As we saw the farmers’ excitement, Vỹ also “discovered” many staff members from the representative office, some even calling to check in and share. Thus, Vỹ decided to write a little more in this part of the “Seasonal Survey.” This is to share, so feel free to share your thoughts.
To do a good job with the “seasonal survey,” the most important thing is the “method,” which is called Methodology in the West.
Vietnamese Agriculture students also study a subject called “Field Experiment Methodology” to compare meaningful “survey samples.” However, many students don’t fully understand it or lack enthusiasm, so when they face practical situations, they don’t know how to apply it.
The key part of the method is to calculate the “tolerance” and “average formula” for each result. Only by doing this will the final result align with reality and have a reasonable scientific foundation.
You must also pay attention to the differences in “cultivation habits” of different countries, so the methods should also be adjusted accordingly for meaningful results.
From what I know, companies like Louis Dreyfus do an excellent job, Noble also performs well, but the real star in this field might be a specialist from Armajaro… This part is just a bonus for you readers.
Back to the main topic, many questions will likely focus on two main points: how to properly execute a Test Sample and how to properly conduct a Questionnaire. In my personal opinion, just base it on the practical situation to build the method. If you focus too much on theory, you may get lost when implementing it.
After the results of the seasonal survey are gathered, what’s next?
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Evaluating the “Commodity Structure”: While it may sound complicated, this is simply the evaluation of what percentage of the coffee in 1 kg is R1-18, how much is R1-16, and how much is R2, and the lower grades. Some companies even go as far as evaluating the “weight” of each type. Why do they need this information? Of course, they have their reasons, but I’ll refrain from mentioning them to avoid touching on many other sensitive topics. Anyone interested can email me, and I may discuss further.
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Evaluating Processing Houses and Buying Points: When discussing this, many might laugh because, when purchasing, foreign companies typically “designate” inspection companies to verify and seal the purchased lots. So, isn’t this evaluation unnecessary? However, the key point lies in what I call the “seller’s power,” which many people overlook.
Why call it the “seller’s power”?
If buying and selling were as simple as having the goods ready before selling, there would be nothing to discuss. However, markets can vary. Often, contracts are signed, but the goods aren’t delivered to the warehouse until later. More importantly, when the weather isn’t favorable, the processing warehouses can still deliver the goods on time and in full. That’s the real issue here.
There have been many cases of “stockouts” due to incorrect evaluation of the warehouses’ capabilities. At times when products are scarce, the “reliable classified” warehouses are the ones that get preferential treatment from the buyer.
After gathering all this information, what else do foreign companies investigate? One essential aspect is the cost of shipping from the local area to the port and the “documentation” costs for that shipment.
This is just one part of what foreign companies look into in Vietnam’s lively coffee market. By now, you might agree with me on one thing: they seem to know us too well, don’t they? And clearly, if we can’t hide anything from them, does this mean there are issues with how we conduct our trade?
That’s a big question that not everyone can easily answer… Today, I’ll just casually share a little more. When I have more time, I’ll think about and write up some specific cases.