MILAN – The southern Lao province of Champassak and the Vietnam National Coffee Corporation (Vinacafe) have signed an agreement to develop coffee production in the area, reports VNA.
Under the agreement, Vinacafe will lease 1,000 hectares of land to grow coffee in Laos with an initial investment of about 5 million USD. The location will be in the Boloven highlands of the province’s Pakson district.
The project will not only boost trade cooperation between Laos and Vietnam, but also create thousands of jobs for local people whilst contributing to poverty reduction in the region.
The province exported over 34,000 tonnes of coffee worth 83 million USD in the 2012-2013 period.
European and Japanese customers particularly like the taste of coffee originating from the Boloven highlands.
Coffee in Laos is cultivated almost exclusively on the Bolaven Plateau in Champasak Province in the southern part of the country.
The plateau, with ample rainfall, cool temperatures and rich volcanic soil, reaches an elevation of over 1300 meters at 15 degrees latitude – perfect conditions for growing world class coffee.
The Arabica coffee beans from the plateau are known for their medium body and a combination of mild citrus and floral tones.
The coffee growing community in Laos includes about 20,000 farming families in 250 villages and several larger farming companies.
Many ethnic minority groups are members of this community and most farming families depend on the income from the coffee harvest for survival.
Source: VNA – Lao Mountain Coffee