09:11 | 07/01/2017 Trade
(VEN) - There are 37,000ha of dragon fruit nationwide with an average output of 630,000 tonnes per year, of which 26,500ha (yielding 500,000 tonnes of fruit annually) are in Binh Thuan Province. Binh Thuan is connecting with major distribution channels to ensure stable sales for dragon fruit.
Binh Thuan has become the biggest dragon fruit producer in Vietnam. More than 10,000ha of dragon fruit in the province have gained the Vietnamese Good Agricultural Practices (VietGap) certification; nearly 1,500ha meet standards for export to the US; 262ha have achieved the Global Good Agricultural Practices (GlobalGap) certification; and 54 dragon fruit purchasers and traders have been certified to meet food safety standards.
Only 15-20 percent of dragon fruit grown in Binh Thuan was sold domestically, with the remaining 80-85 percent being exported. Two to three percent of the exports was sold through official trade, while the rest was sold to China through border trade.
Some enterprises in Binh Thuan have produced dragon fruit syrup and wines, and dried dragon fruit, but their processing technology is still primitive and inefficient. Binh Thuan is calling for domestic and foreign investment in dragon fruit-based products for export and the domestic market.
According to Binh Thuan Province Department of Industry and Trade Director Ngo Minh Kinh, dragon fruit production areas and output have increased because dragon fruit brings in higher economic efficiency than other fruit crops. However, markets and prices of provincial dragon fruit remain narrow and unstable; dragon fruit sales keep being unsustainable and risky, while businesses haven’t been interested in expanding their domestic markets.
Connecting with big distribution channels
At a recent dragon fruit sales promotion conference in Binh Thuan, Deputy Minister of Industry and Trade Ho Thi Kim Thoa said that the rate of domestically distributed dragon fruit has increased from 20 percent in previous years to 30 percent at present. Dragon fruit is Binh Thuan’s strength. It is expected to reach higher sales in both domestic and foreign markets.
The Thu Duc Agriculture Wholesale Market Company in Ho Chi Minh City said that it will send a delegation to Australia to work with Australian importers and negotiate with them opportunities to export Vietnamese fruits, including Binh Thuan’s dragon fruits, to Australia.
In the first 10 months of 2016, the Saigon Co.op system in Ho Chi Minh City distributed 680 tonnes of dragon fruit (mostly from Binh Thuan, Long An and Tien Giang provinces), up by 10 percent from the same period last year.
Binh Thuan Dragon Fruit Association President Tran Ngoc Hiep said that expanding domestic markets will help create stable outlets and prices for dragon fruit.
A number of partners from Guangxi (China) signed contracts with the Binh Thuan Trading Joint Stock Company to purchase up to 200,000 tonnes of dragon fruit per year, equal to 40 percent of Binh Thuan’s annual dragon fruit output.
Binh Thuan is trying to increase trade promotion and marketing activities and attract domestic and foreign distributors in order to increase production and sales, for both domestic and international markets, of the well-known Binh Thuan dragon fruit.