Export of swiftlet nests benefits both businesses and farmers

First company in the Central Highlands to export swiftlet nest

Over 100 workers at Thanh Dung Import-Export Joint Stock Company in Krong Pac district, Dak Lak province are diligently processing and packaging swiftlet nests in preparation for their first official export shipment to the Chinese market.

Mr. Vu Ngoc Huy, General Director of Thanh Dung Company, stated that the business has constructed workshops covering an area of 1,200 square meters. The expansive scale of the workshops enables an annual production capacity of 20 tons, which is expected to meet the requirements set by the General Administration of Customs of China.

The General Administration of Customs of China recently conducted a final inspection of the aforementioned workshops. The company plans to continue production for the foreseeable future, in anticipation of approval from the General Administration of Customs of China regarding the official export of swiftlet nests.

According to Mr. Huy, following the Protocol signed between the Ministry of Agriculture and Rural Development of Vietnam and the General Administration of Customs of China in 2022, many Vietnamese businesses have registered for official export to China. Items approved for export from Vietnam to China include processed and unprocessed swiftlet nests.

Vietnam has recently delivered its first shipment of swiftlet nest to China. Notably, the export price of swiftlet nests to the Chinese market is considerably higher than the domestic market price.

"Chinese businesses have an unlimited demand for significant quantities of swiftlet nests, and they will buy everything that Vietnamese businesses offer. Multiple major Chinese businesses have visited Vietnam to discuss collaboration with local companies for the trading of swiftlet nests. Official export to China is a positive signal for farmers as well as businesses," Mr. Huy remarked.

The Company's Director further emphasized that the potential for swiftlet farming in Dak Lak province and Vietnam as a whole is substantial. However, the current yield of swiftlet nest production in Vietnam is unable to meet export demand.

Thanh Dung Company is the first business in Dak Lak province as well as the Central Highlands to complete the necessary procedures, and carry out the first shipment of swiftlet nest export to China.

The Company expects that local residents engaged in swiftlet farming are willing to collaborate, and establish a sustainable supply chain.

"The local swiftlet farming industry can now experience strong growth with the prospect of official exports. Thanh Dung Company will collaborate with the local communities and the Swiftlet Nest Association of Dak Lak province to disseminate information regarding farming techniques, thereby establishing a comprehensive value chain for the sustainable development of the swiftlet farming industry.

The company has formed partnerships with over 250 swiftlet houses in the provinces of Dak Lak, Khanh Hoa and Binh Dinh. The company acknowledges that the export of swiftlet nests will benefit both businesses and farmers. This is the foundation for the establishment of a sustainable value chain," added Mr. Huy.

However, Mr. Huy noted that the collaboration between stakeholders in the value chain is limited by a lack of awareness regarding the export of swiftlet nest among local communities. Consequently, local farmers are hesitant to engage in business when approached by exporting companies.

"The General Administration of Customs of China has recently issued exporting codes for a number of approved companies. So far, our company has completed all preparation activities, and we are waiting for the official approval from the General Administration of Customs of China to conduct the export ceremony," shared Mr. Huy.

The need for an established value chain

According to Mr. Pham Van Hau, Chairman of the Swiftlet Nest Association of Dak Lak province, the potential for developing swiftlet farming in the province is significant. The quality of Dak Lak swiftlet nests has been highly regarded.

To meet the export requirements, the Swiftlet Nest Association of Dak Lak province will continue to support its members and facility owners in enhancing knowledge and investing in the application of scientific and technological advancements to ensure the production of high-quality swiftlet nests.

Additionally, the Association will facilitate connections between swiftlet farming facilities and approved export businesses, including Thanh Dung Import-Export Joint Stock Company, to participate in the swiftlet nest value chain.

"The Association encourages its members to prioritize sustainable development. In the near future, we will organize a workshop on value chain connections, with the participation of export businesses who will provide advice on the production and operational aspects of swiftlet houses, as well as the legal aspects of value chains. Effective management over the input and output quality will raise the overall quality of swiftlet nests," stated Mr. Hau.

According to Mr. Hau, the Protocol between Vietnam and China has encouraged businesses to register for export. To date, two companies have successfully exported their first shipments. More companies are expected to receive their export approvals in the foreseeable future. This increase in demand will also promote an increase in Vietnam's swiftlet nest production, resulting in an improvement in the prices of swiftlet nests.

Farmers participating in the value chain will receive assistance in terms of operational procedures and relevant regulations.

"Local swiftlet nest farming is currently fragmented, and businesses will establish their partnerships based on export standards. To participate in these partnerships, farmers must adhere to regulations. After a value chain is formed, businesses will be able to manage the supply source, thereby ensuring product quality from input to output," stated Mr. Hau.