EXPORTING

Fruit, vegetable exports soar 27%

Exports of fruits and vegetables were worth an estimated US$6.6 billion in the first
11 months of 2024, a 27% increase from a year earlier.
The Vietnam Fruit and Vegetable Association came up with the estimate based on
customs data, which shows exports to major markets growing at double-digit rates.

In the first 10 months, for which official data is available, shipments to China rose by
30% year-on-year to $4.1 billion, while exports to the U.S., South Korea and Thailand
jumped by 35%, 41% and 70%.

Durian was the best-selling item, making up more than $3 billion worth of fruit and
vegetable exports in the period, with China accounting for $3 billion.

Vietnam has been the second largest supplier with a 39% market share, trailing
Thailand’s 60.2%.

Vietnam durian exports to China surpass Thailand’s

Vietnam exported 177,000 tons of durians worth US$640.72 million to China in

September, surpassing Thailand as the top supplier of the fruit to that market.
China spent $894.58 million in all to import 228,000 tons of durian in September,
with Vietnam accounting for 77.6% of it, Thanh Nien newspaper reported last
Thursday, citing data from China’s General Administration of Customs.

But Thailand remained the leader in the first nine months, exporting nearly 755,000
tons of the fruit worth $3.73 billion, accounting for 54.7%, according to Dan tri online
newspaper. But the figures represented year-on-year declines of 14.1% in volume and
13.3% in value.

During the period Vietnam shipped 618,000 tons worth $2.45 billion, up 72.2% in
volume and 57.3% in value.

According to Dang Phuc Nguyen, general secretary of the Vietnam Fruit and
Vegetable Association, Vietnam typically has an edge over Thailand around year-end
when it has off-season durian to export to China unlike Thailand, whose harvest ends
well before that.
He said Chinese demand also rises at that time as consumers ramp up purchases for
the year-end holidays and the Lunar New Year.

Vietnam enjoys transport advantages such as road and rail links with China, which
helps its exporters save time and costs, he added.

In a bid to boost its competitiveness, Thailand’s Digital Economy Promotion Agency

recently rolled out a project called One Tambon, One Digital that aims enhance durian
farmers' productivity, strengthen consumer trust in Thai durians, and promote high-
value products on a global scale, particularly amid competition from China and nearby
nations, the Bangkok Post reported.

The initiative will help over 6,100 farming households adopt digital platforms to
record cultivation data and train 12,200 farmers in 23 provinces in e-commerce and
Good Agricultural Practices, which is required to export durian.

The country has 163,200 hectares under durian, and grows 1.53 million tons of the
fruit annually.

Durian accounted for 69% of its fruit exports in 2023, with China being the primary
export market.

Vietnam shipped 500,000 tons of durian worth $2.3 billion that year, with 90% going
to China. It has 154,000 ha under the fruit and an output of 1.2 million tons.

It previously surpassed Thailand in durian exports to China earlier this year, shipping
32,750 tons in the first two months of 2024. Thailand’s exports in the same period
plunged by half to 19,000 tons.

Durian supply dwindles as exports surge and off-season harvest falters

Durian is in short supply as the off-season harvest is off to a rough start while demand
for the fruit is increasing.
Over the last week, several stores specializing in durian in HCMC have shuttered
while many others are running out of stock.

At a market in Phu Nhuan District, various fruit stalls are open but none of them have
any durian for sale. Even a store that usually sells premium fruits in District 1 has not
been able to procure the fruit recently.
The store’s salesperson told Tuoi Tre Online that durians have become scarce and the
little supply they could find is of inferior quality.

The reduced supply has driven prices of premium durian varieties, such as Monthong
and Ri6, up to VND150,000 (US$5.3) and VND135,000 per kilogram—double the
prices of two months ago.

Hoang, a durian merchant, said: "I used to be able to procure 10 tons (of durians) a
day, but now I can only find a ton or two."

Merchants have reported that supply is declining now that the main harvest in the
Central Highlands, one of Vietnam’s largest durian-growing regions, which usually
runs from August to October, has ended.

From November to March, the fruit is typically supplied by the off-season harvest, but
this year’s crops have not developed as well as in previous years, as reported by Ap
Bac Online newspaper.

Hong, the owner of an orchard in the Mekong Delta province of Tien Giang, said the
weather this year has delayed the off-season harvest.

The province has approximately 15,000 hectares under durians that produce nearly
400,000 tons of fruits per year, with about 50-70% of this area used for off-season
production.

Nguyen Minh Long, who owns a 1.2-hectare durian farm in the province, told Nhan
Dan Online newspaper late last month that constant rain caused his trees to not
produce flowers, a crucial step in fruit formation, despite him having performed all the
necessary treatments.

"I have grown durians for years yet have not encountered such a difficult harvest," he
said, adding that he might have to nurture the plants and wait for next year’s harvest.

Many farmers in the province have also reported their trees not bearing fruits or very
low yield.

Nguyen Van Gia Bao, CEO of durian firm Huynh Nuong, said durians are typically
ready for harvest around this time of year, yet few orchards currently have any stock
available.
Supply is expected to start trickling in later this month, but it will not see a major
boost until early next year, he said.

While the off-season harvest struggles to get off the ground, both domestic and
international demand for durians, as well as other fruits and vegetables, has risen.

This influx in demand is a common occurrence in the last quarter of the year,
according to the Ministry of Industry and Trade.

Some $931 million worth of durians were exported in October alone, up 53.1% year-
on-year and a 1.52% increase from September, according to the Vietnam Fruit and
Vegetable Association.

Dang Phuc Nguyen, the association’s general secretary, expected demand from China,
the top export market, to rise further in the coming months as consumers there often
ramp up purchases for the year-end holidays and the Lunar New Year.

Vietnam will also be the main supplier for that market as its main competitor,
Thailand, will not have much fruit to export as its harvest has ended.

Nguyen forecast that durian exports will reach a record of $3.5 billion this year, up
55% from 2023.
K