Soaring Coffee Prices Signal a Positive Trend

According to the Ministry of Agriculture and Rural Development, Vietnam’s coffee exports reached USD 3.78 billion in the first four months of 2024, a 51.1% increase year-over-year. Export prices also surged to an average of USD 5,698 per ton, up 67.5%.

This growth reflects high international demand for Vietnamese coffee, particularly Robusta—a key strength of the nation’s agricultural sector. Forecasts suggest that if this momentum continues, Vietnam’s coffee industry could generate USD 7 billion in export revenue in 2025, potentially setting a historic record.

Tight Supply as Farmers Hold Back

Mr. Lê Đức Huy, Chairman of the Members' Council at Simexco Daklak (2/9 Daklak Import-Export Co., Ltd.), reported that only around 15% of coffee remains in the hands of farmers, who are selling cautiously. This limited supply is partly due to increased global demand and the delayed harvest season in Brazil and Indonesia.

Amid these conditions, domestic coffee prices are expected to continue rising and may surpass 130,000 VND/kg. This trend is a positive sign for both coffee growers and export businesses.

Vietnamese Robusta – Earning High Praise Globally

Vietnamese Robusta is not only a key export but is also gaining international recognition for its quality, particularly in Asian and Middle Eastern markets. In the Middle East, consumers are increasingly familiar with Robusta’s rich and bold flavor, which has become a convincing alternative to Arabica in recent years.

Thanks to its distinctive taste and ongoing quality improvements, Vietnamese Robusta is solidifying its position in many international markets. In the first four months of 2025, exporters like Simexco Daklak reported export growth of 60–70%, driven by high prices and stable output.

Expanding Export Markets – Focus on Asia and the Middle East

While the EU remains a core market (accounting for 41% of total exports), many Vietnamese businesses are actively expanding into high-potential markets such as the US, Japan, South Korea, China, and especially the Middle East.

According to Mr. Huy, Simexco Daklak currently holds less than 5% market share in the US but is working to deepen its market penetration. Meanwhile, the Middle East has emerged as a growth hotspot, driven by a shift in consumer preferences toward Robusta.

This diversification is a strategic move to reduce dependence on major markets while boosting global competitiveness.

Preparing for EUDR – Toward Sustainable Export Practices

Although the EU is a key market, Vietnamese coffee exporters are facing tough requirements under the EU Deforestation Regulation (EUDR). This policy mandates that goods like coffee, rubber, and timber exported to the EU after December 30, 2024, must be traceable and proven to be deforestation-free as of December 31, 2020.

The EU has granted a 12-month extension for large companies (until December 30, 2025) and a further extension until June 30, 2026, for small businesses. However, non-compliance may result in exclusion from the EU market and fines of up to 4% of revenue.

To meet these requirements, companies like Simexco Daklak are developing digital maps of farming zones, adopting sustainable cultivation models, and enabling traceability down to individual households. At the same time, they are strengthening supply chain integration to ensure product quality and transparency throughout the export process.

Vietnamese Coffee at a Turning Point

With rising export value, growing international recognition, and progress in traceability and sustainability, Vietnam’s coffee industry—especially Robusta—is at a golden opportunity for a breakthrough.

However, to fully seize this opportunity, exporters must continue investing in product quality, supply chain transparency, and strict adherence to international standards such as the EUDR. Marketing, branding, and international partnerships are also key to elevating the global profile of Vietnamese coffee.

EximGPT – Your Smart Export Partner

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