Fruit and vegetable exports could exceed $6.5 billion in 2024

Fruit and vegetable exports make their mark from the first days of the year

In the first half of January 2024, the country's fruit and vegetable export turnover continued to make its mark. According to the General Department of Customs, the total fruit and vegetable export turnover in the first 15 days of 2024 reached 229.37 million USD, an increase of 50% over the same period in 2023 (January 2023 reached 240.47 million USD).

Speaking to Lao Dong on the evening of January 21, 2024, Mr. Dang Phuc Nguyen - General Secretary of the Vietnam Fruit and Vegetable Association affirmed: Durian is still the "trump card" item this year, especially thanks to the Protocol on frozen durian exports, this item alone will bring in about 3.5 billion USD - nearly equal to the total annual fruit and vegetable export turnover of the previous period. In addition, the Protocol on fresh coconut exports will also boost fruit and vegetable exports.

Durian will set a new record with total export turnover of about 3.5 billion USD this year. Photo: Vu Long

"With the addition of the Protocol on frozen durian and fresh coconut, the export turnover in 2024 will certainly exceed 6.5 billion USD," Mr. Dang Phuc Nguyen emphasized.

Another "bright spot" for Vietnam's fruit and vegetable exports is that from the end of 2023, the Ministry of Agriculture and Rural Development (MARD) of Vietnam and the General Administration of Customs of China signed a Protocol on phytosanitary requirements for fresh watermelons exported from Vietnam to this market.

"The total annual export turnover of watermelon is about 50 million USD, when the Protocol is in place it will increase to 70-80 million USD" - Mr. Dang Phuc Nguyen informed.

However, the Vietnam Fruit and Vegetable Association said that the total export value of watermelon is not large, the main products are still durian, fresh coconut, dragon fruit, jackfruit, banana, mango, passion fruit, grapefruit...

"Coconut exports alone promise to bring in 500-600 million USD this year if the Protocol is signed," Mr. Dang Phuc Nguyen further emphasized.

Boosting exports to China to reduce logistics costs

Due to the fluctuations in the Red Sea, currently, a series of major shipping lines such as Yang Ming Line, One, Evergreen Line, HMM, Maersk... have sent notices that they will collect additional surcharges due to having to change the shipping routes of Asia - Europe (EU), avoiding going through the Suez Canal and the Red Sea area.

Accordingly, from January 2024, the fare to the US, Canada and EU will increase sharply compared to December 2023. Accordingly, the fare to the West Coast (LA - USA) will increase by 800 USD - 1,250 USD, depending on the route. In December 2023, this fare will be at 1,850 USD, increasing to 2,873 - 2,950 USD for January 2024.

"The impacts from the Red Sea will cause many difficulties when exporting to Europe and the US, but will strongly promote China's exports," said Mr. Dang Phuc Nguyen.

Currently, specialized agencies of the Ministry of Agriculture and Rural Development are coordinating with the General Administration of Customs of China (GACC) to urgently complete the dossier to open the market for 6 products: citrus fruits (grapefruit, oranges, tangerines, etc.), coconuts, frozen durian, chili, medicinal herbs and wild-caught seafood.

When these 6 products are officially exported, it will create room for billions of dollars in revenue growth for the agricultural sector.

"Fruit exports to the Chinese market are expected to increase sharply in 2024, creating favorable conditions for businesses. The forecast that fruit and vegetable exports will reach over 6.5 billion USD in 2024 is completely reasonable," Mr. Vu Tuan Anh - Chairman of JCI Vietnam emphasized.

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