Vegetable, fruit exports: A sweet and sour challenge

Vietnamese green-skinned pomelos were officially licensed for export to the US, becoming the seventh Vietnamese fruit to penetrate this market

The 50th biggest fruit and vegetable exporter to the EU

According to the Ministry of Industry and Trade, the EU represents 43 percent of the global trade in fruits and vegetables, and offers great opportunities for Vietnamese fruit and vegetable exports. The EU is committed to opening the door to Vietnamese fruits and vegetables by eliminating 94 percent of the 547 tax lines on fruit and vegetable products under the EU-Vietnam Free Trade Agreement (EVFTA), boosting the competitiveness of Vietnamese produce against those from Thailand and China.

Spain and the Netherlands were the two largest fruit and vegetable exporters to the EU in 2022, accounting for 31.97 percent of its fruit and vegetable import value. Vietnam became the 50th biggest fruit and vegetable exporter to the EU last year, representing 0.2 percent of the bloc’s fruit and vegetable import value. In 2022, Vietnam exported 211.2 million euros (US$228.1 million) worth of fruits and vegetables to the EU, up 34.7 percent from 2021.

Vietnam exported vegetables and fruits worth US$3.37 billion in 2022 and US$592 million in the first two months of 2023, up 17.8 percent from the same period last year. China was the biggest importer of Vietnamese vegetables and fruits (accounting for 57.5 percent of the total), followed by the US, Japan, and the Republic of Korea (RoK).

Vietnamese fruit exports have been welcomed by import markets, including passion fruit, durian and banana exported to China, pomelo sold to the US market, green lemon and grapefruit exported to New Zealand, and fresh longan to Japan.

Processing pineapple for export

Large markets

Experts say that Vietnam has advantages in exporting fruits and vegetables given the growing world demand and Vietnam’s ability to grow them year-round, but it is challenged by the increasingly high standards of markets in the US, Japan, the RoK, and Australia. China has also adopted the same requirements since 2018. Vietnamese mango officially obtained a license to enter the US market after 10 years of negotiation. Meanwhile, the EU allows all Vietnamese produce imports, most of which are checked for import standard satisfaction. Any substandard products are rejected and destroyed.

However, Vietnamese fruit and vegetable exporters still lack market information and find it difficult to access distribution channels of importing countries.

Produce growers and exporters need to innovate farming methods and improve product quality, and increase intensive processing to add value to their products. They also need to make effective use of free trade agreements (FTAs) to boost exports. Vietnamese authorities need to have plans to negotiate market openings for the country’s potential produce, strengthen trade promotion, diversify forms of commerce on digital platforms, and promote information technology application to increase produce supply-demand connection.