Best Risk Management Solution Highly Commended: Neumann Gruppe Vietnam Ltd
Published: Feb 2026
Photo of Do Ngoc Huy, Neumann Gruppe Vietnam Ltd, Adesh Sarup, ANZ.
Do Ngoc Huy
CFO
Neumann Gruppe Vietnam Ltd is a company of global green coffee service group, the Neumann Kaffee Gruppe. It was established in 2001 under the name Bero Vietnam and was renamed in 2005.
in partnership with
Improved trade finance facility facilitates cost savings and doubled capacity for Vietnamese coffee producer
With its bank, ANZ, this company has established a trade finance facility that supports their working capital requirement and gives them more flexibility and positive control over commodity pricing risks, FX risks and interest rate risks. ANZ is providing an in-country source of working capital funding at same day value, compared to intra group funding transferred from Europe at T+1 or T+2 working days.
The challenge:
Neumann Gruppe Vietnam inaugurated its expanded factory in Vietnam in 2015. This facility will triple its capacity for processing and storage operations in Vietnam, rising from approximately 30k tons (with a value of $60m) to approximately 100k tons ($200m) per annum.
Accordingly, together with the increased working capital requirement, the need to better control the company’s commodity risks, foreign exchange (FX) risks and interest rate risks is critical for the company’s expansion ambitions.
The solution:
The company has established a trade finance facility that supports its working capital requirement and gives it more flexibility and positive control over commodity pricing risks, FX risks and interest rate risks.
The in-country source of working capital funding is same-day value, compared to intra-group funding and transfer from Europe which is T+1 or T+2 working days. The same-day funding value helps Neumann to positively control coffee prices paid to suppliers, which is on a daily basis, with no gap.
The local source of funding also gives it the flexibility to take a FX view and position according to the market conditions. As a consequence, Neumann can now choose to sell forward and not have to sell all receivables outright at spot.
The interest rate period also has the flexibility with both a maximum tenor or re-price at shorter periods which provides Neumann with greater choice to manage its cash flow and match with its receivables schedule.
Best practice and innovation:
This solution enables Neumann Gruppe Vietnam to meet its strategic growth objectives in the important coffee producing market of Vietnam whilst carefully controlling its suite of risks across commodity pricing, FX and interest rates.
Crucially, it gives Neumann in-country control of funding and reduces reliance on intra-group funding. Same-day value local funding gives Neumann enhanced flexibility to react in real time to market conditions and control coffee prices. These are key benefits that would not have been possible under the previous T+1/T+2 value group funding arrangement.
Main export countries for Vietnam Robusta:
Germany, US, Spain, Italy, Japan, Belgium, Korea, France, UK and Russian Federation.
Main ports of shipment from Vietnam:
Hồ Chí Minh City with a share of 100% and transit times of 28 days to the US and 24 days to Europe.
As Do Ngoc Huy, CFO, Neumann Gruppe Vietnam Ltd, explains: “through this local partnership and solution, Neumann can now focus on fulfilling its mission to become one of the top coffee processors in Vietnam”.
“We expect in the first year of using the in-country working capital funding solution the company will enjoy a financial cost saving of approximately $50K per annum – and we can double our capacity for processing and storage operations in Vietnam.”
Key benefits:
ANZ is providing an in-country source of working capital funding at same day value, compared to intra group funding transferred from Europe at T+1 or T+2 working days. The same day funding value helps Neumann to better control its operational risk by:
Positively controlling coffee prices paid to suppliers on daily basis.
Giving the business flexibility in taking a foreign exchange view and position based on the market conditions.
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