Vietnam’s farming exports in the first half of 2021 were estimated at US$24.23 billion, up 28.2% as against the same period in 2020, while sales of agricultural goods in the domestic market have also recorded many positive developments, according to the Ministry of Agriculture and Rural Development (MARD).

Such results are thanks to trade promotion and market opening efforts aimed at realising the dual goals of virus containment and economic growth.

Efforts to boost sales

In the first six months of the year, the COVID-19 pandemic exerted a significant impact on exports in various aspects, including a shortage of workers in logistics as well as empty containers and localised logjams due to a contraction in air and waterway transport disrupting agricultural supply chains in the international market. However, the Vietnamese agricultural sector strived to aggressively implement the Government’s guidelines and directions in achieving the dual goals.

The MARD’s Director of Planning Nguyen Van Viet said despite the pandemic, Vietnam’s agricultural exports still exceeded the set target, with rubber, tea, fruit and vegetables, cashew nuts and cassava registering rises in both volume and value.

There was a notable shift in agricultural exports in the first six months of 2021 as the US became Vietnam’s largest market at US$6.7 billion, up 59.8% from a year ago. China was the second largest market at US$4.75 billion, up 32.1% year on year.

In terms of the domestic market, the MARD has worked with the Ministry of Industry and Trade and local authorities to support farmers and enterprises in the distribution of agricultural goods in the context of COVID-19. In localities hit hard by the pandemic including Hai Duong, Bac Giang and Bac Ninh, the agricultural sector managed to help move their agricultural produce, harvested in large quantities and facing difficulties in terms of export, to supermarket chains such as Big C, Aeon, Hapro and Vinmart, and to online shopping platforms such as Alibaba, Amazon, Sendo and Shopee.

The success of lychees from Bac Giang is a typical example. Despite being hit badly by the pandemic, the province’s lychee harvest was not affected as its price levels were maintained with the fruit selling well both at home and abroad.

However, it is projected the pandemic will continue in the second half of 2021 and affect both the economy and society, including the production and sale of agricultural products. The final six months are harvest time for many kinds of fruit across the country such as longan, mango and pineapple, so there will be great pressure on the sale of such products in the domestic market if exports continue face difficulty due to the pandemic.

Towards the US$45 billion goal

In order to achieve the export goal of US$45 billion for the full year, the agricultural sector will strive to bolster its key exports, including its main agricultural produce, forestry and timber products and seafood, to offset those failing to reach their targets.

Director of the MARD’s Department for Agricultural Processing and Market Development Nguyen Quoc Toan said it is necessary to capitalise on the free trade agreements already signed, promptly address technical difficulties, facilitate customs clearance and improve logistics so as to avoid logjams of such goods as fresh fruit and seafood at border gates to the Chinese market.

In addition, the agricultural sector needs to continue negotiations with partners to remove trade and technical barriers for Vietnamese goods. For the US market, it is necessary to introduce appropriate measures in response to the enactment of the Farm Bill concerning seafood and timber products. For the Chinese market, it is necessary to step up negotiations on the export of agricultural produce with considerable potential such as sweet potato, durian, chili pepper, passion fruit, pomelo and coconut through official channels.

At the same time, sale of agricultural goods in the domestic market should continue to be fostered by cooperating with postal companies and professional delivery apps, and supporting enterprises on how to distribute their goods on e-commerce platforms.

Source: Nhan Dan Online

• Vietnam poised to bridge global semiconductor workforce gap
• Vietnam welcomes US Commerce Department's consideration of market economy's status for Vietnam: spokesperson
• Vietnam remains attractive destinations for Japanese IT firms
• PM suggests Samsung see Vietnam as strategic manufacturing, export base
• Unprecedented policies drive Vietnam’s economic recovery