Hoang Anh Gia Lai coffee expansion in Southeast Asia

Hoang Anh Gia Lai (HAGL) is executing a large-scale expansion of its coffee production across Vietnam, Laos, and Cambodia, aiming to increase cultivation from 3,000 hectares in 2025 to 20,000 hectares by 2028.

To fund this growth, the company has utilized approximately 791.8 billion VND from a 2,000 billion VND bond issuance. These funds have been allocated to various projects, including cooperative efforts in Gia Lai, Vietnam, and operations in Stung Treng, Cambodia, through the Stung Treng Agricultural Development Joint Stock Company. The company is diversifying its crops by growing Arabica in Gia Lai and Robusta and Liberica in Cambodia.

Recent developments show progress in the region, including a $29.2 million investment project in Savannakhet province, Laos, which involves developing 2,083 hectares of raw material areas and a coffee processing plant. Technical assessments by the Western Highlands Agriculture and Forestry Science Institute (WASI) indicate that Arabica, Robusta, and Liberica varieties are showing strong adaptation to local soil and climate conditions in Gia Lai, Paksong, Champasak, Attapeu, and Stung Treng.