According to preliminary statistics from the Vietnam Pepper and Spice Association (VPSA), Vietnam imported 245 tonnes of cinnamon in July, valued at approximately $0.7 million, reflecting a 13.1% decrease in volume compared to the previous month.
Over the first seven months of the year, the country imported 2,979 tonnes of cinnamon, with a turnover of over $7.1 million, marking a 75.2% decline compared to the same period last year. Major sources of these imports include Indonesia and China, contributing 1,299 tonnes and 1,242 tonnes, respectively.
Cinnamon is widely cultivated in Vietnam, China, Indonesia, and Sri Lanka, serving as a crucial livelihood for many ethnic minority households in remote regions and contributing to the socio-economic development of these areas.
Cinnamon is versatile, used in a variety of industries including food, medicine, and agriculture. Despite Vietnam’s rich diversity in medicinal resources, the export turnover from these goods remains low, primarily due to the lack of a structured development plan for medicinal plants, leading to sporadic production and consumption issues.
In 2023, Vietnam exported nearly 90,000 tonnes of cinnamon, generating over $260 million in revenue. This reflects a 14.6% increase in volume but a 10.7% decrease in value compared to 2022. Key export markets include India, the United States, and Bangladesh.
Global demand for spices, including cinnamon, continues to rise, driven by the food industry and the pharmaceutical, cosmetic, and functional food sectors. Vietnam has responded by investing in modern processing facilities to meet this growing demand.
Vietnam’s cinnamon growing area spans approximately 180,000 hectares, with reserves estimated at 900,000 to 1.2 million tonnes. The country is a leading global exporter of cinnamon, with a turnover exceeding $292 million in 2022. Despite strong domestic production, Vietnam also imports cinnamon from neighboring countries for re-export.
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