In the first eight months of 2023, Vietnam’s agro-forestry-aquatic product export value hit 33.2 billion USD, decreasing slightly compared to the same period last year. However, its value-added from the agriculture sector was maintained with a trade surplus of 6.72 billion USD, a 6.4 per cent increase year on year.

Rice exports are now a bright spot of the agriculture sector. (Photo: VietnamPlus)

Deputy Minister of Agriculture and Rural Development Phung Duc Tien said that the surplus in the agriculture sector is a crucial indicator as it accounts for a relatively high percentage of the overall trade surplus of the economy. Last year, the figure hit 8.76 billion USD, accounting for 77.41 per cent of the economy’s total, offering a source of foreign currency for industrialization and modernization.

With less than four months left, the agriculture sector still maintained its export targets thanks largely to positive results from rice, fruits, and coffee businesses.

Vietnam shipped 5.85 million tonnes of rice overseas in the first eight months of 2023, earning 3.7 billion USD, an increase of over 26 per cent year on year. Tien believed that rice is a crucial commodity in the global arena, given the world’s current food security situation.

Another advantageous group of products is vegetables and fruits. In the first eight months, the export value of vegetables and fruits reached 3.45 billion USD, up 57.5 per cent year-on-year. Notably, durian officially joined the "billion-dollar club" by raking in 1.2 billion USD in exports and is expected to grow further by the end of the year.

According to the Vietnam Fruit and Vegetable Association, strong demand is forecast from Chinese traders for durian, jackfruit, and various types of fruit, exports in the remaining four months. There is the possibility of the association reaching and exceeding its 5 billion USD target. Between January and August, China imported over 2.3 billion USD worth of Vietnamese fruits and vegetables.

Furthermore, in the first eight months, overseas shipments of coffee, cashew nuts, and livestock products raked in 2.94 billion USD, 2.23 billion USD, and 325 million USD. These are annual increases of 2.3 per cent, 9.8 per cent, and 26.1 per cent, respectively.

Recovery in wood, aquatic product exports

Forestry and aquatic products have traditionally been the leading foreign currency earners, but their export turnover has decreased significantly since the beginning of the year. The good news is they are showing signs of recovery.

Thi Tuong Lan, Deputy Secretary-General of the Vietnam Association of Seafood Exporters and Producers (VASEP), noted that the export turnover of shrimp has continuously increased between May 2023 and now. Aquatic products in general are seeing positive signals for the remaining months and are likely to exceed 9 billion USD.

Tran Quoc Manh, Vice Chairman of the Handicraft and Wood Industry Association (HAWA), said second and third-quarter wood and handicrafts exports demonstrated a clear change, with orders showing signs of recovery and some enterprises recording more than 50 per cent of their factory capacity.

Deputy Minister of Agriculture and Rural Development Phung Duc Tien stressed that the agriculture sector will continue to make strong efforts to overcome obstacles, enter new markets, push for the signing of new contracts, and personify official exports of agricultural products to multiple markets.