Fruit and vegetable exports could exceed $6.5 billion in 2024.

Fruit and vegetable exports have made a strong impression since the beginning of the year.

In the first half of January 2024, the country's fruit and vegetable export turnover continued to make a mark. According to data from the General Department of Customs, the total export turnover of fruits and vegetables in the first 15 days of 2024 reached US$229.37 million, an increase of 50% compared to the same period in 2023 (US$240.47 million in January 2023).

Speaking with Lao Dong newspaper on the evening of January 21, 2024, Mr. Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetable Association, affirmed that durian remains the "trump card" this year. In particular, thanks to the Protocol on the export of frozen durian, this item alone will bring in approximately 3.5 billion USD – nearly equal to the total annual export value of fruits and vegetables in previous years. In addition, the Protocol on the export of fresh coconuts will also strongly boost fruit and vegetable exports.

Durian is expected to set a new record with total export revenue of approximately $3.5 billion this year. Photo: Vu Long

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

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

"The total annual export value of watermelons is approximately 50 million USD, and with the Protocol in place, it will increase to 70-80 million USD," Mr. Dang Phuc Nguyen informed.

However, the Vietnam Fruit and Vegetable Association believes that the total export value of watermelons is not large, and the main export items are still durian, fresh coconut, dragon fruit, jackfruit, banana, mango, passion fruit, pomelo, etc.

"Specifically, coconut exports are expected to bring in $500-600 million this year if the Protocol is signed," Mr. Dang Phuc Nguyen further emphasized.

Boosting exports to China to reduce logistics costs.

Due to the changes in the Red Sea, a number of major shipping companies such as Yang Ming Line, One, Evergreen Line, HMM, Maersk, etc., have announced that they will be charging additional surcharges because they have to change the routes on Asia-Europe (EU) lines to avoid the Suez Canal and the Red Sea region.

Accordingly, from January 2024, airfares to the US, Canada, and the EU will increase significantly compared to December 2023. Specifically, fares to the West Coast (LA - US) will increase by $800-$1,250, depending on the route. In December 2023, this fare was $1,850, rising to $2,873-$2,950 in January 2024.

"The impacts from the Red Sea will create many difficulties for exports to Europe and the US, but will strongly boost Chinese 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 dossiers for opening the market for six products: citrus fruits (grapefruit, oranges, tangerines, etc.), coconuts, frozen durian, chili peppers, medicinal herbs, and wild-caught seafood.

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

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

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