Vietnamese coffee increase
Vietnam is closing in on Colombia for position as the
world's second largest producer of coffee. Vicofa, the
Asian country's coffee and cocoa association, has raised
its forecast for the 1999-2000 crop to 590,000 tonnes or
9.8m 60-kg bags. Colombia's coffee crop in 1999-2000 -
reduced by unfavourable weather - is also estimated at
about 10m bags.
However, Vietnam is on course to surpass Colombia on
exports. Figures for the nine months to June suggest that Vietnam's exports
totalled 509,000 tonnes, compared with Colombia's shipments of 407,000
tonnes. Vietnam's coffee shipments have remained strong in the past few months
in spite of the depressed world market, which has seen robusta futures plunge to
their lowest for eight years, according to Commodityexpert, the online coffee
information and analysis service.
Only Brazil exports more coffee, and its output dwarfs that of its rivals. The
1999-2000 crop has been cut by damage from drought and frost, but is still
expected to total 26m bags or more than 1.5m tonnes. Vietnam's rise through the
coffee league table has been remarkable. In the early 1980s, the country's annual
production stood at 20,000 tonnes, Commodityexpert said. Since then, there has
been a concerted effort to ramp up output, and last year Vietnam overtook
Indonesia to become the world's largest producer of robusta and the third largest
producer overall.
A 1999-2000 Vietnam crop of 590,000 tonnes would represent a rise of about 40
per cent on its previous harvest, and Vicofa is expecting another big jump in
production in 2000-01 to between 620,000 tonnes and 640,000 tonnes.
Colombia's production, however, should stay ahead that year, as its crop for
2000-01 is expected to return to 12m bags or more than 700,000 tonnes.
By Paul Solman - The Financial Times - August 7, 2000.
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