The latest news of Yunnan coffee Hougu Coffee Company reports that the latest coffee prices are no longer sold cheaply.

Kunming Information Port News reporter Lin Jian on November 18, Yunnan Hougu Coffee Co., Ltd. held a briefing on coffee purchase quotations in Kunming. Hougu takes the lead in the harvest quotation, which is converted into RMB according to the New York coffee futures price, and minus the transportation cost is the Yunnan coffee harvest quotation, so that Yunnan coffee is no longer sold cheaply.

Since foreign-funded coffee companies entered Yunnan in 1988, Hougu Coffee has formed the purchase practice of deducting 10 cents and 20 cents from the New York futures price. It is the 2015-2016 coffee harvest season in Yunnan, and according to the Yunnan Coffee Industry Association, Yunnan coffee production will reach about 130000 tons this year. While the futures price in New York has continued to decline recently, Yunnan coffee will face increasing production without increasing income if it continues to follow the acquisition practice of foreign enterprises in Yunnan, which is about 10 cents below the New York futures price. The purchase price of coffee in Vietnam is generally higher than that quoted by the London Futures Exchange at US $70 per ton. Colombia's offer is basically higher than the New York futures price, while Brazil quotes according to the New York futures price. at present, only Yunnan coffee is quoted lower than New York futures, and this quotation system has been maintained in Yunnan for 27 years, with an average annual output of 60,000 tons of Yunnan coffee in the past 27 years. Yunnan Ka Nong lost at least 3.4 billion yuan. Based on this, the leading domestic coffee company Hougu Coffee is the first to quote: according to the New York futures price, minus the transportation cost, Hougu Coffee will increase the harvest price per ton of Yunnan coffee by about 1500 yuan in this year's harvest season. in the 2015-2016 Yunnan coffee harvest season, enterprises will pay hundreds of millions of yuan more, and this hundreds of millions of yuan of funds will directly benefit Yunnan farmers.

It is understood that the quotation rules apply not only to Yunnan Arabica coffee, but also to Robusta coffee. Xiong Xiangren, chairman of Hougu Coffee, said: "Hougu promises that first-class Yunnan coffee beans will never be purchased at a rate of 15000 yuan per ton, and enterprises will do their best to protect the interests of Yunnan coffee growers, and Yunnan coffee farmers will never be allowed to lose money." Xiong Xiangren also pointed out at the briefing that in terms of protecting the interests of coffee growers, the world's major coffee producing countries have their own procurement protection mechanisms to stabilize their own coffee production. For example, Brazil adopts an auction-style protection mechanism, coupled with unified acquisitions designated by the government, foreign-funded enterprises are not allowed to purchase coffee beans directly from farmers; in Africa, they must hold an auction license to participate in bidding before they are qualified to buy coffee; in Vietnam, the government designated several coffee companies with acquisition qualifications to purchase coffee in Vietnam in order to maximize the interests of coffee growers. In Yunnan, foreign-funded enterprises, local enterprises, and traders can all buy directly from farmers, and the interests of farmers are not fundamentally protected. in all coffee producing areas in the world, there is direct government control, especially in large coffee producing countries. the government absolutely does not allow foreign businessmen to purchase domestic coffee directly. Yunnan has almost become the only coffee producing area in the world where foreign businessmen can buy coffee beans directly and cheaply from farmers and buy them at lower prices than international coffee futures prices for many years.

According to reports, up to now, the planting area of coffee in Yunnan is more than 1.8 million mu, and the output in the new season is expected to be about 130000 tons. Yunnan coffee planting area and output account for about 99% of China's coffee. Yunnan coffee imports and exports account for about 80% of China's coffee. In addition to Hougu coffee imports and exports account for half of China's coffee imports and exports, other Yunnan coffee enterprises have also completed 30% of China's coffee import and export tasks. Yunnan Coffee Industry Association predicts: in the next 10 years, China will become the world's largest consumer of coffee, Yunnan coffee in the future can be described as "endless money"! With the great attention of the Yunnan provincial party committee and provincial government, Yunnan coffee enterprises unite as one, and with the joint efforts of all coffee participants, coffee will become another important economic pillar industry in Yunnan in the future.

Source: Kunming Information Port