China Econ Frontline: Coffee industry in Yunnan Province seeks high-quality, integrated development
China Econ Frontline: Coffee industry in Yunnan Province seeks high-quality, integrated development
CGTN| 2025-05-26 11:07

China is becoming one of the world's largest coffee consumers, and Yunnan Province in the southwest of the country is at the heart of this transformation. As the region's coffee industry shifts from producing raw beans to crafting premium coffees, the local government, growers and entrepreneurs are joining forces to build a sustainable future. Yang Jinghao has more.

China's coffee consumption is surging. More and more people are starting their day with a freshly brewed cup.

YANG JINGHAO, Baoshan City, Yunnan Province "A perfect brew begins with the perfect cherry. Let's head over and see where it all begins."

This is a coffee plantation in Baoshan, southwest China's Yunnan Province. Growers are embracing the busiest time of the year. 

"How is this year's harvest?" 

"Very good. The cherries are plentiful."

Yunnan's high-altitude climate and rich soil provide ideal conditions for Arabica coffee, making it home to over 98 percent of China's coffee production. According to the provincial agricultural department, raw bean production reached 146-thousand tons in 2023, continuing its steady growth. For decades, however, Yunnan's coffee was primarily sold as low-cost raw material to international brands. 

SHAO WEIBIN, Coffee Grower "During the low period, raw coffee beans were priced at only three or four yuan per kilogram. Even at the peak, the price only reached a little over thirty yuan."

But things are changing.

"These coffee cherries are selling for 400 yuan per kilogram this year." 

"400?"

"Yes. It's a variety called Geisha."

Of course, this represents only a small segment of the market, but it signals a broader shift — from commodity coffee to high-end specialty beans. But varietal improvement is just the first step. Local growers are also refining farming techniques, such as adopting integrated water and fertilizer irrigation systems. And the ways the beans are processed are also evolving. 

DING ZHI, Founder, Ding's Coffee "This is the sun-drying method. The fresh cherries are picked, washed, and then directly dried in the sun. Through this process, the coffee beans develop a wine-like flavor." 

Ding Zhi, a café owner, has taken his passion for coffee a step further. He recently launched a coffee estate in Baoshan, integrating cultivation, processing, sales, and cultural experiences. 

DING ZHI, Founder, Ding's Coffee "I run a coffee shop, and I've met people from all over the world. They all have high praise for Yunnan coffee. I believe more people will start growing coffee."

And this mode of creating coffee estates is actively supported by the local government. 

ZHAO BIYUAN, Deputy Secretary of the Baoshan Municipal Party Committee "We launched a project called the 'Thousand, Hundred and Ten thousand Project.' What does that mean? We aim to create 100 coffee estates, connecting 1,000 coffee shops on one end and 10,000 coffee farmers on the other."

The government believes this approach will nurture a strong and sustainable industry chain. And this coffee estate just embodies that vision. Originally launched in 2000 as a primary processing factory, it has since developed into a large complex offering a range of services. Here you can find a variety of products, from beans to drip and instant coffee. 

ZHAO QINXIANG, General Manager, Beaton Coffee "Our total sales in 2023 reached 85 million yuan."

Enthusiasts can also learn how to make a cup of pour-over coffee and discover fascinating facts and traditions. 

ZHAO QINXIANG, General Manager, Beaton Coffee "What we're showcasing here is the coffee life of local people in the past, including the tools they originally used to make and drink coffee, as well as the entire process."

With the joint efforts of the government, growers and entrepreneurs, Yunnan's coffee industry is on a fast track to high-quality development, putting China's coffee on the map among international players. Nevertheless, industry experts say there is still much work to be done to ensure sustainable growth, including soil conservation, promoting mechanization and adopting integrated farming practices. 

HU FAGUANG, Scientist, Yunnan Academy of Agricultural Sciences "Currently in Yunnan, we have a large area dedicated to rubber, European hazelnuts, and tropical fruits. If we manage to achieve even 30 to 40 percent of integrated ecological farming, our coffee cultivation area will have the potential to expand further."

YANG JINGHAO, Baoshan City, Yunnan Province "From humble beginnings with commercial beans to a thriving specialty coffee scene, Yunnan's coffee industry is brewing success after decades of exploration. With China's coffee culture thriving, the best is yet to come. YJH, CGTN, Yunnan Province."


Editor:李木瑞 Responsibility editor:Qingzong Yang
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