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Fresh fruits and vegetables from Vietnam: Many opportunities for export to Swedish market 

 Tuesday, December 10,2024

AsemconnectVietnam - Sweden is considered a potential market for fresh fruits from Vietnam as demand for importing this product has been increasing recently.

Potential market for Vietnamese fruits and vegetables
Talking to reporters of Industry and Trade Newspaper, Ms. Nguyen Thi Hoang Thuy - Director, Head of Vietnam Trade Office in Swedish market, concurrently in charge of Northern Europe region, informed that on December 11, 2024 (Swedish time), Vietnam Trade Office in Sweden attended workshop "Understanding Swedish Fresh Fruit and Vegetables Market" organized by National Board of Trade Sweden. Workshop focused on providing information on import situation, consumption trends and requirements of Swedish market for fresh fruits and vegetables.
Information after workshop, Ms. Nguyen Thi Hoang Thuy said that Sweden is in the Northern Europe region - a small country but has a high income with an open and modern economy. Sweden is a market with great potential for Vietnamese fruits and vegetables due to its dependence on imported supplies. The country’s fruit and vegetable imports were expected to reach around 1 million tonnes per year by 2021. However, in 2023, imports drop to 887,000 tonnes due to inflation and declining consumer demand. However, import share from developing countries has increased to 24%, equivalent to 215,000 tonnes, opening up opportunities for countries like Vietnam.
Currently, the Swedish market is dominated by large supermarket chains such as ICA, Coop and Axfood, accounting for nearly 20% of total food retail sales, equivalent to EUR 5.2 billion in 2023. In addition to retail channel, food service providers (restaurants, hotels, catering services) and industrial processors such as Brämhults and Råsaft also play an important role. Helsingborg is currently the largest distribution center for imported goods, helping to circulate products throughout the Swedish market.
“Difference in seasonality is a great advantage for Vietnamese businesses. While Sweden is self-sufficient in some products such as cucumbers in the summer, from October to May, import demand increases sharply from countries with temperate and tropical climates. This is an opportunity for fresh Vietnamese fruits and vegetables, such as dragon fruit, mango, passion fruit and other fruits, to dominate market during this “off-season” period,” said Ms. Nguyen Thi Hoang Thuy.
In addition, trend of sustainable consumption is increasingly dominant. Sweden is the 6th largest importer of organic products in Europe. Currently, more than 50% of organic fruits and vegetables must be imported, with bananas being a typical product when more than 60% of total imported bananas are certified organic. This is a potential market but also requires exporters to meet international standards such as GLOBALG.A.P, Fairtrade and strict food safety requirements.
What are opportunities for Vietnamese businesses?
Although it is one of the world's leading fruit and vegetable exporting countries, currently, Vietnamese fruits and vegetables still account for a small proportion in Sweden. In addition to strict requirements, Swedish market is far away, which will affect transportation costs, reducing competitiveness.
Ms. Nguyen Thi Hoang Thuy affirmed that despite many challenges, Sweden and EU are potential markets for Vietnamese fruit and vegetable exporters. By meeting international standards and building appropriate access strategies, Vietnamese enterprises can completely increase market share and affirm their position in this potential market. Not to mention, Sweden is a market that is willing to pay high prices for products, this is an opportunity for fruits and vegetables to increase export opportunities. Vietnamese fruits and vegetables still have opportunities in niche markets with specific products.
Accordingly, Ms. Nguyen Thi Hoang Thuy recommended that businesses need to focus on improving product quality and standards: Ensuring compliance with food safety requirements, sustainability certification and clear labeling in Swedish. In addition, focus on developing organic products by capturing sustainable consumption trends, especially products with international certifications such as GLOBALG.A.P and Fairtrade.
Businesses also need to focus on studying seasonal cycle when exporting fruits and vegetables in low season of Sweden to optimize market access opportunities. At the same time, build relationships with key importers such as Dole/Everfresh, ICA and Ewerman through trade exhibitions such as Fruit Logistica and Fruit Attraction.
In addition, developing export fruit and vegetable products through organic agriculture is an inevitable trend that Vietnam needs to follow to compete in the world market, especially in demanding markets such as Northern Europe. Applying technology to agriculture not only helps optimize production but also minimizes costs and increases productivity.
Source: Vitic/ congthuong.vn

Vietnam's Minister of Construction Nguyen Thanh Nghi and Cuba's Minister of Agriculture Ydael Jesus Perez Brito discussed strengthening collaboration in rice production at a meeting in Hanoi on December 9.

Nghi emphasised that as the agency in charge of the Vietnamese subcommittee of the Vietnam - Cuba Intergovernmental Committee, the Ministry of Construction (MoC) has made consistent efforts to facilitate economic, trade, and investment cooperation between the two nations, with agriculture being a key priority.

Vietnam is currently supporting Cuba with three projects, namely a project on rice production development for the 2019 - 2025 period, and the other two on aquaculture and maize production for 2023 - 2025 period.

The Vietnamese Government has tasked the Ministry of Agriculture and Rural Development (MARD) with developing a proposal for a new Vietnam - Cuba rice production cooperation project for the 2025 - 2027 period. This initiative aims to establish an effective agricultural cooperation model to help strengthen Cuba's food security, he said.

The MoC has expedited procedures to supply rice for Cuba as agreed upon by leaders of both countries. Additionally, it is actively encouraging Vietnamese enterprises, such as Agri-VMA Co. Ltd. to invest in agricultural production in Cuba. It is also supporting the Thai Binh company in preparing a feasibility study for a project on rice, soybean production, soybean oil processing, and livestock farming in the Caribbean nation.

The minister asked the Cuban Ministry of Agriculture to collaborate closely with Cuban agencies and the MARD to address obstacles faced by Vietnamese businesses investing in agriculture in Cuba. He also highlighted the need for joint efforts to implement the countries' high-level agreements and tackle specific issues such as land use, labour policy, material importation, taxation, and foreign exchange.

For his part, Minister Perez Brito shared that Cuba had established a working group led by Deputy Prime Minister Ricardo Cabrisas Ruiz to oversee the implementation of bilateral agreements.

To meet the annual domestic demand of 600,000 tonnes of rice, Cuba proposed increasing its rice cultivation area from 20,000ha to 100,000ha, he said, noting that it now has 200,000ha available for rice farming, and all conditions from human, seedlings, infrastructure to irrigation systems, machinery, and transport are also ready.

The Cuban minister expressed confidence in the success of the cooperation projects, anticipating that they will attract more Vietnamese businesses to invest in Cuba.

He highlighted the strong measures Cuba has implemented to support Vietnamese investors, including granting the land use right free of charge and permitting Vietnamese enterprises to directly recruit Cuban workers—marking the first time such initiatives were offered to foreign investors in Cuba.

Cuba's Ministry of Agriculture expressed the hope that the MoC will advocate some policies supporting Vietnamese enterprises investing in Cuba.

Nghi acknowledged the positive progress achieved so far and called for continued efforts to overcome remaining challenges, ensuring the successful implementation of Vietnamese firms' rice production projects in Cuba.

Regarding Cuba's proposal to expand the rice cultivation area, Nghị emphasised the importance of successfully completing the initial phase to encourage other companies to engage in production expansion. He also recommended that Cuba consider adopting multi-crop farming techniques, drawing on Vietnam's expertise, to boost rice yields.

He pledged that the MoC will continue working with relevant agencies to propose favourable policies and create conditions for the success of the rice production cooperation./

Source: en.vietnamplus.vn/vietnam-cuba-enhance-cooperation-in-rice-production-post306398.vnp.
 

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