09:18 | 15/10/2018 Trade
(VEN) - Following decreases in volume and value in January, fertilizer exports have resumed their growth. In the first seven months, exports to markets that saw increases in volume accounted for 66.6 percent of the total, while exports to markets that saw decreases accounted for 33.3 percent.
According to the Ministry of Industry and Trade’s Vietnam Industry and Trade Information Center, Vietnam exported 77,700 tonnes of fertilizer in July 2018, up 18.8 percent in volume and 29.7 percent in value compared with July 2017. In the first seven months, exports reached 554,800 tonnes in volume and US$180.8 million in value, up 3.2 percent and 20.5 percent, respectively, compared with the same period last year.
Southeast Asian countries are major importers of Vietnamese fertilizer. In the first seven months of this year, Vietnam exported 376,000 tonnes worth US$118.1 million to these markets, up 5.93 percent in volume and 17.96 percent in value compared with the same period in 2017. The average export price was US$326 per tonne, up 6.5 percent.
Cambodia, in particular, is a key export market of Vietnamese fertilizer. In the first seven months of 2018, it imported 227,100 tonnes worth US$78.7 million, up 13.42 percent in volume and 21.18 percent in value compared with the same period last year. Malaysia ranked second, with 84,600 tonnes worth US$16.9 million, up 11.16 percent in volume and 22.27 percent in value, followed by the Philippines, Laos and the Republic of Korea.
Exports to Japan more than doubled in volume and rose 4.23 times in value, reaching 7,000 tonnes and US$2.7 million, respectively. Exports to Chinese Taipei also grew considerably, 61.16 percent in volume and 60 percent in value, reaching 1,700 tonnes and US$513.4 million, respectively.
According to the Binh Dien Fertilizer Joint Stock Company, the company has promoted exports to Cambodia and paid special attention to ensuring product quality. Its annual sales volume has increased from 2,000 tonnes in 2002 to 100,000 tonnes at present. The company has also transferred advanced farming techniques to Cambodian farmers. The Phu My Fertilizer Plant is promoting urea fertilizer exports to Malaysia, Myanmar and Thailand. It has won consumer trust in discerning markets, such as New Zealand and Jordan.
According to the Ministry of Industry and Trade’s Vietnam Chemicals Agency, fertilizer businesses need to restructure production and concentrate on boosting exports. To do so, they need better technology to ensure product quality and reduce production costs to enhance competitiveness. Businesses should make the most of their manufacturing capacity and promote research to create new products. They should concentrate on manufacturing products of high added value for export.
The Vietnam Fertilizer Association has advised businesses to concentrate on boosting exports and domestic sales simultaneously to restrict the adverse impact of fierce competition in the domestic market.