The world has done a lot of things from coffee but Vietnam is still exporting raw coffee for many years. We have not taken full advantage of the opportunities to create value for coffee.
Ranked second in the world in terms of coffee exports but Vietnam has no brands in the list of 10 most expensive coffee brands in the world. In 2022, Vietnam exported more than 1.78 million tons with an export turnover of more than 4 billion USD. The average export price of coffee is 2,293 USD/ton.
The above information was given by Mr. Le Minh Hoan, Minister of Agriculture and Rural Development, and coffee experts at the workshop “How to add value to Vietnam’s coffee?” organized by the Employee Newspaper on March 4, 2023.
The world’s second-largest exporter but Vietnamese coffee does not have a big brand name.
THE WORLD DOES NOT DRINK MUCH OF VIETNAM’S COFFEE
Commenting on Vietnam’s coffee, Mr. Le Minh Hoan said that Vietnamese people often complain that coffee in Europe is sour and light while they have been drinking it for hundreds of years. It’s the same that Vietnamese rural people complain about pure coffee. This is the story we need to discuss.
Mr. Le Minh Hoan said: “If we want to reposition on the world coffee map, we have to determine whether develop the Abarica or still follow Robusta or mix these two.”
Maybe we’re sitting at home thinking that our coffee is the best in the world while the world doesn’t drink our coffee. Where is Vietnam’s coffee on the world coffee map? This is what we have to think about to continue re-cultivating, creating a brand name, processing refined products, etc. The world favors Arabica but Vietnam is strong in Robusta.
The world considers coffee more than just a drink. A lot of economic value from the coffee tree such as coffee flower honey, fertilizer from the coffee ground, fabric dyes, etc. The world has done a lot of things from coffee but Vietnam is still exporting raw coffee for many years. There’s plenty of space for us to create value for coffee. This space we leave empty or newly exploited.
Regarding coffee branding, it must come from emotions associated with culture. Coffee is a culture. Businesses that want to build a brand name have to reposition and know how to tell stories to bring emotions to consumers.
Mr. Le Minh Hoan, Minister of Agriculture and Rural Development, was speaking at the workshop.
Many large coffee enterprises do not participate in the Vietnam Coffee and Cocoa Association. Even though the Mekong Delta’s catfish has dominated the world market for a long time and no one can compete, it fluctuates sometimes and is unsustainable. Coffee is subject to much competition. To compete, we have to build a brand name.
Thai people advertise Thai rice as “Think rice, think Thailand”. So, can the message of Vietnam’s coffee be “Drink coffee, feel Vietnam”?
If we want to convey the message of increasing coffee value by 5-10 times, we have to reposition the product line, market trends, and demand. And if we want to develop refined coffee, it is necessary to find out the needs of customers to provide the right product./.