Fruit and vegetable exports in 2021 are promising

According to the Ministry of Industry and Trade, exports of fruits and vegetables in 2020 were estimated at US$3.26 billion, down 13% compared to 2019.

However, Vietnam's export prospects for fruits and vegetables in 2021 are expected to be more positive as Free Trade Agreements have been in effect. The opening of the FTA Portal will help businesses access and grasp the fastest and most effective benefits from the FTAs ​​that Vietnam is participating in.

In order to boost the export of vegetables and fruits in 2021, exporters should increase investment in processed products and preserve vegetables to meet export requirements in the context of the uncontrolled pandemic and natural disaster is forecasted to continue to be complicated in 2021.

Notably, although the export value of Vietnamese fruits and vegetables to markets such as the US, South Korea, Japan, and Australia accounts for only a small proportion, they all have grown quite well in 2020. This confirms that the quality of Vietnamese fruits and vegetables has met high requirements in these markets. Specifically, the export value of Vietnamese fruits and vegetables to the Australian market increased sharply in the first 11 months of 2020, reaching US$57.9 million, up 49.9% over the same period in 2019.

This is considered as a potential export market for the fruit and vegetable industry. Vietnam and Australia are trade partners through the ASEAN - New Zealand Free Trade Agreement (AANZFTA), which has been in effect since 2010 and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which has been in effect since the end of 2018. Thanks to these agreements, most of Vietnam's goods exported to Australia enjoy preferential tax rates of 0% and many other favorable conditions.

Besides, in 2020, despite being affected by the Covid-19 pandemic, Vietnam's fruit and vegetable exports to Thailand still surged, reaching US$148.96 million, up 141.5% compared to the same period of 2019. Thailand is increasingly tightening the criteria for imported products.

Recently, Thailand has issued new standards for pesticide residues on imported agricultural products. Up to now, Thailand has officially licensed four types of Vietnamese fruits to this market, namely red and white flesh dragon fruit, mango, longan, and lychee.