Title: Analysing costs and margins of smallholder farmers in the coffee value chain: M4P approach

Authors: ThiHong Nguyen; Dang Trung Tuyen; Nguyen Ngoc Trung; Tran Cuong

Addresses: East Asia University of Technology, Hanoi, Vietnam ' VNU University of Economics and Business, Hanoi, Vietnam ' Electric Power University 235 Hoàng Quốc Việt, Cổ Nhuế, Bắc Từ Liêm, Hà Nội, Vietnam ' Department of Economic and rural development, Thai Nguyen University of Agriculture and Forestry, Quyet Thang Commune, Thái Nguyên, Vietnam

Abstract: The study attempted to analyse costs and margins of smallholder farmers involved in the coffee value chain in Dak Lak province - the coffee capital of Vietnam. Data was collected through a survey and was assessed by applying M4P approach. ARIMA model was used for forecasting the costs and margins over time. The results revealed that coffee growing households receive the highest profits and create the highest value added in the chain. In the short-term, coffee farmers bear less price volatility risk than coffee manufacturing and exporting enterprises, but in the long-term, this risk will gradually shift from manufacturing and exporting companies to them.

Keywords: ARIMA model; coffee value chain; costs and margins; Dak Lak coffee; M4P approach.

DOI: 10.1504/IJEBR.2023.133095

International Journal of Economics and Business Research, 2023 Vol.26 No.3, pp.325 - 353

Received: 12 Mar 2021
Accepted: 14 Jul 2021
Published online: 01 Sep 2023 *

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