Every year, from November to December, farmers in the Central Highlands provinces of Vietnam are busy with the biggest coffee crop of the year. This is also the time of year when Sybil Agri focuses on purchasing a large amounts of coffee for the coming year in order to service domestic and international partners at the end of 2021 and the whole year 2022.
Vietnamese farmers are busy picking coffee in the crop year 2021-2022.
This year, in October, the coffee harvest for the 2021-2022 crop year has officially begun; in the crop year, farmers are very excited when the coffee prices have a better signal and the yield is higher than the previous crop.
Normally, in previous years, at the beginning of the crop, coffee prices would often decrease to their lowest level; then, in the middle and end of the season, coffee prices would gradually increase. However, the current crop has just begun, and coffee prices are relatively high. If the current trend in coffee prices continues, farmers will have a bumper harvest in 2021-2022.
However, due to the complicated situation of the Covid-19 pandemic in many regions, many places were locked down, workers could not come to work, resulting in a scarcity of personnel for harvesting, transportation, and processing coffee.
Forecast of coffee prices and production in 2022.
After Brazil, Vietnam is the second-largest coffee producer in the world and the world’s top producer of Robusta coffee. Currently, Vietnam has over 695 thousand hectares of coffee-growing area, with an annual production of more than 1.7 million tons, with the majority of it located in the Central Highlands, with an area of 585 thousand hectares and an annual output of approximately 1,668 million tons.
Experts predict that the coffee output in the crop year 2021-2022 would be higher than the previous year. According to the USDA, Vietnamese coffee output in the coffee year 2021-2022 will be 30.8 million bags, up 1.8 million bags from the previous crop year.
Coffee prices are expected to rise until at least the first quarter of 2022, according to many experts, as a result of the supply shortage caused by the current supply chain becoming congested at the end of the year.
Sybil Agri plans to purchase a large number of Vietnamese coffee beans in 2022.
Despite the tough year of 2021 in the global economic market, with the efforts of our staff, Sybil Agri nevertheless completed and achieved the coffee exports target in 2021, thanks to the efforts of our staff. Let’s take a look back in the year 2021, Sybil Agri successfully traded over 500 tons of coffee both domestically and internationally.
As the coffee harvest season in Vietnam starts in the crop year 2021-2022, our company is currently purchasing coffee from coffee farms in the Central Highlands region in Vietnam to promptly deliver to our partners at the end of the year, as well as preparing for a breakthrough 2022 plan.
Sybil Agri is currently planning to buy 2000 tons of Vietnamese coffee in order to meet our 2022 business objective. In addition to serving close partners who have signed long-term contracts before, such as the Middle East, Asia, and Europe; we will expand the market to additional partners. Our company estimates coffee output for export and domestic transactions in 2022 to be around 2000 tons.
In addition to increasing purchases and sales, we are also implementing a program to assist farmers in standardizing the coffee growing process and proper production methods in order to produce high-quality coffee varieties that meet export criteria.
The success of Sybil Agri Farmers Partnership Programme (SFPP) in the pepper industry will serve as the foundation for us to expand this cooperation into the coffee industry in the future.
