Vietnam coffee exports threatened as EU tightens sustainability rules
· Business · Fortune, Bloomberg
Vietnam's coffee sector faces export risks as the European Union implements stringent deforestation regulations starting Dec. 30, 2026. Nestlé Vietnam chairman Binu Jacob warned that the EU's new norms make cheap coffee unattractive for export unless producers move up the value chain. Vietnam, the world's second-largest coffee producer and largest robusta exporter, supplies about 24% of global consumption via Europe. Hanoi is coordinating with Brussels through the EU-backed SustainCoffee project to help over 400 businesses and 1.4 million farmers meet the new standards. Nestlé has developed disease-resistant plantlets distributed at subsidized rates to boost yields and productivity across central Vietnam.
Why it matters
Indian coffee exporters and traders face potential revenue losses as EU rules demand sustainability compliance, threatening Vietnam's price-competitive robusta exports.
Read the original report — Fortune
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