(KPL) Six European Heads of Mission visited coffee projects in Xieng Khuang and Huaphan Provinces from Jan 15-18.

The purpose was to reaffirm Team Europe’s strong commitment in working together in the framework of the Team Europe Strategy 2021-2025 for the Lao PDR. In particular, Team Europe showed their support to the coffee sector in Northern  Laos, in line with the first priority area of their joint strategy: green and inclusive economy.

Market trends show an increasing local, regional, and global demand for coffee, especially for specialty and sustainable coffee.

Today, the biggest market for coffee is the European Union, representing close to 50% of coffee imports in the world. The share of Lao coffee imported to the EU is still small but growing. In the last two years, statistics show that the Lao PDR’s coffee and tea exports to the EU increased from 21 million EUR to 42 million EUR.

In this regard, Team Europe is working together with the Lao government to implement the Lao Coffee Strategy 2025, promoting the development of quality coffee, which respects the environment and ensures sustainable and equitable income for small producers, thereby reducing rural poverty.

For this high-level visit,  Ms. Ina Marciulionyte, Ambassador of the European Union to the  Lao PDR was accompanied by Siv-Leng Chhuor, French Ambassador to the Lao PDR, Annette Knobloch, German Ambassador to the Lao PDR, Mr. Laszlo Takacs, Hungarian Chargé d'Affaires a.i, Mr. Jean-François Cuénod, Regional Director for the Mekong Region, Swiss Agency for Development and Cooperation, and Mr. Nicolas Tasch, Development Cooperation Officer, Luxembourg Embassy.

Representatives from the Ministry of Foreign Affairs, the Ministry of Planning and Investment, the Ministry of Agriculture and Forestry, the Ministry of Industry and Commerce, as well as several Lao media also joined.

The four-day visit, started in Xieng Khuang, Khoun district, with a visit of the Switzerland-supported Lao Upland Rural Advisory Service (LURAS) III project.

In the afternoon, the delegation visited the Project of Reinforcement of Commercial Capacity for Coffee in Northern Lao (PRCC) supported by France and which the European Union will co-finance soon as part of the new Team Europe Partnership with the Lao PDR to increase sustainable and inclusive trade, investment and connectivity in the agriculture and forestry sectors (TICAF). After a long trip to Huaphan, representatives visited the project UNODC Alternative Development - From Opium to Coffee, co-financed by Germany and Luxembourg.

During the visit, Team Europe met with local authorities to discuss the ongoing social and economic development of the provinces. European Heads of Mission also took the opportunity to express their willingness to strengthen trade, economic, and investment partnership with Laos, especially focusing on quality investment, which contributes to inclusive growth and jobs.

“Our approach of joint implementation brings several European partners together in one project or programme, to reduce transaction costs for our Lao partners. The Team Europe strategy aims to strengthen our green and economic partnership with Laos, by supporting sustainable trade and investments, while protecting the environment and creating decent jobs,” said the EU Ambassador on behalf of European partners.

For the next five years (2021-2025), the European Union (EU), Finland, France, Germany, Hungary, Ireland, Luxembourg, and Switzerland, working together as Team Europe, committed to contribute more than EUR 550 million in support of a green and inclusive economy, human capital development, and good governance, in the framework of Laos’ 9th National Socio-Economic Development Plan (NSEDP).

KPL