturing Practice GMP certification. Besides, in terms of coffee cultivation technology for sustainable development, the best quality coffee beans should obtain national and international certifications, such as 4C (Common Code for the Coffee Community); VietGAP (Vietnamese Good Agricultural Practices); UTZ (UTZ Certified); and RFA (Rainforest Alliance). For instance, in Middle East market, customers highly prefer goods certified with HALAL certification showing that the products are processed and produced according to the requirements of the Qur’an and the Shari’ah law of Muslims. Therefore, when importing coffee from Vietnam to such regions, remember check whether those certifications are available to the coffee.

All about the logistics process

It is of great importance to understand how they monitor their shipments and keep you in-the-know about where your coffee beans are in the shipping process. It would be wise to follow up with questions about shipping times, guarantees, or what happens if there are delays in shipping, lead time, payment method and deliver terms accepted. The more options they offer you, the more flexible their distribution systems are. The logistics process shows if they’re a well-run business and can ship their product to you consistently.

Criteria for choosing the best wholesale coffee suppliers in Vietnam2. What coffee products can be produced in Vietnam?

 Whole green/roasted beans from Vietnam

  • Robusta/Arabica coffee washed/unwashed grade 1 on screen No. 18 from Vietnam
  • Robusta/Arabica coffee washed/unwashed grade 1 on screen No. 16 from Vietnam
  • Robusta/Arabica coffee washed/unwashed grade 2 on screen No. 13+ from Vietnam
  • Specialty green/roasted coffee beans from Vietnam
  • Private-Label roasted coffees from Vietnam

Instant coffee from Vietnam

  • Spray dried instant coffee powder from Vietnam
  • Freeze dried instant coffee powder from Vietnam
  • Agglomerated Instant Coffee from Vietnam
  • 3in1 instant coffee mix from Vietnam
  • Weasel 3 in 1 instant coffee mix from Vietnam
  • Weight-loss instant coffee mix from Vietnam
  • Instant coffee can/bottle from Vietnam
  • Private-Label Instant Coffee from Vietnam

 Ground coffee from Vietnam

  • Drip coffee bag from Vietnam
  • Whole ground bean from Vietnam
  • Specialty ground coffee from Vietnam
  • Private-Label ground coffees from Vietnam

ground coffee and roasted coffee from Vietnam

3. Where to find Vietnam wholesale coffee suppliers

The following are reliable websites where you can find largest coffee manufacturers in Vietnam:

 Alibaba and Amazon 

Alibaba and Amazon are unquestionably the most popular global platform for finding Vietnam coffee bean suppliers. There are thousands of coffee producers on these marketplaces selling coffee products from raw beans to instant coffee powder. Be aware of the company verification on these platforms to make sure they are real enterprises with real coffee factories in Vietnam.

Yellow Pages VN

This platform serves the needs of searching and connecting business between Vietnamese enterprises and foreign enterprises (with the activities of exporting goods, importing goods or providing services for processing of goods according to the orders, etc.). You can find top coffee manufacturers and exporters here and reach out to them directly.  They have a dedicated “Coffee – Manufacturers And Exporters” category with over 400 suppliers.

International coffee trade fairs in Vietnam: 

In Vietnam, a lot of business is conducted the old-fashioned way. If you want to meet most large coffee suppliers in the country, you can visit trade shows. Some of the biggest trade shows in Vietnam is “Coffee Expo Vietnam”, a leading exhibition in Vietnam for the coffee & dessert industry and “The Cafe Show Vietnam”, an event that virtually many notable manufacturer attend. These trade fairs are only held once a year in Ho Chi Minh City, Vietnam. “The cafe show Vietnam 2020” will be canceled due to the coronavirus outbreak or postponed to a later date. The next “Coffee Expo Vietnam” will take place on 3 days from 16-18. December 2020 in Ho Chi Minh City.

Where to find Vietnam wholesale coffee suppliers

CHECK OUT OUR COMPLETE LIST OF MUST-KNOW COFFEE SUPPLIER IN VIETNAM

Viego Global – Your Trusted Sourcing Partner in Vietnam

The method of sourcing goods can be time-consuming if you do not carry it out properly. Furthermore, you might sometimes end up with high-priced and low-quality products that can take all your profit. Therefore, choosing a sourcing agent for sourcing products in Vietnam can additionally help you manage the maximum of these problems and provide you with peace of mind. Being presence at the factory location, Viego has the capability to professionally source, manufacture and execute order providing maximum benefit to our clients in terms of delivering a wide range of products at the best competitive pricing. Please contact us HERE for further support!

26 August, 2020 1 comment
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Vietnam's Coffee Market

BEST TYPES OF COFFEE BEANS TO BUY IN VIETNAM: ROBUSTA, ARABICA & MORE

by admin 25 August, 2020
written by admin

Vietnam is arguably a premier hotspot for coffee buyers who seek for a variety of coffee beans at a cheaper rate. To have an overview of the coffee industry in Vietnam, you can read our previous blog in the “Vietnam coffee market” series. Coming up next, this guide will help you find out the best types of coffee beans to buy in Vietnam. Read these tips to strike the right chord before making a decision.

BEST TYPES OF COFFEE BEANS TO SOURCE IN VIETNAM

1. Vietnam is the paradise for Robusta green coffee beans

Coffee beans to buy in Vietnam vary in their size, shape, color, and flavor depending on the region and conditions in which they were cultivated. The range of unique flavors and aromas between regional varietals is as expansive as the variety of wine available from different vineyards. Most regional varietals will fall into two main categories, Robusta or Arabica. Here in Vietnam, there are 3 types of coffee grown: Arabica, Robusta and Liberica.

Vietnam is the paradise for Robusta green coffee beans

Arabica:

Most of the world drinkers opt for arabica beans, which contain less caffeine and higher acidity. It is considered superior to Robusta because of its delicate flavor. This variety is grown at higher altitudes and can be more difficult and costly to grow. In Vietnam, Arabica are grown mostly in Son La (Northwest), Nghe An, Quang Tri (Central), Lam Dong (Central Highlands). These labor-intensive, low-yield plants produce a high-demand bean that sells for a higher price.

Robusta:

The majority of Vietnam’s coffee beans – around 97% – are the robusta variety, International Coffee Council data shows. Known for their bold, harsh, bitter flavor, and high caffeine content, robusta beans are typically used to make cheap, mass-market commercial products, including instant coffee and supermarket blends. Robusta can be grown at lower altitudes, in hotter climates, and with less moisture. Main Robusta coffee growing provinces locate in the Central Highlands, including Dak Lak, Lam Dong, Dak Nong, Gia Lai and Kon Tum. This area has many legends about coffee such as the Buon Ma Thuot brand. There are some geographic indications of the coffee regions (‘Buon Ma Thuot’, ‘Cau Dat – Da Lat’ and ‘Son La’) known for their quality, sweet aroma and strong flavor resulting from the soil characteristics. Since Robusta has fewer growing restrictions and has a generally less desirable flavor, it is usually sold for a lower price than Arabica beans.

Liberica:

Liberica is a low yield type of coffee compared to Arabica and Robusta. In Vietnam, it takes five years for a Liberica plant to begin to bear. The cherries’ large pulp makes processing complicated and costly, while the high sugar content (up to 30%) makes Liberica cherries a favourite target of ants and pests. Soon, Robusta and Arabica replaced Liberica as more sensible options.

Map of coffee-production area in Vietnam:

Click to enlarge map (.jpeg 1.4 MB, opens resizable window) >>

Vietnam is the paradise for Robusta green coffee beans-2

2. How Vietnam’s coffee beans are classified?

Based on processing method:

In Vietnam, there are three commonly used methods of coffee processing: dry processing, wet processing, honey processing. Accordingly, green coffee is divided into three main types:

  • Wet / Washed Processed Coffee
  • Natural / Unwashed Processed Coffee
  • Honey / Pulped Natural Coffee

How Vietnam's coffee beans are classified?

Based on grain size:

Sorting by grain size is becoming a common scale for the coffee industry. In Vietnam, the coffee beans are also classified with 3 main size: Screen no.18, screen no. 16, screen no. 13. In particular, the coffee beans after drying will be rayed through perforated metal sheets with diameters ranging from 8 to 20/64 inches. 18 sieves mean 18/64 inches, which translates to 7.1 mm units of measurement, likewise sieve 16 is 6.3mm. When you put a handful of coffee on the 18/64 inches sieve, the remaining beans on the sieve will be classified as 18 sieves, any beans that fall down and the remaining on the 16/64 sieve will be classified as 16 sieves. However, this classification is difficult to be 100% accurate. Therefore, in its classification system, SCA allows a 5% variance with sieve measurements.

Screen size

Inches

Industry Classification

Africa and India

20

20/64

Very large

Elephants

18

18/64

Large

AA

16

16/64

Large

AB

14

14/64

Medium

AC

13

13/64

Small

Green Coffee Beans Sizing Chart

These classifications have a considerable impact on price of Vietnam’s coffee beans. For more details, you should keep in mind these legitimate documents on Vietnam coffee bean grading standards.

SCA Standards: 

  • Vietnam’s Coffee Standards
  • Grading Coffee Beans
  • SCAA Coffee Beans Classification

Vietnam Standard System:

  • National standard TCVN 4193: 2012
  • Vietnam Standard TCVN 4807

3. Main categories of coffee products to buy:

Vietnam offer a wide range of good-quality products at a cheaper rate. These are main types of coffee products to buy in Vietnam that you should take into consideration:

1. Whole green/roasted beans

  • Robusta/Arabica coffee washed/unwashed grade 1 on screen No. 18
  • Robusta/Arabica coffee washed/unwashed grade 1 on screen No. 16
  • Robusta/Arabica coffee washed/unwashed grade 2 on screen No. 13

Main categories of coffee products to buy:2. Instant coffee 

  • Spray dried instant coffee powder
  • Freeze dried instant coffee powder
  • 3in1mix coffee
  • Instant coffee can/bottle

3. Ground coffee

  • Drip coffee bag
  • Whole ground bean

Coffee beans to buy in Vietnam on screen no. 16 and no.18 are the main raw material for making roasted coffee and ground coffee. Smaller coffee beans such as screen no.13 are often used as mixing materials to reduce prices.

4. A general look at Vietnam’s coffee exports data

In terms of exporting structure, Vietnam’s coffee industry still focuses on raw Robusta coffee, accounting for 94% of total exports. During the last decade, green beans accounted for more than 90% of Vietnam’s exported volume. However, exports of highly processed coffee have increased in recent years. In 2016, nearly 63,000 tonnes of roasted and soluble coffee products were exported, customs data of Vietnam exports shows.

Vietnam’s coffee is been exported to 90 countries all over the world, coming in second after Brazil only. Germany and the US are two Vietnam’s largest coffee consumption market in the first 11 months of 2019 with 12.9% of Vietnam coffee exports by value delivered to Germany and 8.7% sold to the US, customs data of Vietnam exports reveals. Other main export destinations are Italy, Japan, Russian Federation, Spain, Belgium. Especially with Middle East, a rising amount of Vietnam’s coffee beans exported to this region has been recorded recently. Robusta green beans coffee is the key product, bringing Vietnam second position in the world for coffee exports and No. 1 for robusta coffee exports.

Viego Global – Your trusted sourcing partner in Vietnam

In order to provide a deeper insight on Vietnam’s Coffee Market, we’ve created this series along with tips on how to select the best beans from Vietnam for your business. Jump to: 

  • A start-to-finish guide to coffee beans market in Vietnam
  • Best types of coffee beans to source in Vietnam
  • How to find wholesale coffee suppliers in Vietnam
  • Essential guide to checking the quality of Vietnam’s green coffee beans
  • 4 Most common mistakes when sourcing green coffee beans from Vietnam
  • Everything you need to know about Vietnam’s specialty coffee

Are you seeking for coffee beans to buy in Vietnam? Do you need a supply of good quality and at good price? If you want to connect with any qualified coffee manufacturers in Vietnam, please comment below so we could help you out easily. Being presence at the factory location, Viego Global has the capability to professionally source, manufacture and execute order providing maximum benefit to our clients in terms of delivering a wide range of products at the best competitive pricing. Please contact us HERE for further support!

25 August, 2020 0 comment
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Vietnam's Coffee Market

A START-TO-FINISH GUIDE TO VIETNAM COFFEE BEANS MARKET

by admin 21 August, 2020
written by admin

Ranked second in the world in terms of export volume, Vietnamese coffee has long been famous for its abundant supply and competitive price. If you have been searching for Vietnamese coffee beans source, then Viego Global Sourcing Blog is the right place for you to discover Vietnam coffee market  and take advantage of it. With the pride of our local product, we at Viego, provide the foreign importers an ultimate guide on Vietnam coffee market , hence avoiding mistakes when doing business with Vietnamese coffee. In this first article of the “Vietnam Coffee Market” series, we will take you around Vietnam to see what happen here with the coffee industry.

A start-to-finish guide to Vietnam coffee market

Farmers pick ripe coffee fruits

1. Vietnam coffee market offers a good supply of Robusta coffee beans at a competitive price

In Vietnam, two main coffees, Robusta and Arabica are put into production. Much of Robusta coffee in this world hail from Vietnam. According to Vietnam Department of Crop Production, Robusta accounts for 93% of the total coffee area (and accounts for 96% of the total production), while Arabica varieties are responsible for a few percent left. Vietnamese coffee is grown in regions between 500 and 1,200 meters above sea level, so the coffee flavor has a sweet smell. Main Robusta coffee growing provinces locate in the Central Highlands, including Dak Lak, Lam Dong, Dak Nong, Gia Lai and Kon Tum, while Arabica are grown mostly in Son La (Northwest), Nghe An, Quang Tri (Central), Lam Dong (Central Highlands).

Vietnam coffee market offer a good supply of Robusta coffee beans at a competitive price

2. How are Vietnamese coffee processed?

The most popular processing technique in Vietnam is still the natural dry method after harvesting. According to this method, the coffee is dried under sunlight and then removed the husk or fruit. Nowadays, coffee farmers, producers and traders in the Central Highlands of Vietnam are increasingly using machines to dry the fruit, hence increasing the productivity.

How are Vietnamese coffee processed?

Natural Dry-Processed Method

Meanwhile, large-scale coffee producers use wet method. This is a popular processing technology today and is applied in many other countries around the world. Coffee fruits are removed the skin and pulp from the bean while the they are still moist. For instance, in Dak Lak province, 16 wet processing factories have been established with a total annual capacity of over 64,000 tons of products, ICO data shows.

How are Vietnamese coffee processed? - 2

Wet-processed method

3. Certification and documents required

As coffee is the main exporting product in Vietnam, manufacturers and traders here are not only experienced in cultivating and producing but also in exporting procedure. For exporting to market with strict safety standard, in terms of coffee cultivation technology for sustainable development, various Vietnamese coffee farmers have been applying advanced agricultural production technology to obtain national and international certifications, such as 4C (Common Code for the Coffee Community); VietGAP (Vietnamese Good Agricultural Practices); UTZ (UTZ Certified); and RFA (Rainforest Alliance). For other countries in the Middle East or India, many Vietnamese coffee manufacturers are certified with HALAL verifying that the products are processed and produced according to the requirements of the Qur’an and the Shari’ah law of Muslims. They make it easy for coffee to be exported to the overseas market and meet the global customer’s requirement. Check out more about the quality certifications you must take into consideration when buying coffee from Vietnam.

Certification and documents required for Vietnam Coffee Market

4. Vietnamese Coffee beans classifications and its considerable impact on price

Regarding green coffee beans, Vietnam offer the following types with 2 main grades:

  • Robusta green beans washed/unwashed/honey with wet-polished or non wet-polished: grade 1 on screen No. 18, grade 1 on screen No. 16, grade 2 on screen No. 13;
  • Arabica green beans washed/unwashed/honey or non wet-polished: grade 1 on screen No. 18, grade 1 on screen No. 16, grade 2 on screen No. 13.

Below is a summary price comparison that you should take into consideration:

Arabica

>Robusta

Grade 1 on Screen no.18, no.16

>Grade 2 on Screen no.13

Roasted coffee

>Green coffee

Cultivation type: Organic

>Cultivation type: Common

Wet-Processed Coffee, Washed Coffee

>Natural Coffee, Dry-Processed Coffee

100% maturity

>90% maturity

Wet-polished

>Non wet-polished

Viego Global – Your trusted sourcing partner in Vietnam

In order to provide a deeper insight on Vietnam’s Coffee Market, we’ve created this series along with tips on how to select the best beans from Vietnam for your business. Jump to: 

  • A start-to-finish guide to coffee beans market in Vietnam
  • Best types of coffee beans to source in Vietnam
  • How to find wholesale coffee suppliers in Vietnam
  • Essential guide to checking the quality of Vietnam’s green coffee beans
  • 4 Most common mistakes when sourcing green coffee beans from Vietnam
  • Everything you need to know about Vietnam’s specialty coffee

Are you sourcing coffee green beans from Vietnam? Do you need a supply of good quality and at good price? If you want to connect with any qualified coffee manufacturers in Vietnam, please comment below so we could help you out easily. Being presence at the factory location, Viego Global has the capability to professionally source, manufacture and execute order providing maximum benefit to our clients in terms of delivering a wide range of products at the best competitive pricing. Please contact us HERE for further support!

21 August, 2020 0 comment
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