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Vietnam's Agricultural Exports Have Great Potential in Algeria

Vietnam's Agricultural Exports Have Great Potential in Algeria

Vietnam's agricultural exports to Algeria have maintained an upward trend in recent years, but the product structure still heavily relies on a few key items. Many products with strong potential from Vietnam have yet to be fully explored in the North African market.

Currently, the main agricultural exports from Vietnam to Algeria include coffee, cashew nuts, pepper, rice, dried coconuts, and various seafood products. Coffee, in particular, accounts for a significant portion of the export value, sometimes reaching about 80-85% of total exports from Vietnam to Algeria.

Despite the growing variety of goods, the export activities are still significantly dependent on a few main products and are affected by Algeria's import management policies. For instance, rice, one of Vietnam's strong agricultural export products, has seen a notable decline in presence in the Algerian market in recent years, almost disappearing from retail systems.

According to Mohamed Nabil, a trade advisor at the Algerian Import-Export Forum (AFIETI), Vietnamese businesses need to better understand Algeria's import management mechanisms and proactively adapt their market approaches to expand their market share. He noted that the Algerian market currently consumes mainly three types of rice: glutinous rice, basmati rice, and white rice, with glutinous and white rice being regulated by Algeria's Grain Agency (OAIC).

Furthermore, Nabil emphasized that many other agricultural products from Vietnam also have significant potential in Algeria. For example, coffee consumption is considerable, but Vietnamese products need stronger promotion to increase their visibility and market share.

He pointed out that the commercial presence can significantly influence market expansion. Although Vietnam offers tea products that align well with Algerian consumer preferences, China currently holds a competitive advantage due to its proactive establishment of networks with local businesses and importers.

Nabil suggested that Vietnamese companies should consider investing in production or processing in Algeria for products with market potential. In the context of changing global supply chains, merely exporting finished products to foreign markets is increasingly revealing its limitations. Companies need to enhance their presence and engage more deeply in value chains to create added value in local markets.

To facilitate better trade exchanges, enhancing cooperation mechanisms at the government level could significantly benefit bilateral trade. Nabil recommended that Vietnamese businesses increase direct trade promotion activities and frequently send representatives to Algeria to seek partners and understand the market better, rather than relying solely on remote export transactions.

In conclusion, while there is still substantial room for expanding Vietnam's agricultural exports to Algeria, increasing export value will depend not only on production capacity and pricing but also on the ability to adapt to import management mechanisms, develop partner networks, and enhance market presence.

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