Dry weather continues in Vietnam, affecting coffee bean production and supply

Raw Common Coffee Bean

Vietnam

Sustainability & Environmental Impact

Market & Price Trends

Published Mar 27, 2024

Tridge summary

Vietnam, the leading global producer of robusta coffee beans, is facing a significant decline in coffee production due to a severe heat wave and the worst drought in a decade. This adverse weather has led farmers to switch to cultivating more lucrative crops such as durian, avocado, and passion fruit. As a result, there has been a 20% decrease in coffee bean exports year-on-year, causing robusta futures prices to soar to their highest since at least 2008. The Vietnam Coffee and Cocoa Association notes that the supply shortage may persist until the coffee harvests in Brazil and Indonesia commence in May, despite robusta coffee bean prices in Vietnam more than doubling and reaching a record high.

Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

(Bloomberg, Ho Chi Minh City) Vietnam, the world’s largest producer of robusta coffee beans, has been hit by a heat wave. As farmers switch to other crops, coffee bean production is affected. The global supply of robusta coffee beans will further shrink. . Tuan Loc Commodities, a coffee commodity analysis company in Ho Chi Minh City, issued a report saying: "Overall, coffee growing areas in Vietnam are facing hot and dry weather. Although Vietnam is currently in the dry season, this weather is not unexpected. However, the rainfall is at the lowest level in 10 years and the temperature is also high, which affects the production of coffee beans." Climate change affects global agricultural production, and crops with strong adaptability are better able to withstand harsh environments, such as robusta coffee beans. However, even in Vietnam, its coffee bean cultivation and production are also affected by climate change. Faced with increasingly severe planting conditions, more and more ...

Source: Zaobao