Vietnamese coffee elevated on global stage

The sharp rise in coffee prices has brought joy to farmers, but the real satisfaction comes from adopting sustainable farming practices that boost yields and attract more customers.

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These days in the vast Central Highlands, coffee is the hot topic everywhere. The sharp rise in coffee prices has brought joy to farmers, but the real satisfaction comes from adopting sustainable farming practices that boost yields and attract more customers.

New farming models

Located next to Provincial Road 8, the coffee farm of Nguyen An Son’s family (Hamlet 6, Ea Kpam Commune, Cu M'gar District, Dak Lak) has become a model of agricultural innovation over the years. The family has been growing coffee since 1968. Previously, they used traditional single-stem, terminal-pruning coffee farming methods that required high care costs but yielded only 3 to 3.5 tons per hectare annually.

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Farmers harvest coffee.

In 2020, recognizing the aging plantation and declining productivity, the family made a bold decision to uproot their coffee trees, treat the soil, and begin a complete replanting process using an entirely new approach: multi-stem coffee without terminal pruning. Unlike the traditional method of planting at a density of 1,100 trees per hectare, Son carefully prepared the soil and doubled the planting density to 2,200 trees per hectare, incorporating an Israeli drip irrigation system. As a result, coffee yields have stabilized at 5 to 5.5 tons per hectare annually, generating billions of Vietnamese dong in profit each year from their 7-hectare plantation.

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Farmers harvest coffee.

Huynh Thong, a resident of Dien Phu Commune, Pleiku City, Gia Lai Province, shared that his family has been cultivating coffee since 1995-1996. In 2009, he transitioned to organic farming. Thong noted that using organic fertilizers is less expensive than chemical fertilizers while promoting better plant growth, higher yields, and reduced susceptibility to pests and diseases. Each harvest produces nearly 20 tons of coffee beans, generating an annual income of VND800 million to VND1 billion after deducting expenses.

In the Ta Dung Lake tourist area, locals are familiar with Nguyen Viet Tien’s coffee farm. His 6-hectare, 12-year-old farm operates using organic practices to support experiential tourism and works in partnership with the Ta Dung Tourism Cooperative in Dak Nong Province. Tien shared that last year, a company from Ho Chi Minh City visited the farm and offered a contract to purchase his coffee at prices 1.5 to 2 times higher than the market rate. The agreement required a commitment to avoid using inorganic fertilizers or chemicals to boost yield. Smiling, Tien said, "Of course, I agreed because even without their offer, this is how I would continue farming."

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An organic coffee farm combined with experiential tourism in Ta Dung Lake area (Dak Som Commune, Dak Glong District, Dak Nong Province)

Sustainable coffee cultivation

Alongside innovative coffee farming practices are thriving enterprises that elevate Vietnamese coffee to the global stage.

Phuc Sinh Corporation (Phuc Sinh Group), established in 2001, has earned a reputation as the "Pepper King," capturing 8 percent of the global pepper export market since 2007. It also ranks among Vietnam's top four coffee exporters. Chairman Phan Minh Thong revealed that the company achieves approximately $300 million in annual export revenue, with coffee accounting for 60 percent, pepper 30 percent, and tea 10 percent.

In 2024, Phuc Sinh partnered with the Netherlands-based &Green Fund, securing nearly $25 million in funding. The investment is directed toward a coffee processing plant in Dak Nong, machinery and equipment upgrades, and the implementation of freeze-dried instant coffee projects.

“With support from &Green, Phuc Sinh aims to inspire other agricultural enterprises and set an example for sustainable business practices in agriculture. Our goal is to demonstrate that businesses can thrive while earning the trust of international partners,” said Mr. Phan Minh Thong.

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Chairman of Phuc Sinh Group Phan Minh Thong checks coffee quality at Son La farm.

In March 2024, Vinh Hiep Co., Ltd., located in Pleiku, celebrated the export of Vietnam’s first organic coffee shipment to Japan. The coffee, grown on the company’s 42-hectare farm, has received organic certifications from the US, EU, Japan, and South Korea.

To obtain these certifications, the farm had to follow strict cultivation and care practices, ensuring optimal productivity, quality, and the sustainable health of the soil. The coffee must meet specific requirements, including at least 95 percent ripeness and less than 0.5 percent impurities, with late-season yields maintaining a ripeness rate of over 80 percent.

“Our mission is to lead the way in organic farming and meet the demanding standards of the most selective global markets,” said Mr. Thai Nhu Hiep, Chairman of Vinh Hiep Co., Ltd. “This farm serves as a model to help guide other farmers in adopting organic production methods.”

For the 2023–2024 season, Vinh Hiep became Vietnam’s top coffee exporter, generating $520 million in export revenue.

Mr. Doan Ngoc Co, Deputy Director of the Gia Lai Department of Agriculture and Rural Development, stated that by 2025, the province aims to maintain around 100,000–105,000 hectares of coffee, with an estimated output of 304,000 tons. From 2021 to 2025, the province will focus on renewing over 8,500 hectares of old coffee plantations, using 100 percent high-yielding, high-quality coffee varieties.

In addition, fruit trees, medicinal plants, and short-term crops will be intercropped within the coffee farms to increase farmers' income. Advanced water-saving irrigation methods, along with mechanized harvesting, will be adopted. The province will also invest in deep processing to improve the quality and value of coffee beans.

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