BARIA, Vietnam – Marubeni Corporation has announced the start of a wholly owned instant coffee manufacturing and sales business in Vietnam. Marubeni aims to begin commercial operation of the business in 2020, which will mainly supply the Chinese and ASEAN markets where demand for instant coffee is growing.
Marubeni has established Iguacu Vietnam Co., Ltd., an instant coffee manufacturing and sales company in BaRia-VungTau Province, Vietnam. Construction will begin immediately upon obtaining all necessary permits, and commercial operation and supply will commence in 2022. Annual production capacity will begin at 16,000 tons.
Over 46 years, Marubeni has accumulated knowledge and experience in the production and sale of instant coffee through the management and operation of Cia. Iguacu de Café Soluvel in Brazil. Making use of the production technology, know-how and sales network of Iguacu Brazil, Marubeni will manage the expansion of its instant coffee business, especially in the growing Chinese and ASEAN markets.
When Iguacu Vietnam commences commercial operation in 2022, and considering the planned capacity expansion of Iguacu Brazil in 2020, Marubeni will be the world’s biggest supplier in the B-to-B instant coffee market*, with a total annual production of 40,000 tons.
Worldwide instant coffee demand is expected to increase continuously as a result of economic expansion. In particular, demand in China and ASEAN, with more than 2 billion population altogether, is growing at a rate of more than 5% per year, which is far beyond the world average of 2%.
Moreover, the demand in these areas is expected to expand even more in the future. Vietnam is the second biggest coffee producing country next to Brazil, and the biggest producing country of Robusta Coffee, which is the predominant variety of instant coffee. Therefore, Vietnam is the most suitable country to produce instant coffee for sale to China and ASEAN.
Marubeni looks forward to supplying its instant coffee worldwide via the two biggest coffee producing countries in the world with our technology and know-how acquired over years of experience.
*For brand owners, without instant coffee production lines.
