The Linkages between Farmers and Enterprises in the Production and Consumption of Coffee in the Central Highlands

Abstract

     In this article, secondary data as well as primary data collected from households and businesses were used to evaluate real status and effectiveness of cooperation models between farmers and business enterprises in production and trading of coffee in the Central Highlands. Based on the analysis, we proposed measures to enhance sustainable linkages between the two actors in production and trading of coffee in the investigated region. The

research findings indicated that these linkages help improve economic efficiency in households’ coffee production thanks to increased productivity, higher price, and manufacturing cost savings and improve the competitiveness of businesses (thanks to the stability of raw materials, and a source high quality coffee for exportation). However, there

are many limitations and challenges to maintain or develop these current linkages, particularly in the production process, product sales, or access to supportive policies. Thus, in order to promote sustainable linkages between farmers and businesses in the production and trading of coffee, it is suggested to enhance the capabilities of farmers, encourage support for farmers from businesses, improve market development activities in business, and suitable subsidies from the Goverment.