'Golden opportunity' for Vietnamese coffee

(PLVN) - The Algerian government has just announced a policy to sharply reduce coffee import tax, from 30% to only 5%, while exempting value added tax and domestic consumption tax. This is a golden opportunity for Vietnamese coffee exporting enterprises to expand their market share in this market.

03/08/2025 17:26

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(PLVN) - The Algerian government has just announced a policy to sharply reduce coffee import tax, from 30% to only 5%, while exempting value added tax and domestic consumption tax. This is a golden opportunity for Vietnamese coffee exporting enterprises to expand their market share in this market.

According to the Vietnam Trade Office in Algeria, to help reduce coffee prices and support domestic consumers, the Algerian government has decided to exempt and reduce coffee import tax. Specifically, coffee import tax is reduced from 30% to 5%. At the same time, Algeria exempts value added tax (VAT-19%) and domestic consumption tax (10%) on coffee.

With the above decision, the total import tax and fee for green Robusta coffee beans in Algeria is now only 10% while it was previously at 63%. The Algerian government will apply the measure to stimulate coffee consumption until the end of 2025. This is a good opportunity for Vietnamese coffee to increase its presence in this market.

According to the Vietnam Trade Office in Algeria, Algeria does not grow coffee and therefore has to import 100% of its coffee to meet domestic demand. Coffee is the most popular drink among Algerians. With a population of over 46 million, Algeria imports about 130,000 tons of coffee beans of all kinds each year, worth about 300 million USD.

Coffee is imported in raw form (beans) and is roasted and processed by Algerian importers in factories according to Algerian consumer tastes and the country's import policy. Robusta coffee accounts for more than 85% of Algeria's total coffee imports, the rest is Arabica coffee.

The main coffee exporters to Algeria are Vietnam, Brazil, Colombia, Indonesia, Ethiopia and Uganda. According to the General Department of Vietnam Customs, in 2024, Vietnamese enterprises exported 34,158 tons of green coffee beans to Algeria, with a turnover of 127.4 million USD.

Currently, Vietnamese coffee still has a lot of room to be exported to Algeria, because it is highly appreciated by importers and consumers for its quality and flavor.

According to experts, Vietnamese coffee has a special flavor, creates high foam, and absorbs sugar better than coffee from other countries.

During processing, Algerian roasters often blend Vietnamese Robusta coffee with Robusta or Arabica coffee from other countries in certain proportions. Importers often look to buy 18-screen raw coffee at affordable prices, equal to or lower than those of international intermediary companies.

Source: https://baophapluat.vn/co-hoi-vang-cho-ca-phe-viet-post541863.html