The export value of vegetables and fruits in the first days of 2024 is one of the bright spots. Specifically, from the beginning of the year to February 15, 2024, fruit and vegetable export value reached 633 million USD, an increase of more than 57% over the same period last year. In 2023, vegetables and fruits will be the export commodity group with the most impressive growth rate, with a record turnover of 5.69 billion USD, an increase of 69.2% compared to 2022. This is also one of the export products. Export recorded strong growth.
*: Lũy kế từ đầu năm tới 15/2 Nguồn: Tổng cục hải quan, Hiệp hội rau quả Việt Nam, Kirin Capital tổng hợp
01 | Many fruit and vegetable products are officially exported to very potential markets
The durian export protocol between Vietnam and China was signed in July 2022, allowing Vietnamese durian to be exported officially to China. This increased the export value of durian in 2023 to 2.2 billion USD and made this product the most significant export value. Until now, Vietnam has several fruit and vegetable products, such as dragon fruit, longan, rambutan, mango, jackfruit, watermelon, banana, mangosteen, lychee, passion fruit, and durian, officially exported to China. In addition, Vietnam still has several other fruit products, such as grapefruit and coconut, in the negotiation process. In particular, with about 200,000 hectares of coconut-growing area, Vietnam is among the world’s Top 10 largest coconut-growing countries. This will bring great value to this Vietnamese product when exported to China.
02 | An advantage of Vietnam: Ability to produce vegetables and fruits all year round with very diverse types of vegetables and fruits
Vietnam has an area of fruit trees growing up to 1.2 million hectares. Among them, some key products are growing in large areas. For example, the whole country has more than 112,000 hectares of durian, concentrated in some main regions such as the Central Highlands with more than 52,000 hectares (about 47%), the Mekong Delta with 33,000 hectares (about 30%), and the Southeast with 21,000 hectares ( about 19%); about 200,000 hectares of coconut; 55,000 hectares of dragon fruit; 154,000 hectares of bananas; 115,000 hectares of mango…
03 | Many FTAs have been and are being negotiated
Vietnam has signed 16 FTAs, including markets requiring high processes and techniques, such as the EU, Australia, and Japan… and 3 FTAs are in the negotiation process. Thanks to that, fruit and vegetable exports have advantages due to preferential tariffs, increasing the competitiveness of Vietnamese businesses.
Kirin Capital assesses that Vietnam’s fruit and vegetable export potential in 2024 is huge, especially key products such as durian, coconut, banana, mango, dragon fruit… In addition, VietGap’s standard technical processes, GlobalGap…, are being focused on, which will open up opportunities for many Vietnamese fruit and vegetable products to be exported to other major markets such as China, the US, and the EU…
Kirin Views is the second series of Kirin Capital towards the goal of “Know Vietnam, Long Vietnam”. This column provides Kirin’s observations and opinions on Vietnamese market through in-depth research driven by an expert team with decades of experience, assisting investors at home and abroad in better understanding the potential opportunities of Vietnam and join hands with “Know Vietnam, Long Vietnam”.