PGI Buon Ma Thuot coffee in Vietnam

Abstract

Buon Ma Thuot city, Dak Lak province is the “coffee capital” of Vietnam, the second largest coffee exporter globally. This chapter aims to (i) analyse the Buon Ma Thuot coffee value chain and the PGI process; (ii) measure the economic, environmental and social impact of PGI on the coffee value chain; and (iii) identify the main constraints and factors which enhance the sustainable development of the PGI Buon Ma Thuot Coffee value chain. The result shows that the PGI Buon Ma Thuot coffee value chain generally performs better in economic, environmental, and social indicators than the reference. The price premium at farm level is very small while that at the processing level is the highest. The operating margin of the PGI and the non-PGI actors is significantly different at the retail stage. However, the impact is relatively limited due to various constraints of the PGI applications. To increase the value of PGI in the Buon Ma Thuot coffee value chain, strict compliance with official PGI processes and standards are needed.