Vietnam's rice exports are achieving good results in both output and value. Illustration photo: TTXVN

Vegetables, coffee and rice - bright "faces"

According to data from the Ministry of Agriculture and Rural Development, in the eight months of 2023, the total export and import turnover of agricultural, forestry and fishery products was estimated at US$ 59.69 billion. Of which, exports were US$ 33.21 billion, imports were US$ 26.48 billion, trade surplus was US$ 6.73 billion, an increase of 6.4%. Deputy Minister of Agriculture and Rural Development Phung Duc Tien said that the trade surplus of agriculture accounted for a relatively high proportion of the trade surplus of the whole economy. In 2022, the agricultural sector's trade surplus reached US$ 8.76 billion, accounting for 77.41%, this was a source of foreign currency to buy industrialized and modernized equipment. This year, the agricultural sector strives for agricultural, forestry and fishery export turnover to reach US$ 54 - 55 billion, and at the same time have a relatively good trade surplus to contribute to the industrialization and modernization of the country and the agricultural sector in particular.

Notably, Vietnam currently has 4 export agricultural products with a turnover of US$ 1 billion or more with a value of US$ 11.89 billion. The total export turnover of these 4 items accounts for 88% of Vietnam's agricultural export turnover. Among them, there are 3 agricultural products with the highest export value in 10 years, including vegetables, coffee and rice. Specifically, fruit and vegetable products reached US$ 3.49 billion, an increase of 59.3% over the same period last year and 4.99 times higher than in 2013 (reaching US$ 0.7 billion).

According to Mr. Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetable Association, in the remaining months of 2023, while the durian season in other Southeast Asian countries had ended, Vietnam still had durian areas in the Central Highlands that had not yet been harvested. along with a number of other fruit products, fruit and vegetable exports in 2023 was predicted to reach about US$ 5 billion. Thus, the turnover would be equal to the planning forecast of the Ministry of Agriculture and Rural Development for 2025 - 2 years earlier than planned.

In addition to vegetables and fruits, by the end of August, rice exports also reached 5.85 million tons and US$ 3.17 billion, up 22% in volume and 36.1% in value compared to the same period in 2022. The average export price of rice in the first 8 months of 2023 is estimated to reach US$ 542 per ton, an increase of 11.5% over the same period in 2022. This is a record that the rice industry has achieved in terms of output, value and export unit price thanks to this year's global food fever and Vietnam has taken advantage. The rice market is expected to increase in volatility when Indonesia has just announced the opening of bids for 300,000 tons of 5% broken white rice from countries: Vietnam, Thailand, Pakistan and Cambodia. Thus, it is the first time that Vietnam's rice export has reached 5 million tons and 3 billion USD in just 8 months. If the current growth momentum continues, in 2023 Vietnam will definitely exceed the milestone of US$ 3.4 billion in rice export turnover of 2022 (the highest milestone in the past 10 years) and it is expected that the export volume will surpass the 7.1 million tons mark of 2022.

Concentrate on the last months of the year

Compared to vegetables, fruits and rice, the growth rate of coffee is lower. Vietnam's cumulative coffee exports in the first 8 months of 2023 are estimated at about 1.2 million tons, down 4.9% compared to the total amount of coffee exported in the same period last year. Although the quantity has weakened, the price of exported coffee, especially Robusta coffee - Vietnam's main coffee type, has recorded strong growth in recent times. According to the Vietnam Coffee and Cocoa Association, coffee prices are continuously increasing because supply does not meet demand. This year's coffee output is forecast to decrease by 10-15%/year due to unfavourable weather. From now until the end of the year, coffee exports will still be favourable when demand increases and supply has not improved. Vice Chairman of the Vietnam Coffee and Cocoa Association Do Ha Nam forecasts that coffee export of the whole year will reach about 1,718 million tons, with an export turnover of US$ 4.2 billion, the highest ever.

In addition, the export of wood and forestry and aquatic products are two key industries, but export turnover has decreased sharply since the beginning of the year until now. New seafood export brought in nearly US$ 5.71 billion, down 25% over the same period last year, while wood and wood products also decreased 25.4%, reaching US$ 8.33 billion. However, in the last months of the year, it is forecast that these two industries will recover, especially seafood. Because according to annual practice, at the end of the year, especially the upcoming Christmas and New Year, the demand for spending on goods will increase in the world market. This will help the seafood and wood industries recover faster, and the agricultural export target of US$ 54-55 billion will be more feasible.

To complete the agricultural, forestry and fishery export target of US$ 54 - 55 billion, the agricultural sector is stepping up production, diversifying markets, creating momentum for key products to make a breakthrough in the end of the year. In the coming time, according to Deputy Minister Phung Duc Tien, the Ministry of Agriculture and Rural Development will continue to monitor and grasp the price situation, supply of essential food items and report to the Domestic Market Steering Group, and the Government's Price Steering Committee. Coordinate with localities to support connection and promote processing and consumption of agricultural products during the harvest season.

​Promote the development of domestic consumption and export markets, and continue to handle market issues to create favourable conditions for the export of agricultural and aquatic products, especially to the Chinese, US, EU, Asia-Europe Economic Union... Take advantage of FTAs, especially the CPTPP and EVFTA Agreements to promote the export of key agricultural, forestry and fishery products, and support enterprises in signing new export orders. Coordinate support for trademark and geographical indication for Vietnam's potential export products abroad.