Vietnam's robusta exports may rise<\/p>\n
SINGAPORE (Reuter): Vietnam's robusta exports are forecast to
\ngrow by 10 percent in the 1997\/98 (Nov\/Feb) season to 300,000-
\n320,000 tons, overtaking Indonesia as Asia's leading coffee
\nexporter, dealers said yesterday.<\/p>\n
"Vietnam could take the number one spot this year," one dealer
\nsaid. "It (Vietnamese robusta exports) is going to be at least 10
\npercent more at around 300,000-320,000 tons."<\/p>\n
"It's going to be a good crop in Vietnam," another trader
\nsaid. "Minimum, it should be at least 300,000 tons."<\/p>\n
Rains in Vietnam have been adequate and there were no reports
\nof any disease affecting the crop, the traders said.<\/p>\n
The steady growth in Vietnam comes at a time when Indonesia's
\nrobusta exports are seen falling at least 30-40 percent to around
\n270,000 tons this year after rains and strong winds stripped
\ncoffee trees of their flowers in 1996. `<\/p>\n
The country is also expected to export around 30,000 tons of
\narabica beans, dealers said.<\/p>\n
"I think Indonesia would be lucky to export 300,000 tons of
\ncoffee this year," one said.<\/p>\n
Robusta coffee, which is more bitter in taste than higher
\ngrade arabica, is used extensively in instant coffee.<\/p>\n
Indonesia is currently the world's largest producer of robusta
\nbeans, while arabica coffee is grown mostly in Central and South
\nAmerica.<\/p>\n
The outlook for Indonesia in 1998 remains cloudy because of a
\ndry spell, believed to be linked to the El Nino weather pattern,
\nwhich may sharply trim production next season.<\/p>\n
"It is dry. If it is like this for the next two-three weeks,
\nwe would be concerned," one trader said.<\/p>\n
El Nino, a phenomenon named after the Christ child to describe
\nthe appearance around Christmas of warm Pacific Ocean
\ntemperatures off the coast of South America, wreaks havoc with
\nweather patterns worldwide.<\/p>\n
Meteorologists have warned this year's El Nino, expected to
\npeak in December, seems to have arrived early and may rival the
\ncentury's worst in 1982-1983.<\/p>\n
That one blistered crops in Indonesia, Australia, the
\nPhilippines and southern Africa with drought and caused severe
\nflooding elsewhere.<\/p>\n
"We're very worried about the situation in Indonesia. We have
\nto monitor that situation very carefully," a dealer said.<\/p>\n
Supplies of coffee beans from Indonesia are tight while
\ninquiries for spot coffee from roasters in Europe has started to
\npick up, dealers said.<\/p>\n
"We're having a tough time getting the beans. I don't think
\nthe supply situation will improve," one said.<\/p>\n
Another dealer said they had expected demand for spot coffee
\nto pick up around the middle of August.<\/p>\n
"It has started earlier and there is no coffee left in
\nIndonesia," he said.<\/p>\n
But another trader said some exporters in Indonesia were
\nholding back supplies from the market to drive prices up.<\/p>\n
"They're playing a game," he said. "They're trying to hang
\nonto their stocks."<\/p>\n
Regional coffee dealers forecast London robusta coffee futures
\nwould open unchanged to US$30 a ton higher later on Wednesday.<\/p>\n
"It maybe $20-$30 up," one dealer said.<\/p>\n
"The trend looks sideways. I don't see it going up much
\nfurther," another said.<\/p>\n
In London, the Economist Intelligence Unit (EIU) said world's
\n1997\/98 exportable coffee production could top 80 million 60-kg
\nbags for the first time in history, spearheaded by a cyclical
\nupturn in Brazil.<\/p>\n
For comparison, the exportable crop is estimated at 78.4
\nmillion bags in 1997\/98 and 74.1 million in 1996\/97, it said.<\/p>\n
The London-based think tank said new plantings of recent years
\nshould also boost 1998\/99 Brazil output.<\/p>\n
Government efforts to increase production have already been
\nsignaled in other countries including Mexico, it said in its
\nthird quarter commodity forecast report.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/vietnams-robusta-exports-may-rise-1447893297",
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"sponsor": "Okusi Associates",
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