Yunnan Coffee suffers from the embarrassment of increasing production without increasing income

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. Due to the recent decline in futures prices in New York, Yunnan coffee will once again encounter the embarrassment of increasing production without increasing income if it continues to follow the previous acquisition practice of deducting 10 cents from New York futures prices.

It is understood that since foreign coffee enterprises entered Yunnan in 1988, the purchase price has generally been subtracted from the New York futures price by 10 cents and 20 cents.

According to Li Gongqin, secretary general of the Yunnan Coffee Industry Association, the purchase price of coffee in Vietnam is generally higher than the price quoted by the London Futures Exchange at US $70 per ton, while the offer from Colombia is basically higher than the New York futures price by 40 cents per pound. Brazil is quoted according to the New York futures price. At present, only Yunnan coffee is quoted lower than the New York futures price in the world, and this quotation system has been maintained in Yunnan for 27 years. Based on the average annual coffee output of 60, 000 tons in Yunnan in the past 27 years, Yunnan farmers have lost at least 3.4 billion yuan in recent years.

Based on this, recently, Hougu Company, a leading coffee company in Yunnan Province, took the lead in making a harvest quotation, which was converted into RMB according to the New York coffee futures price, minus the transportation cost, that is, the Yunnan coffee harvest quotation. According to this calculation, in this year's harvest season, Hougu Coffee will increase the harvest price per ton of Yunnan coffee by about 1500 yuan, and enterprises will pay hundreds of millions of yuan more, but this hundreds of millions of yuan will directly benefit Yunnan farmers.

Xiong Xiangren, chairman of Hougu Coffee, said in an interview with our reporter, "Hougu promises that first-class Yunnan coffee beans will never be purchased at a rate of 15000 yuan per ton, and that enterprises will do their best to protect the interests of Yunnan coffee growers. Yunnan farmers will never be allowed to lose money."

A private enterprise has such strength because Hougu Coffee is the only coffee enterprise in China with a whole industry chain. The new 20, 000-ton production line of Hougu Coffee is expected to be completed and debugged by the end of this year. Hougu Coffee will have an intensive and deep processing capacity of 33000 tons of coffee every year. According to this calculation, Hougu Coffee Factory will be able to digest 70-80 000 tons of Yunnan coffee every year.

According to the statistics of Yunnan Coffee Industry Association, up to now, Yunnan coffee planting area 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 total coffee planting area and output. Yunnan coffee imports and exports account for about 80% of China's total coffee imports and exports. In addition to Hougu coffee, which accounts for half of China's coffee imports and exports, other coffee enterprises in Yunnan Province have also completed 30% of China's coffee import and export tasks.

Yunnan Coffee Industry Association predicts that in the next 10 years, China will become the world's largest consumer of coffee, and Yunnan coffee will have a "boundless way" in the future.

Li Gongqin, who has just returned from foreign research, told reporters that the major coffee producing countries in the world have their own procurement protection mechanisms to stabilize their own coffee production. For example, Africa is an auction type, and you must have an auction license to participate in the auction in order to be qualified to buy coffee; in Vietnam, the government has designated several coffee companies with acquisition qualifications to buy coffee in Vietnam to maximize the interests of coffee growers. However, in Yunnan, foreign-funded enterprises, local enterprises and traders can all buy directly from farmers, and the interests of farmers can not be fundamentally protected.

In order to cope with the rising and falling cycle of coffee prices, the Yunnan Coffee Industry Association suggested that a Yunnan coffee collection and storage system should be established by subsidizing warehousing fees and providing discount loans. support coffee enterprises to collect and store coffee at protective prices when the selling price of coffee beans is close to or lower than the planting cost. The government and enterprises work together to make Yunnan coffee stop increasing production and income, and protect the interests of farmers from being damaged.