1. Weekly News

Vietnam

Vietnam's Coffee Exports Decreased in Volume But Increased in Value

According to the Vietnamese Ministry of Agriculture and Rural Development, Vietnam’s coffee exports from Jan-24 to Aug-24 reached 1.05 million metric tons (mmt), valued at USD 4.03 billion,s a decrease of 11.9% year-on-year (YoY) in volume but an increase of 36.1% YoY in value. Due to limited supply, the average export price increased by 54.5% YoY to USD 3,850 per metric ton (mt) during this period. Buyers and sellers are on the sidelines, waiting for the next harvest. The country’s new coffee harvest from Oct-24 to Sep-25 is approaching, but the supply will unlikely improve until the new harvest begins.

Brazil

Brazil's Coffee Export Volume Increased by 27.3% YoY in Aug-24

According to the Brazilian Secretariat of Foreign Trade (Secex), Brazil exported 3.45 million 60-kilogram (kg) bags of coffee in Aug-24, with an export revenue of USD 872.34 million. The average daily export was 156.87 thousand 60-kg bags, generating USD 39.65 million daily, an increase of 33.5% YoY in value and a rise of 27.3% YoY in volume. The average export price increased by 27.3% YoY to USD 252.77/60-kg bag during this period.

Severe Drought Challenging Brazil's Coffee Production

Coffee producers in Brazil, particularly in Minas Gerais, São Paulo, and Espírito Santo, face significant losses due to a severe drought, with some estimating a 20% YoY reduction in 2025 harvests. Despite investments in irrigation, water stress continues to impact production. Experts recommend long-term preventive measures, such as increasing soil organic matter and balancing soil nutrients, to help crops withstand drought conditions. The experts also emphasized sustainable projects and creating water reserves as crucial strategies. The weather forecast indicates rain only in specific regions of Brazil, offering little relief to the affected coffee-growing areas.

Colombia

Colombia Adapts to EU's Traceability Requirements

In response to the European Union (EU)'s new traceability regulations, which require proof of sustainable sourcing for imported products, Colombia is launching a coffee information system (SICA) to provide the precise coordinates of coffee batches. The Colombian Coffee Grower Federation (FNC) spearheads this initiative to help Colombian exporters comply with the new rules. A vital element of the program is the georeferencing of coffee lots, a feature that will only be accessible with the authorization of the coffee growers. Exporters will use this platform to verify the geographical origins of the coffee, ensuring alignment with the EU's sustainability criteria.

Peru

Huánuco's Coffee Project Boosts Value Chain

The Regional Directorate of Agriculture of Huánuco, Peru, is actively enhancing the value chain of coffee cultivation through its Coffee Project. This initiative has benefited over 2.9 thousand coffee-growing families across seven provinces, with an investment exceeding USD 9.17 million. The project has conducted ten thousand technical visits, guiding more than ten thousand farmers. Additionally, eighty producers have shared their successful commercial experiences within their production units. The initiative has also supported over 20 producers showcasing their coffee cultivation achievements at various fairs.

Myanmar

Myanmar Shifts from Opium to Sustainable Crops

Myanmar plans to replace opium poppy cultivation with coffee and rubber following Afghanistan's recent ban on opium. According to the director of the Ministry of Agriculture, Livestock and Irrigation (MOALI), this initiative aims to combat drug trafficking while boosting the nation's economy. . The announcement was made at the Eastern Economic Forum, held from September 3 to 6 in Vladivostok, Russia. Myanmar is also engaging in discussions on international cooperation against drug trafficking with Russia.

2. Weekly Pricing

Weekly Coffee Pricing Important Exporters (USD/kg)

Yearly Change in Coffee Pricing Important Exporters (W36 2023 to W36 2024)

Brazil

In W36, coffee prices in Brazil increased by 4.48% week-on-week (WoW) to USD 6.68/kg, reflecting a 5.2% month-on-month (MoM) and a 16.58% YoY increase. Coffee prices have increased significantly in 2024 due to insufficient supply and stale demand. In Brazil, coffee production faces challenges from severe drought and heat waves, which have negatively affected the country's coffee production in 2025 and pose long-term effects on the coffee plants. In response, producers are making significant investments in irrigation. However, irrigation alone is insufficient to ensure coffee production's quality. Experts recommend that coffee growers start planning and adopting long-term preventive measures to maintain sustainability.

Colombia

In W36, Colombia’s coffee price decreased by 3.39% WoW to USD 7.41/kg, reflecting a continued downward trend with a 5.61% MoM decline and a 4.76% YoY drop. The decline in prices is influenced by several factors, including the country’s adaptation to the EU’s new traceability regulations. As exporters work to comply with stricter sustainability requirements, logistical adjustments and the implementation of systems like the SICA may have temporarily impacted the flow of coffee exports, affecting prices. Additionally, the global coffee market has faced increased competition, with countries like Brazil expanding their exports, further pressuring Colombia’s coffee prices.

Vietnam

Vietnam’s coffee prices decreased by 1.24% WoW to USD 4.79/kg in W36. However, it increased by 1.05% MoM compared to USD 6.35/kg in W32. Despite this weekly price decline due to currency fluctuation and active sale activities, Vietnam’s coffee production faces challenges from climate change, which has led to a significant decrease in local output. Given the low coffee inventory, Vietnamese coffee sellers are on the sidelines, waiting for the next harvest. The country’s new coffee harvest will start from Oct-24, and the supply will unlikely improve until the new harvest begins.

3.Actionable Recommendations

Implement Sustainable Farming Practices to Mitigate Drought Impact

Brazilian coffee producers should prioritize sustainable farming practices to mitigate the ongoing drought effects and prevent long-term crop damage. Farmers can increase organic matter and balance soil nutrients, improving the soil's water retention capacity and helping crops withstand water stress. In addition, producers should invest in creating water reserves and expand irrigation systems to ensure a more consistent water supply during dry spells. Government agencies and agricultural organizations should offer financial and technical assistance to implement these measures effectively.

Streamline SICA for EU Compliance

Colombian coffee exporters need to integrate and streamline the newly developed SICA to comply with the EU's traceability requirements. Coffee growers should ensure their lots are properly georeferenced, and exporters must verify the sustainability and origin of coffee batches before exporting to the EU. The FNC should train farmers on the system's use, while the government should support data collection and maintenance efforts, ensuring compliance with EU regulations and enhancing Colombia's reputation as a sustainable coffee exporter.

Address Climate Change Impacts on Coffee Production

Vietnamese coffee producers should develop strategies to cope with the challenges posed by climate change, particularly the decline in output due to unfavorable weather conditions. Producers can explore climate-resilient coffee varieties and improve irrigation methods to ensure crops can withstand extreme weather patterns. Moreover, research institutions and agricultural bodies should collaborate to provide farmers with the latest insights on adapting to changing environmental conditions. With the new harvest approaching, government support and market forecasting will be essential in managing the transition and optimizing crop yields.

Sources: Tridge, Vinanet, AgroInfo.vn, Portal Do Agronegocio, Cafepoint, AgroPeru, Kvedomosti