Farm produce exports set sights on US$50 billion target this year

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By utilising various free trade agreement (FTAs) and focusing on advantageous products, the agricultural sector is likely to exceed its export target of US$50 billion set for this year, said Deputy Minister of Agriculture and Rural Development Phung Duc Tien.

According to the Ministry of Agriculture and Rural Development, agro-forestry and fishery exports during the initial months of the year surged by 15.8% to reach nearly US$14.2 billion against the same period from last year.

Despite recording positive signs in exports, the sector continued to face numerous difficulties caused by the complicated nature of COVID-19 and other external factors.

Deputy Minister Tien pointed out that the pandemic has served to ramp up costs of input materials, including animal feed for the domestic livestock and aquaculture industries.

In addition, the ongoing armed conflict between Russia and Ukraine, coupled with inadequacies in exporting to China through unofficial channels, have also impacted Vietnamese trade activities with these countries, he said.

He went on to outline that the Government’s slow implementation of the economic bailout package and disruptions faced in terms of the global supply chain are likely to affect the fulfilment of the US$50 billion export target this year.

The trade official advised local firms to continue accelerating agricultural exports to traditional markets such as the European Union, the United States, the Republic of Korea, and Japan, while simultaneously focusing on developing niche markets moving forward.

In fact, some exports such as pangasius, shrimp, and wood have enjoyed competitive advantages, revealed Tien.

At present, the price of unprocessed pangasius has increased by between VND27,000 and VND30,000 per kilo, while enterprises in Mekong Delta provinces have received full export orders until the end of the year.

The Deputy Minister underscored the importance of focusing on other advantageous products such as coffee, rice, cashew, pepper, and rubber, saying it is imperative for businesses to maximise the benefits from FTAs and take full advantage of niche markets in an effort to fulfil the yearly export target.

VOV

For more information, please contact Vietnam Trade Office in Canada at Ca@moit.gov.vn