The world supplies of Coffee from Vietnam suffer from tight restrictions set to control the distribution of the “Delta” -Stam Coronavirus, reports Bloomberg. The country is the second largest coffee maker.
The government holds the Ho Chi Minh City Export Center under strict locomotion due to the growth of the number of infection and controls the transportation in some key industrial areas of the central highland. Exporters are faced with difficulties in transporting in ports to send. Other logistics problems are added to these difficulties, such as container deficiency and freight rates (shipping fee).
Sellers, including the Vietnamese Association of Coffee and Cocoa, sent the Petition to the Government with a request to weaken the restrictions that cause deliveries and price increases. In response, the Minister of Transport Nguyen Van TCH ordered the authorities in the south of the country to do everything possible to help transport farmers, such as coffee and rice. In accordance with its instructions, local officials should avoid all optional requirements and burdensome paper.
World coffee prices barely hold from a sharp jump due to the growing threat of a breakdown of supplies from South America to Asia. Drought and frosts this year devastated crops in Brazil, which is the first coffee supplier and produces arabic premium variety. The crown aggravated the problems with deliveries and in Vietnam, and in Indonesia. After the frosts hit the production in Brazil, some roasters decided to switch to cheaper varieties of coffee from Vietnam, but now the rise in prices and supply problems make this option much less attractive.
Delivery interruptions influenced not only for coffee and cocoa. Companies all over the world complain about delivery problems, because of which prices for products grow, and the range is reduced. Traders fear that buyers will face expensive goods and empty shelves in stores.