Vietnam’s Fruit and Vegetable Export Surge: Insights from February 2024 Import/Export Statistics

The fruit and vegetable export sector in Vietnam has proven its resilience and potential for growth despite prevailing economic challenges. Recent statistics from the Import-Export Department under the Ministry of Industry and Trade highlight significant advancements in the industry, signaling opportunities for expansion into global markets.

In January alone, fruit and vegetable exports from Vietnam totaled an impressive US$510 million, marking a notable increase of 24.9% compared to December figures and a remarkable surge of 112.1% compared to the same period last year. These figures underscore the sector’s agility and ability to capitalize on evolving market dynamics.

Reflecting on the achievements of the previous year, 2023, several fruits demonstrated exceptional growth in export volume. Durian exports, for instance, soared by an astonishing 430.1% to reach $2.2 billion, while dragon fruit, banana, jackfruit, and mango exports also recorded significant increases, amounting to $523 million, $242 million, $168 million, and $154 million, respectively. These impressive export figures attest to the diversity and quality of Vietnam’s agricultural produce.

A key driver behind the sector’s growth trajectory is the burgeoning demand from the Chinese market. Vietnam has been actively engaging in negotiations to secure official export channels for additional fruit varieties to China, while simultaneously intensifying efforts to penetrate other lucrative markets such as the United States, European Union, Australia, and the Republic of Korea.

Looking ahead, the Import-Export Department projects that fruit and vegetable exports will continue to soar, with anticipated revenues reaching $6.5 billion by the end of the current year. This optimistic outlook follows a record-setting performance in 2023, where export revenues nearly reached the $5.6 billion mark.

Minister of Agriculture and Rural Development, Lê Minh Hoan, underscores the need for adaptive strategies in response to market dynamics. Emphasizing a market-oriented approach, Minister Hoan stresses the importance of aligning production planning with prevailing market signals to ensure sustained growth and competitiveness in the global arena.

To unlock the full potential of the fruit and vegetable export sector, leveraging existing trade agreements and expanding beyond domestic consumption are imperative. Despite commendable progress, the sector’s market share remains modest, accounting for only 2-3% of the global market. This underscores the untapped opportunities for further expansion and market penetration.

General Secretary of the Vietnam Vegetable and Fruit Association, Đặng Phúc Nguyên, remains optimistic about the sector’s prospects, forecasting a 15-20% expansion in export value for the year 2024. With potential revenues exceeding $6 billion, or even reaching $7 billion, there is ample room for growth and diversification.

However, to realize these ambitious targets, concerted efforts are needed to diversify export offerings and penetrate new markets. In particular, the European Union presents a promising opportunity, with the EU-Vietnam Free Trade Agreement (EVFTA) opening doors for increased trade collaboration.

Ensuring product quality is paramount in accessing high-demand markets such as the EU. Compliance with stringent global standards, including GlobalGap certification, is essential to enhance Vietnam’s competitiveness and reputation as a reliable supplier of premium agricultural produce.

Nguyễn Hồng Lam, Chairman of the Vietnam Association of Circular Agriculture, underscores the importance of developing robust value chains to enhance product quality and stabilize prices. By investing in infrastructure, technology, and sustainable practices, Vietnam can further bolster its position as a leading exporter of fruits and vegetables on the global stage.

Catch the latest in supply chain news on The Supply Chain Report. Visit ADAMftd.com for free international trade tools.

#Vietnam #FruitExport #VegetableExport #Agriculture #GlobalTrade #EconomicGrowth #ExportOpportunities #ChinaMarket #USMarket #EUMarket #TradeAgreements #EVFTA #GlobalGap #SustainableAgriculture #ValueChain #MarketDynamics #AgriExport #AgriculturalResilience #GrowthForecast #QualityProduce