Lao specialty coffee price hits US$37.6 per kg

The price of Lao specialty coffee touched US$37.6 per kg at the “Taste of Laos” auction held on August 2.
During the auction, coffee from the Bolaven Plateau in Pakxong was particularly in high demand among international processors. 

Farmers dry coffee beans in the sun.

Gesha coffee won the highest bid, which was US$37.6 per kg (after starting at US$17.82 per kg). Arabica coffee from the north was bid at US$9.9 per kg, according to ARISE Plus Lao PDR.
After getting a high price for their coffee at such auctions, farmers and producers in the coffee industry have gained more confidence about claiming good prices for high-quality beans.
Specialty coffee is the tastiest coffee and usually attracts coffee enthusiasts from around the world. Laos’ specialty coffee, in particular, boasts a promising potential, especially after high scores (80 and above points) and the attention received at the Laos Green Coffee Competition 2022.
Global demand is increasing and prices are higher. However, Lao coffee farmers are struggling to meet demand. The sector faces challenges such as reaching buyers in high-potential markets, improving quality management, increasing productivity, and strengthening the sector's organisation. 
In addition, farmers and businesses have been impacted by the Covid-19 pandemic and subsequent global economic crisis.
Through online auctions, international buyers can purchase coffee they might not otherwise have access to, and potentially form longer-term relationships with Laos’ producers and exporters.
A total of 44 buyers from across the globe participated in the latest auction, including from the US, the UK, France, Korea, Sweden, Canada, Thailand, the UAE, Japan, Hong Kong, Australia and Laos itself. The auction for a large volume of Arabica and Robusta Lao beans will continue in the coming weeks.
ARISE Plus Lao PDR, an European Union-funded project that is being implemented by the International Trade Centre, is leading the auction process. An online auction website was created to promote the event. Organisers also used social media and other online tools to reach out to a database of global specialty coffee buyers.
In the capital of Vientiane, local producers and coffee enthusiasts gathered at Pi Café to watch a livestream of the auction. The reception was jointly organised by the Lao Coffee Association, ARISE Plus Lao PDR and CLEAN project. This collective effort by stakeholders and partners showcased the continuing support for the coffee sector, as reflected in Laos’s Coffee Sector Export Roadmap for 2021-25.

By Times Reporters
(Latest Update August 9, 2022)