VOV reporters interviewed Mr. Trinh Duc Minh, Chairman of the Buon Ma Thuot Coffee Association, about the benefits and risks, challenges of the coffee industry in the new price trend.
PV: Sir, with the high coffee prices from the beginning of the season until now, we can see that coffee growers in Dak Lak, in particular, and the Central Highlands, in general, are very excited. How has the increase in coffee prices affected coffee growers?
Mr. Trinh Duc Minh: The increase in coffee prices has clearly had a positive effect on the livelihoods of coffee producers. Farmers have enough income to reinvest in better coffee and not switch to other crops. Or if they switch to other crops, they still keep the coffee trees.
Mr. Trinh Duc Minh, Chairman of the Buon Ma Thuot Coffee Association, Dak Lak Province
It is a very important factor in maintaining the sustainability of the industry. If farmers are not satisfied with coffee, the industry will deteriorate in a bad way, as there will be insufficient supply to meet demand.
PV: So does the high coffee prices bring completely positive effects to the coffee industry, sir?
Mr. Trinh Duc Minh: That is a positive aspect. However, it also has a number of major issues. First, it stimulates farmers to chase short-term benefits, not invest in quality but pursue quantity. This affects the production of high-quality coffee and specialty coffee. And it also affects mentality, meaning that people see that they can still get good prices without producing high-quality coffee.
High prices also affect the consumer market. Roasters who sell coffee to shops, customers, do they increase their prices correspondingly when the raw material price doubles?
Coffee prices increase, coffee growers excited
Now, it is seen that coffee prices reaching consumers have hardly increased or increased significantly. Because roasters and coffee shop chains have to find ways to replace with lower-quality coffee to survive.
PV: To maintain the quality, quantity, and sustainability of the coffee industry, what solutions do we need and how do we address this issue?
Mr. Trinh Duc Minh: To maintain the quality, quantity, and sustainability of the coffee industry, we need policies, investments that foster sustainable, substantive links between producers, roasters, and traders. And now our specialty coffee industry is heading in that direction.
However, we also have to recognize that the global coffee industry has gone through the era of cheap coffee. Now, with such price increases, it is fair for farmers to stay with coffee, and people can prosper. Perhaps after this period, the story of cheap coffee will no longer exist. It may go up and down, but it cannot reach the bottom like in the past few years. And the most important solution is promotion, good commercial promotion for the market to know our coffee story.
PV: Well, thank you!
