Agro-forestry-aquatic product exports to rebound in H2
Despite suffering a year-on-year decrease of 11.1% in the first five months of 2023, agro-forestry-aquatic
In the first 9 months of 2023, Vietnam's agricultural exports to China amounted to more than 6.2 billion USD, a record-high number.
With the current growth rate, Vietnam's agricultural exports are forecast to continue to boom, especially during the holiday season when demand increases sharply.
China aggressively buys Vietnamese agricultural products.
According to a recent report from the Ministry of Agriculture and Rural Development, in the first 9 months of the year, the total export turnover of Vietnam's agricultural sector was estimated at 38.48 billion USD, down 5.1% over the same period last year.
The three largest export markets of Vietnam's agricultural, forestry and fishery products are China, the US and Japan. While export turnover to Japan and the US both decreased by 7-22% over the same period last year, the Chinese market reversed with positive growth.
By the end of September, agricultural, forestry and fishery product exports to China reached 8.71 billion USD, up 16.7% over the same period last year. Of which, agricultural product exports amounted to more than 6.2 billion USD, accounting for 70% of total agricultural, forestry and fishery exports, the highest record ever.
As for the fruit and vegetable group, in the first 9 months of the year, Vietnam exported 2.75 billion USD to China, a record-high number. Compared to the same period in 2022, the export turnover of this item increased by 160%. Durian is a product that accounts for a large proportion, up to 55% of the total fruit and vegetable export turnover, reaching 1.5 billion USD.
After vegetables and fruits, rice is the country's second most widely spent item, with nearly half a billion USD, an increase of more than 55% over the same period last year.
Cashew exports to China reached nearly 434 million USD, an increase of more than 42%; Coffee exports over 101 million USD, up 11.4%; animal feed and raw materials reached nearly 436 million USD, an increase of 30%.
Vietnamese agricultural products are popular.
General Secretary of the Vietnam Fruit and Vegetable Association, Dang Phuc Nguyen, said China currently leads the market share of Vietnamese goods. Regarding fruits and vegetables, China's market share of imported Vietnamese fruits and vegetables last year was only 43% of the total turnover.
However, entering 2023, in just the first 9 months of the year, it increased by 22% to 65%. This level is many times higher than the remaining countries in the top 5: the US, Korea, Japan and the Netherlands. This is also the most impressive number in decades.
Mr. Nguyen said that this result is thanks to Vietnam having signed many protocols to export vegetables and fruits to this market officially. In particular, Chinese consumers are especially fond of durian, so the export output of this product increased dozens of times, becoming a billion-dollar product.
Similarly, the CEO of Vina T&T Import-Export Company, Nguyen Dinh Tung, said that China is Vietnam's key market, with the world's largest consumption of goods. When exported officially, with favorable geographical location and fast delivery time, Vietnamese products have exploded and gained a foothold in this market.
Also, according to Mr. Tung, Vietnamese durian exports to China this year could reach 2 billion USD. Vina T&T's durian containers passing through this country are still quite favorable.
According to Ms. Ngo Tuong Vy, General Director of Chanh Thu Fruit Import-Export Group Joint Stock Company, although China is increasingly tightening technical barriers and food safety and hygiene, increasingly high quality, Competitive prices mean Vietnamese fruits are still popular with Chinese consumers.
With the current growth rate, Ms. Vy forecasts that Vietnamese fruit exports will continue to be positive, especially during the holiday season when demand increases sharply.
Beware of losing market share to competitors.
However, Mr. Tung said that the fruit and vegetable industry still needs help in the Chinese market when Vietnamese dragon fruits, grapefruits, and longans compete fiercely with domestic products and exports from many other countries.
In addition, there is a situation where many Vietnamese export products need more quality when there are shipments containing prematurely cut fruit and insect pests. Not to mention, many exported products also need the right growing area code.
Since then, Mr. Nguyen Dinh Tung said that if quality is not improved, Vietnamese goods will easily lose market share in China. Compared to competitors Thailand, India, and the Philippines, Vietnam is a neighboring country with a border bordering China, which is convenient for land and sea exports at much lower costs.
Therefore, if you know how to take advantage of scale, improve quality, and produce products right in China's peak consumption seasons, such as the Mid-Autumn Festival, National Day, and Lunar New Year..., vegetables and fruits in Vietnam can win big in this market.
Mr. Dang Phuc Nguyen recommended that Vietnamese businesses research this market more deeply and fully. Vietnamese authorities need to coordinate with China to continue opening more official imports for fruit and vegetable products, diversify export products, and seek major partners.
In the fourth quarter, the Ministry of Agriculture and Rural Development forecasts that agricultural product exports may set many new records. At a meeting with Chinese Customs earlier this year, Minister Le Minh Hoan identified this as a key market for Vietnam.
In the coming time, Vietnamese fresh coconuts will be exported to China through official channels, and the turnover of agricultural products will continue to explode. In addition, exports of rice, cashew nuts, etc... to this market are favorable when entering China's peak consumption season.
