Vegetable and fruit exports expected to hit $4 billion this year

Vietnam's fruit and vegetable export turnover has risen 29% year-on-year to US$1.9 billion in the first five months of this year, enabling the sector to reach US$4 billion in exports in 2023, according to the Ministry of Agriculture and Rural Development (MARD).

Fruit and vegetable exports grossed US$982 million in the first quarter of this year, up 16.2% compared to the same period in 2022, with sales to the Chinese market showing impressive growth. China imported $805 million worth of Vietnamese products, accounting for 80% of the market share.

MARD stressed that in foreign markets, including China, Vietnamese fruits face stiff competition from rivals from Thailand, Cambodia, and the Philippines. "Export prospects in the second half of the year will be better as many countries favor Vietnamese agricultural products," it added.

Vietnamese durian for exporting. Photo: congthuong.vn

Dang Phuc Nguyen, general secretary of the Vietnam Fruit Association (Vinafruit), said durian was a major contributor to the impressive export results in the first months of this year. The fruit's export value is expected to reach $1 billion, contributing to the sector's target of $4 billion this year, up 20% year-on-year.

Vietnam's fruit and vegetable exports to China fell sharply in 2022 due to the impact of China's Zero-Covid policy. This was the first time the sector experienced a sharp decline in export turnover, with the Chinese market accounting for less than 50% of the total export value.

Now that China is wide open, Vietnam's fruit and vegetable exports to this country are making a strong comeback. In the first quarter, the exports to China reached $576 million, accounting for 58.7% of the total fruit and vegetable export value, up 27% on year.

"Fruit and vegetable export will be very positive if Vietnamese enterprises meet the requirements of the Chinese market in terms of Good Agricultural Practices (GAP). The export value will rapidly grow this year and the following years," Nguyen said.

Nguyen Xuan Cuong, Director of the MARD's Department of Plant Production, said that besides China, it is also necessary to step up trade promotion activities in other markets such as the US, EU, New Zealand, Japan, and Australia.

"In recent years, processed fruit and vegetable exports have been growing. Last year, the export value of these products exceeded $1 billion for the first time, accounting for nearly 30% of the total export value of fruits and vegetables. To be precise, we earned nearly $3.4 billion from fruit and vegetable exports in 2022," Cuong added.

He said processors should invest and adopt advanced technologies to improve the export value and gain a firmer foothold in choosy markets like the US and EU.