Vietnamese coffee producer and exporter Thai Hoa Corporation yesterday inked a US$14.89 million contract to buy a GEA Niro A/S instant coffee production line for its in-house plant in Lam Dong Province. The installation should take no longer than one year to complete. It is the largest deal of its kind between Viet Nam and Denmark and is expected to improve the quality and market share for instant coffee products ‘made in Viet Nam’ in the global market. So far, there are only three instant coffee producers in the country.

(Carlo Odello, source: Viet Nam News)

Vietnam exported 1.2 million tonnes of coffee in 2007, bringing in a total revenue of over 1.8 billion USD, a 22% increase in terms of volume and a 50% rise in value. For the first time coffee export value overtook that from rice. Coffee is now leading agroforestry products in export value accounting for 13% of the Vietnamese agricultural export value.
The country is now the world second largest coffee producer behind Brazil. According to the Vietnam Association of Coffee and Cocoa the key buyers of Vietnames coffee are Germany, the US, Spain, Italy, Belgium, Poland, France, the Republic of Korea, the UK and Japan, accounting for 75% of the total sale. Germany alone represents the largest market share (14%).

(Carlo Odello, source: Vietnam News Agency)