Chinese customers are attracted to Vietnamese agricultural products.

Vietnamese traders are busy collecting agricultural products such as durian, jackfruit, cassava, and cashew nuts for export to China, with prices continuously rising due to increasing demand from that country.

Ms. Nguyen Thi Thuy Linh, a trader specializing in purchasing agricultural products in Tien Giang, said that since the outbreak of the pandemic, this has been the busiest year for her in buying agricultural products. “In previous years, we only dared to buy durian, jackfruit, and mango in limited quantities for domestic sale; now we continuously raise prices just to gather enough goods for export,” she said.

Similarly, Ms. Thanh Mai, an agricultural trader in the Central Highlands, mentioned that despite continuously collecting goods, there is still not enough to meet export demands. Currently, the price of sweet potatoes at the garden is 14,000 VND per kg, and taro is 20,000 VND, which has doubled compared to the same period last year.

Van Xuan Phat Import-Export Company also reported exporting thousands of tons of durian to China every month according to orders from partners. For instance, Vina T&T Import-Export Company has contracts to export 1,500 containers (each container weighing 15 tons) of durian to this market this year.

Additionally, in Binh Phuoc and Dong Nai, many companies are preparing orders to export 500,000-600,000 tons of durian for their Chinese partners.

In addition, Vietnamese rice has also been welcomed by this market after a year of closure due to the “zero Covid” policy. Reports from the Ministry of Agriculture and Rural Development show that rice exports in February to China and the Philippines surged.

According to the Vietnam Food Association (VFA), China, the Philippines, Africa, and Europe are actively purchasing rice for reserves. Many businesses have received large orders from these markets. In the near future, rice exports are expected to continue to prosper as Vietnam holds many advantages while its competitors struggle due to the impacts of inflation and climate change.

Preliminary statistics from the General Department of Vietnam Customs show that agricultural, forestry, and fishery exports to China in the first two months of this year reached 1.27 billion USD, making this country Vietnam’s largest customer, accounting for 20.2% of the total value of agricultural exports.

Mr. Dang Phuc Nguyen, Secretary General of the Vietnam Vegetables and Fruits Association, believes that Vietnamese agricultural products in general and the fruit sector in particular are predicted to accelerate strongly due to increasing demand from the Chinese market.

According to Mr. Nguyen, goods exported to this country are benefiting greatly as the borders between the two countries have been reopened, and Vietnam has signed a protocol for the official export of durian, jackfruit, purple sweet potato, and bird’s nests.

Additionally, after reopening, Chinese businesses have actively sought to find more partners from Vietnam to boost their operations and increase stock in this populous market.

At a forum to promote agricultural products to China in early March, many businesses from that country expressed a strong need to purchase Vietnamese goods. Among them, Mr. To Van Quang – representative of Dong Dang Industrial Investment Co., Ltd. based in Guangxi, stated that the company plans to buy 35,000 tons of durian, of which 15,000 tons will come from Vietnam. The company also has a demand for 120,000 tons of purple sweet potatoes, catfish, mackerel, and other seafood.

According to Mr. Nguyen Hoang Nam, Deputy Secretary General of the Vietnam Association of Seafood Producers and Exporters (VASEP), to further boost exports, Vietnam needs to enhance trade promotion and commercial exchanges between businesses and localities in China. Additionally, authorities should provide quick information about the needs, regulations, and local specifics of the Chinese market to Vietnamese businesses.

For the fruit sector, Mr. Nguyen believes businesses must focus on brand building, brand protection, and thoroughly researching market needs and development trends. Besides ensuring market information transparency, Vietnam should have strategies to improve management of planting areas, breeding areas, and to promote trade facilitation.

He forecasts that exports of fruits to this market of 1.4 billion people will explode, reaching 2.5 billion USD, potentially even touching the milestone of 3 billion USD this year.