Fruit market update: Q1 earnings from fruit, vegetables up 11 pct amid sluggish exports
Wednesday, April 5,2023AsemconnectVietnam - Vietnam earned 935 million U.S. dollars from exports of fruit and vegetables in the first quarter this year, 10.6 percent higher than a year earlier, in defiance of a gloomier forecast for the country's export-led economy, according to the country's General Statistics Office.
Fresh produce exports, a key source of hard currency for the Southeast Asian country, has shown resilience in the face of sluggish exports which curbed the country's economic expansion in the first quarter, said the Vietnam Fruit & Vegetable Association (Vinafruit).
Shipments of fruit and vegetables to China, which normally accounts for up to 60 percent of Vietnam's total annual earnings, grew the most in the period at around 23 percent, according to the association.Vietnam aims to promote durian as the key fruit to boost its export value to 1 billion U.S. dollars after durian exports boomed to a record high of 420 million U.S. dollars in 2022, largely as a result of the rapid growth of demand in China, Vinafruit general secretary Dang Phuc Nguyen said.
Durian to make breakthrough for Vietnam's fruit exports
The export of Vietnamese durian to China through the official channel since September 2022 opened up new prospects for Vietnam's fruit and vegetable industry.
According to statistics from the Ministry of Agriculture and Rural Development (MARD), Vietnam has over 100,000ha of durian with an annual output of about 1.3 million tonnes. However, only 3,000ha (3 per cent) of the total meet standards for export to China.
The Mekong Delta province of Tien Giang and the Central Highlands province of Dak Lak have the largest durian areas meeting export standards in the country.
According to the Deputy General Director of Dung Tha So Import-Export Company, Vu Ngoc Huy, China is a large market with a strong durian consumption capacity.
The firm can export 500,000 tonnes of fresh durian per year, accounting for over one-third of the total durian output of the country, Huy said.
La Tran Vinh, Director of Vinh Khang Co-operative in Tien Giang, said the cooperative had worked with farmers in Mekong Delta localities such as Tien Giang, Can Tho, Vinh Long, and Ben Tre, and the Central Highlands province of Dak Lak to grow a total of over 100ha of the fruit.
Total export turnover of dragon fruit reached more than 47 million USD
According to the Ministry of Agriculture and Rural Development, so far this year, the country’s total dragon fruit export turnover has reached more than 47 million USD, down 48.7% over the same period last year.
Vietnamese dragon fruit is being exported to more than 40 countries and territories. In which, China, India, the US, Thailand, the Netherlands, and Japan are the biggest importers of Vietnam’s dragon fruit. However, in the first 2 months of 2023, a number of Vietnam’s dragon fruit import markets decreased sharply; Specifically, export turnover to Korea decreased by 25.9% and Japan by 35.4% over the same period last year.
Despite difficulties in the first months of the year, it is forecasted that dragon fruit exports will be more favorable in the coming time, because China who is the biggest market for Vietnamese dragon fruit has reopened its door. The Chinese market is accounting for about 60-70% of Vietnam’s total dragon fruit export turnover. In 2023, the Ministry of Agriculture and Rural Development aims that dragon fruit exports worth more than 1 billion USD.
The Import-Export Department (Ministry of Industry and Trade) quoted statistics from the General Department of Customs as saying that in the first two months of 2023, Vietnam’s export value of vegetables and fruits reached 564.95 million USD, up 12.4% compared with the same period in 2022.
In particular, the increase in export value to the Chinese market is the main factor promoting the positive growth of fruit and vegetable exports in the context of a sharp decline in many key export products.
Dong Nai is the capital of exported bananas
Dong Nai has the largest growing area for export banana in the country. These are the main crops of the province with the area increasing rapidly in recent years because of its high profit. Plantains tree is also one of the top fruit crops in the province for export when Dong Nai exported over 400,000 tons of bananas in 2022. The province is replicating large-scale concentrated farming areas, applying new techniques and technologies to production to meet the increasing requirements of the export market.
Top in terms of profit
Currently, Dong Nai is leading the country in terms of bananas growing area, accounting for 8.5% of the national area and 71% of the Southeast region. Bananas in Dong Nai are harvested all year round, focusing on the main crop from September to May next year. The total output is estimated at about 350,000 tons, of which the rate of fresh fruits is 15% for domestic consumption, 5% for processing, and 80-85% for export.
T.Huong
Source: Vitic
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