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Promising Outlook for Vietnam’s Agricultural Exports in 2023

In 2023, Vietnam’s fruit and vegetable exports to China are projected to grow by 20-30%, reaching a value of US$4 billion. Vietnamese firms have successfully exported large quantities of premium agricultural products during the Lunar New Year, a positive indicator for the agricultural export sector in 2023, as noted by local experts.

Surging Orders for Vietnamese Agricultural Products Vietnamsourcinghub has been actively preparing durian shipments for China since the Lunar New Year. The recent holiday period [January 22-26] witnessed a doubling in demand, raising the price from VND70,000 (US$3)-80,000/kg to VND130,000-150,000/kg. January saw a 30% increase in fresh fruit exports compared to the same month last year.

Pomelos for the US market and durians for China were significant contributors to this growth. “Our fresh fruit is selling rapidly, leading to daily orders from partners, particularly from China,” Tung said.

Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetable Association (Vinafruit), reported strong growth in fruit exports for January, with an estimated 25% increase compared to the same period in 2022. This growth is attributed to the reopening of China’s borders and trade protocols signed between Vietnam and China in late 2022. This robust performance is expected to propel exports in 2023. Last year, both countries signed four protocols for agricultural product exports, including mangosteen, durian, passion fruit, and banana.

Eleven types of Vietnamese fruits are officially exported to China, such as dragon fruit, watermelon, lychee, longan, banana, mango, jackfruit, rambutan, mangosteen, passion fruit, and durian.

Nguyen emphasized that fruit and vegetable exports to China are expected to grow by 20-30% to approximately $4 billion in 2023, driven by increasing demand in the neighboring country. “Specifically, shipments of dragon fruit and durian may each reach $1 billion this year,” he added.

Rice, a major Vietnamese export, also shows positive signs. Trung An Hi-tech Farming Joint Stock Company has signed numerous export contracts with South Korea, Malaysia, Singapore, Europe, Australia, and the US, extending to the beginning of the second quarter of 2023. Pham Thai Binh, General Director of the company, revealed that nearly 1,500 containers, equivalent to around 30,000 tons, primarily consisting of high-quality and fragrant rice, have been shipped.

Enhancing Quality for International Market Access

Local economists advise that for agricultural products to succeed in international markets, exporters must meet stringent technical requirements, including standardized production and organic practices. Establishing planting zone codes to increase production and control the quality of vegetables and fruits exported to China should also be prioritized.

Tran Thanh Hai, Deputy Director of the Import and Export Department of the Ministry of Industry and Trade, confirmed that Vietnamese agricultural products have ample export growth potential, particularly coffee, pepper, durian, and seafood. However, he also emphasized that companies must adapt to international regulations and laws, understand changes in import and export controls in target markets, and keep up with global consumer needs and trends. Investing in technology for production and enhancing product quality are essential steps for Vietnamese enterprises to meet partner requirements and establish their reputation and brand.

The mindset and capabilities of Vietnamese enterprises have evolved significantly. Many now prioritize improving product quality, food hygiene, safety, traceability, and market standards compliance. This transformation will enable them to generate substantial revenue from international markets in 2023.

Vietnam Sourcing Hub

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