HANOI, Vietnam – On 17 December 2024, Vietnam’s Ministry of Agriculture and Rural Development (MARD), IDH and JDE Peet’s, in collaboration with local and international partners, officially launched the Database System for Forest and Coffee Growing Areas. This first ever system marks a critical milestone for Vietnam’s coffee industry as it steps up efforts to comply with the European Union’s Deforestation Regulation (EUDR)—a groundbreaking legislation designed to halt deforestation linked to global agricultural supply chains.
This regulation highlights the urgent need for a reliable, transparent, and accessible traceability system — one that ensures coffee products’ origins can be traced seamlessly from farmers to consumers. The European Union’s Deforestation Regulation (EUDR) requires this: agricultural products imported to and exported from the EU will need to be verifiably sourced from non-deforested land post-31 December 2020.
As the world’s second-largest coffee exporter Vietnam now faces both the challenge and opportunity of aligning its production with EU’s stringent traceability requirements. The launch of this platform is a critical step forward in ensuring that Vietnam’s coffee sector meets the stringent requirements while remaining competitive in the global market
EU’s stringent traceability requirements
“This system marks a significant achievement in Vietnam’s effort to comply with the European Union Deforestation Regulation (EUDR). The Ministry of Agriculture and Rural Development is committed to playing a key role in scaling up, updating, and maintaining the system, ensuring that it not only helps the coffee sector meet international standards but also paves the way for expanding to other agricultural sectors” – Nguyen Do Anh Tuan, Director General, International Collaboration Department, Ministry of Agriculture and Rural Development
A Collaborative Effort Driving Change
The development of this database system reflects an impressive public-private partnership between MARD, IDH, JDE Peet’s, provincial governments, coffee businesses, and farmers. Through shared expertise, technology, and resources, the database system has been designed to address both short-term compliance and long-term sustainability goals.
Mr Kaj van de Vorstenbosch, Climate team, Dutch Ministry of Foreign Affairs, Inclusive Green Growth Department stated: “The effective implementation of the EUDR in Vietnam is crucial to ensuring access to EU markets, including the Dutch, while promoting sustainable, deforestation-free production. The development of this database system is a vital step in this process, offering an effective and inclusive solution that supports transparency, smallholder inclusion, and low-cost compliance. With strong partnership of the Netherlands and Vietnam in agriculture sector, we, via the public and private facilitation role of organizations like IDH, can drive meaningful progress, ensuring a sustainable and resilient future for Vietnam’s coffee sector.”
Building a Comprehensive, database system for Vietnam’s Coffee Industry
The database platform is developed using a robust foundation of data, sourced from both public and private entities, including provincial state management agencies, local coffee enterprises, and farmers. Key datasets such as land-use planning maps, cadastral maps, and production area details have been meticulously collected and integrated into the system. To guarantee the system’s integrity and reliability, field surveys were carried out to verify on-the-ground information and address any discrepancies. This rigorous process ensures the data remains both comprehensive and accurate, serving as a dependable resource for all stakeholders. These elements ensure a comprehensive and accurate traceability system, where every coffee plantation can be tracked from farm to export. This data-driven approach helps identify and address discrepancies which should ensure compliance with the EUDR.
Chi Tran, Sourcing Director for Palm and Coffee at IDH, underscored the importance of continued stakeholder collaboration: “IDH is proud to facilitate the development of this national database, which serves as a critical foundation for a sustainable coffee sector in Vietnam. We call for stakeholders to continue contributing to the system, sharing and supplementing data to create a comprehensive, annually updated database. This platform will also enable risk assessments and the implementation of mitigation strategies, ensuring that Vietnam’s coffee industry meets emerging market demands such as low emissions and deforestation-free production.”
Innovation and Future Scalability
While the platform was initially developed for the coffee sector, its flexible design ensures it can be scaled up to include other commodities such as rubber, pepper, and cocoa. Over time, the platform will integrate into Vietnam’s national agricultural systems under MARD’s management, enabling broader traceability and data sharing nationwide.
The database system is designed not only to support the coffee sector but also to serve as a foundation for scaling up to other agricultural commodities such as rubber, pepper, and cocoa. Building on ongoing efforts, the platform will be expanded to cover additional regions and eventually integrated into the national database managed by the Ministry of Agriculture and Rural Development (MARD).
This integration will ensure Vietnam’s agricultural sectors align with international sustainability standards, making them more resilient and better equipped to meet global market demands. The platform will continue to evolve with a focus on enhancing data accuracy, improving accessibility, and fostering seamless integration with other agricultural databases nationwide.
A Transformative Step Toward Sustainable Growth
On 2 October 2024, the Commission has presented a comprehensive package to support the implementation of the EUDR, including the proposal of a 12-month phasing-in period to allow companies more time to prepare. If the one-year extension is approved by the European Parliament and the Council , in line with the agreement they found on 3 December, the law will apply from 30 December 2025 for medium and large companies, and from 30 June 2026 for micro and small enterprises.
Vietnam has and should seize the opportunity to accelerate preparations and ensure full compliance. The launch of the Database system for Forest and Coffee Growing Areas marks a pivotal step in ensuring Vietnam’s coffee industry not only remains competitive in the EU and global markets but also actively contributes to the fight against deforestation and climate change.
This initiative’s success highlights the power of public-private partnerships in tackling complex, global challenges. By working collaboratively, stakeholders are paving the way for a sustainable, transparent, and resilient coffee sector that delivers benefits not only to businesses but also to farmers and the environment.
As the expansion phase gains momentum, IDH calls on all stakeholders—businesses, local authorities, and international organizations—to unite in their efforts to refine and strengthen the platform. Collective action will empower Vietnam’s coffee industry to lead the path toward a sustainable future.
The launch of the Database system is more than just a technological achievement; it represents a transformative milestone for Vietnam’s coffee sector. With strong government leadership, collaboration with international partners, and active private sector participation, Vietnam is now well-positioned to meet the challenges of the EUDR and set a global benchmark for sustainable agriculture.
“The launch of the Database System for Forest and Coffee Growing Areas marks an important step toward EUDR compliance in Vietnam. The additional time proposed aims to ensure that industry sectors and global partners, such as Vietnam are fully prepared for the entry into application of the Regulation, facilitating a smooth and effective rollout . This opportunity should be seized to prepare, take concrete actions, and meet EUDR requirements effectively, paving the way for a sustainable future for Vietnam’s coffee sector.” said Mara Grimminger, International Relations Assistant, Directorate General for the Environment, European Commission.
