Rice exports are now a bright spot of the agriculture sector. (Photo: VietnamPlus) Hanoi (VNA) - Reaping numerous records in production, the agriculture sector continues to maintain its target of 54-55 billion USD in export turnover this year, despite facing difficulties due to the negative impacts of reduced purchasing power in many large markets.
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% increase year on year.
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% of the economy’s total, offering a source of foreign currency for industrialisation and modernisation.
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.
Durian exports exceeded 1 billion USD for the first time, helping to increase fruit export turnover in 2023. (Photo: VietnamPlus) 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% 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% 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%, 9.8% and 26.1%, 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.
To 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 likely to exceed 9 billion USD.
Seafood exports are forecast to recover fast by the end of the year. (Photo: VietnamPlus). 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% 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 diversify official exports of agricultural products to multiple markets./.
