coffee, cooperation and competition: a comparative study between colombia and vietnam
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Coffee, Cooperation and Competition: a comparative study between Colombia and Vietnam. Adriana Roldan-Perez Maria Alejandra Gonzalez-Perez EAFIT University Medellin, Colombia. Pham Thu Huong Dao Ngoc Tien Foreign Trade University Vietnam. Geneva, Swizerland May 2009. 1. - PowerPoint PPT PresentationTRANSCRIPT
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
Geneva, Swizerland
May 2009
Adriana Roldan-PerezMaria Alejandra Gonzalez-PerezEAFIT UniversityMedellin, Colombia
Pham Thu HuongDao Ngoc TienForeign Trade UniversityVietnam
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AcknowledgementsFunding:
EAFIT UniversityFTU UniversityVI, UNCTAD
Institutional Affiliation:Department of International Business at EAFIT UniversityForeign Trade University (FTU)
Other:Eamonn McDonagh and Ignacio Mastroleo
Research assistants:Catalina Tabares (Colombia)
Melissa Eusse (Colombia)Franz Xaver Riegler (Colombia)Stephanie Riegler (Colombia)Nguyen Thu Hang (Vietnam)
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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Content
1. Rationale and objective of the study
2. Methodology chosen
3. Main findings
4. Challenges faced
5. Intended use of the study/follow-up
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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1.1. Rationale of the study
Research on Trade, Investment and Development:
Policy making:
EAFIT University and FTU:
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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1.2. Objectives of the study Contributing to the understanding of context and processes of the
coffee industry. To identify links and dynamics in the value chain in both
Colombia and Vietnam that have been developed in the coffee industryTo explore the context, players, stages and features to explain
the differences between Colombia and Vietnam.To compare development policies in both countries and identify
regulatory mechanismsTo identify current/potential patterns of cooperation and
competition threats between these two countries.
To develop a methodology for comparative studies amongst developing countries in different agricultural sectors
To design a research instrument that will potentially be used in other coffee-producing countries, and other agricultural commodities.
To share expertise and knowledge in areas.
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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2. Research methodologySecondary data.
Secondary data includes company and industry reports, books, academic papers, articles, databases, and websites related to coffee industry in both two countries.
Value Chain Analysis (Dolan & Humphrey, 2000; Gereffi, 1999; Gereffi, Humphrey & Sturgeon, 2005; Gereffi &
Kaplinski, 2001; Humphrey & Schmitz, 2001; Kaplinsky 2000; Kaplinsky & Morris, 2000; Sturgeon, 2000) was chosen as the primary methodology to choose the potential sample, and to design an observation protocol
Primary dataIn- depth interviews with key players in both in coffee industries Colombia: Antioquia coffee region and in Medellin between
October 2008 and January 2009. Vietnam: Hanoi, Hochiminh and Buonmethuot February 2009
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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3. Main findingsGlobal value chain of coffee
Theory on Global value chain
Overview of world coffee market
Mapping the global value chain of coffee
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
Data source: Kaene (2008).
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3. Main findingsAnalysis of Colombia’s and vietnam’s participation in coffee value chain
Coffee industry environment
Position in international market
Actors:
Casestudies
Vinacafe Buonmathuot (Vietnam)
Phuongvy coffee company (Vietnam)
National coffee Federation (Colombia)
Colcafe S.A. (Colombia)
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
Farmers
Collectors
Coffee processors
Traders
Export
Vietnam
Foreign country
Domestic coffee bars
Domestic retailers
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Consumer
Retailer
RosterInstant coffee manufacturer
International Trader Broker Intermediary
National Federation of CoffeeProducers
(NFC)
Exporter(National or MNC)
Threshing and quality control process
Local cooperatives-NFC-
Retailing store
Domestic consumer
Colombia
Consumer Markets
Drying, washing and cleaning
Hand picking and selecting
Plantation and growing
Domestic roasting and grounding
Instant coffee manufacturing
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3. Main findingsComparative Analysis
Position in global market
High reliance on coffee export (5.7% - 3.9%)
History of coffee exporting
Structure of export product and level of processing
Main exporters
Export market
Participation in coffee’s GVC
Arabica vs Robusta
Nestle in instant coffee market: 46% (colombia) 33% in Vietnam
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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3. Main findingsCooperation
Coffee selling: different types and harvest seasons
Instant coffee production
Labour conditions
Technological transfer
Competition
Export Market
Production cost / Social & Environmental pratices
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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RecommendationsVietnam
Reform ViCOFA
National trade mark
Coffee specialities
Domestic consumption
Instant coffee market
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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RecommendationsColombia
Advertisement and coffee promotion
More added value
Quality and traceability
Advertise and promote Colombian coffee brands internationally
Increase its domestic consumption
Scientific research on behavioural patterns, and physiological aspects of consumption
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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4. Challenges faced
Coordination of communication
Different expectations and level of expertise
Language barriers
Financing/payment modality of the project
Allocation of resources
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
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5. Intended use of the study/follow-up Research instrument applicable to other countries with coffee
industry, such as Brazil, Indonesia, India, Mexico, Ethiopia
Research instrument applicable to other agricultural commodities (value chain analysis)
Presentation of research results:Foreign Trade University, Hanoi/Vietnam (19 February 2009); Colcafe, Medellin/Colombia (May 2009)
PACIBER Annual Meeting, Queenstown/New Zealand (3-6 July 2009)
Journal paper
Paper presentation and/or publication through Vi network members?
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
Thank youCám ơn / Muchas Gracias
Coffee, Cooperation and Competition: a comparative study
between Colombia and Vietnam
Questions and comments are welcome.