A large amount of coffee has reduced effectiveness

The area of coffee over 20 years old is 86 thousands hectares and not includingabout 40 thousand hectares of coffee under 20 years old that show oldthroughlowyields andquality
If we do not replanttimely in the next few years, they will affectthe yield and quality of Vietnam‘s coffeedirectly . However, the speed of renewable coffee in recent years was implementing slowly.
From 2012 , the Central Highlands has been re-planted only about 2000 ha. In Dak Nong,the garden of old and stunted coffee tree now nearly 25,000 ha but in recent years the renewable coffee wasnearly 300 hectares.
Recently, the State Bank Governor- Mr. Nguyen Van Binh said the bank hasoffered loans at the interest rateslower than the markettoreplantcoffeetrees, the loan term is also in accordance with a cycle ofrenewable coffee ( 3-5 years ), even up to 5-7 years .
However, the Governorstill "concerned " about disbursement of the capital which has to dependonlocal agencies and branches.
According to the Governor , the bank does not know where are the places need to bereplanted,what are the varietiesand the intercropped plants ensure coffee growers still have certain income during renewable process . The specialists and the local government need " to show " places to disburse.
Remove bottlenecks
To replant coffee, people need to cut down old trees and do not replant immediately. They must plant the short term trees in 1 to 2 years, the period from planting until harvest coffee takes about 2-3 years. So the whole time from 3-5 years, farmers have no income. However, they still have to spend over 100 million VND to replant for each ha coffee.

The loans from bank to replant coffee trees requires long loan period ,much interest costs, while farmer have no income to offset inrenewable time, so they hesitate to replant, even though the project to replant coffee is fragmented, lack of scientific and ineffective results. As the result,it’s not improve the situation but also causes disability "chaotic" in a coffee plantation.
 

Not lack of capital for coffee

So, the Governor stressed, the bank already has the capital for renewable coffee but they do not knowthe places need to bereplanted, what are the techniques, what are the varieties from cutting to replatting ... the banks alone can not support the people but require coordination.
Therefore, the renewable coffee plan in Central Highlands need to be approvaledearly, to make theplanin each province from now to 2020 . This not only helps the banks allocate fundsbut also helps the farmers have bothrenewable area and harvested area to ensure their living .
Sustainable coffee development requires maintaining yield and quality of coffee commensurate with nationalpositionon the world coffee rank, but also creates the popular coffee brand by strengthen intensive investment. To do that , in addition to promotingtradeand introduction of Vietnamese coffee products for international friends , we need to restructurethe coffee industry.
Making the link between growers and producers inthe value chains ofexportingcoffee and applicating different levels of scienctific and technology in the production and processing of exportingcoffeeto sustainable development.
In which, the bank has been aplied the appropriate credit policies and accompaniedwith enterprises in the priority chain link production and application of high technology , promotting exported coffee tree, renewable coffee in particular and restructuring the agricultural sector in general, in order to ensure development sustainable agriculture of Vietnam with productivity, efficiency in compliance with modernization ". Governor affirmed.

Sources: vietnamnet.com