Vietnam’s coffee exports plummet as robusta prices fall
The sharp fall in export earnings was caused by the price of robusta coffee falling in London due to a global glut, with Vietnam getting the lowest rates of all exporters.
The price is decided by rates fixed on global coffee trading floors at the time of delivery. But Vietnamese exporters are often forced to sell at cheaper prices because of this differential business model in addition to the unstable quality of their products when compared with international benchmarks.
Experts have suggested businesses to move away from this business model to reduce the reliance on global prices.
