Vietnam fruit market update mid-July 2024
Wednesday, July 24,2024AsemconnectVietnam - Vietnam, which spans both tropical and temperate climate zones, increased its January-July fruit imports by 12.7% year-on-year to $1.2 billion, with apples, pears, pomegranates, grapes, and plums leading the fray, an industry insider says.
Dang Phuc Nguyen, the general secretary of the Vietnam Fruit and Vegetable Association, explained that these imported fruits are either not grown domestically or produced in very limited quantities within the country.
The fruit imports were mainly from China ($397 million, up 27%), the U.S. (about $206 million, up 14%) and Australia (about $57 million, up 76.6%), followed by South Korea, Japan, and Thailand.
Nguyen said fruit imports are increasing to meet domestic market demand for fruits that are not produced in the country, particularly on a large scale.
Meanwhile, fruit exports in the first seven months of the year topped $3.8 billion, up 23.4% year-on-year.
China was the biggest buyer of Vietnamese fruits and vegetables last year at more than $3.7 billion, up 149% year-on-year and more than $2 billion over the 2022 figure, according to Vietnam's customs data.
Fruit and vegetable export estimated to to reach more than 3.8 billion USD in January-July
According to information from Vietnam Fruit and Vegetable Association, in the first 7 months of 2024, Vietnam's fruit and vegetable export turnover is estimated to reach more than 3.8 billion USD, an increase of 23.4% over the same period in 2023. In the top 10 import markets of Vietnamese fruits and vegetables, most of them grew from 15% to 96%. China is still the largest market, accounting for 64% of total export turnover with 2.1 billion USD in the first half of this year, up 22% over the same period. The next is South Korea with 164 million USD and the US with more than 157 million USD, up 55% and 33% respectively.
In particular, Thailand - a competitor of Vietnam in exporting fruits and vegetables to China - also increased its purchases of Vietnamese goods, reaching 97 million USD in the first 6 months of this year, nearly double that of the same period last year.
Durian, banana and dragon fruit are the main products contributing to growth in export turnover in the first 7 months of the year.
US$1.3 billion from durian exports in first half
Durian emerged as Vietnam’s top fruit export with turnover reaching over US$1.3 billion in the first half of the year, representing a year-on-year rise of nearly 45%, according to statistics released by the General Department of Vietnam Customs. Most notably, the durian export price also increased sharply throughout the reviewed period, ranging from between US$4.3 to US$4.5 per kilo depending on the trading time.China became the largest importer, spending US$1.22 billion on Vietnamese durian, up 46% year on year. This was followed by Thailand that purchased US$47 million worth of the product, up 90.5%.Along with these two major markets, Japan and Cambodia also spent US$2.6 million and US$1.6 million on importing Vietnamese durian, representing two-fold and 23-fold rises, respectively, compared to the same period last year.
Dang Phuc Nguyen, general secretary of the Vietnam Fruit and Vegetable Association, emphasised that the durian crop in the Central Highlands from July to October is expected to help durian exports gross US$3 billion this year, making a significant contribution to Vietnamese fruit and vegetable exports.
Lychee sold well in Australia
The wholesale price of the Vietnamese fruit at Costco stores in Adelaide city is 18.99 AUD per kilo, while the retail price via electronic platforms in Sydney and Melbourne is about 35 AUD per kilo.
Lychee, one of Việt Nam’s major export fruits, has been sold well at Costco stores in Western Australia and South Australia, according to the Việt Nam Trade Office in Australia.
The tropical fruit was introduced to Australian consumers at Costco stores in the two Australian states on July 20 by the Việt Nam Trade Office and 4waysfresh, a privately owned company that supplies vegetables and fruits directly to food processing companies and major supermarkets in Australia.
The fruit has been sold out after hitting the shelf of a Costco store in Perth, Western Australia, said the Trade Office.
Melons on their farms in Bac Bin
Soleil Farm grows melons on their farms in Bac Bin, Binh Province in Vietnam. This region has many sunshine hours and good soil. The company has invested in building greenhouses here.
There are two main varieties: SunOrange a Pansy orange flesh melon and SunGold a pansy orange flesh yellow skin melon, and due to the climate and good growing conditions there can be four crop cycles in one year. In recent years, Vietnamese consumers have begun to pay more attention to their health. They invest a lot of money and time in products which are healthy, especially fruit which is full of vitamins.
Declining Prices of Musang King and Black Thorn Durians in Vietnam
The prices of Musang King and Black Thorn durians in Vietnam’s Ho Chi Minh City have been declining recently. The retail prices of Musang King durians in fruit stores have been fluctuating between 250,000 and 300,000 Vietnamese dong ($9.87–11.84) per kilogram, a 50% drop compared with the same period of last year. Meanwhile, the prices of Black Thorn durians are slightly higher, with retail prices ranging from 350,000 to 450,000 dong ($13.81–17.76) per kilogram, representing a 30% year-on-year decrease.
The varieties most favored by durian exporters are Monthong (also known as “golden pillow”) and Ri6, with Musang King and Black Thorn being only rarely purchased. On July 14, a durian export warehouse in Dak Lak province quoted first-grade Monthong at 96,000–99,000 dong ($3.79–3.91) per kilogram and second-grade Monthong at 76,000–79,000 dong ($3.00–3.12) per kilogram. The prices of Musang King were even lower than those of Monthong, with first-grade fruit at 88,000–92,000 dong ($3.47–3.63) per kilogram and second-grade fruit at 68,000–72,000 dong ($2.68–2.84) per kilogram. According to growers, the farm gate price for a typical 4-kilogram Black Thorn durian, which reached up to 2 million dong ($78.94) per fruit last year, has fallen by 40% this year to only 1.2 million dong ($47.37) per fruit.
T.Huong
Source: Vitic
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