Find a way to remove difficulties for Vietnam export agricultural products

Market Information
icon date25/07/2023

In the near future, the export of agricultural products from Vietnam is expected to face numerous challenges. Businesses are taking proactive measures to tackle these difficulties by diversifying their export markets, enhancing the processing quality of their products, and addressing the hurdles that hinder the export of agricultural goods. By doing so, they aim to maintain the competitiveness of Vietnam’s agricultural exports and ensure steady growth in this sector. With these efforts, the country’s agricultural export market is poised to overcome the challenges and continue to thrive.

Businesses reported facing many difficulties 

Vietnam T&T Import-Export Trading Service Co., Ltd. has recently been exporting a significant amount of fresh agricultural products to the US market, however, the company has encountered several difficulties in the market due to the high cost of raw materials and logistics. Despite their best efforts, the high cost of raw materials has resulted in reduced profits and made it harder for the company to compete in the market. Additionally, the high cost of logistics has made it challenging for the company to efficiently transport its products to the US, leading to increased costs and reduced profits.

In response to these difficulties, the company has been exploring alternative strategies to improve its competitiveness in the market. This has included exploring new and more cost-effective sources of raw materials, investing in modern logistics systems, and implementing cost-saving measures to reduce costs and increase efficiency. With these efforts, the company hopes to overcome these challenges and continue to grow its exports to the US market, providing high-quality, fresh agricultural products to its customers.

International Fresh Group is a leading enterprise specializing in the production and import of vegetables, tubers, and fruits in the European market. Despite its success, the company faces difficulties in exporting to Europe due to the strict requirements for residues of pesticides, food safety standards, and traceability. The European market demands the highest levels of quality and safety, making it challenging for the company to meet these requirements while maintaining profitability.

Vietnam’s export goods are facing numerous difficulties, including rising costs, a challenging market, and increasingly strict regulations regarding standards. According to data from the General Department of Customs, the export turnover of key agricultural products reached $11.37 billion in the first half of the year, representing a growth of 8.8%. Despite this growth, production and export costs have also been on the rise, resulting in reduced profits for many enterprises. The strict regulations and standards imposed by importing countries have also created additional challenges for exporters. These regulations cover a wide range of issues, including food safety, environmental standards, and product labeling requirements.

Last but not least, all exporters in the agricultural sector understand that by having so many reports and return goods can cause a huge effect to Vietnam’s market and reputation of our country in the future

How to overcome difficulties in Vietnam’s agricultural export market?

Vietnam’s agricultural exports have faced numerous difficulties in recent years, including rising costs, increasingly strict regulations, and a challenging market. However, with the right strategies, it is possible for businesses to overcome these difficulties and maintain their competitiveness in the global marketplace. Here are several ways in which businesses can outweigh these difficulties.

Firstly, Mr. Nguyen Phuc Nguyen, General Secretary of Vietnam Fruit and Vegetable Association shared that focusing on the quality and level of food safety is essential for Vietnam’s export agricultural products. This involves implementing strict quality control measures and following international food safety standards. By doing so, businesses can demonstrate to importing countries that their products meet the highest standards of safety and quality. This will help to build trust with customers and increase the demand for their products.

Another important factor is to understand the needs of other markets for our goods. This requires businesses to conduct market research and understand the specific requirements and demands of different countries. For example, the US market requires that fresh fruits and vegetables be treated with irradiation; Korea, Japan require hot steam treatment. Meanwhile, Europe is one of the most fastidious markets in the world, Ms. Phan Thi Thu Hien – Director of the Center for Post-Import Quarantine I, II cited. Species such as leaf borer, stem borer… are detailed by your side in the appendices.By tailoring their products to meet the needs of specific markets, businesses can increase their chances of success and reduce the risk of facing difficulties.

Upgrading machinery and equipment is another important step for businesses to outweigh difficulties. By investing in modern and efficient technologies, businesses can improve their production processes, reduce costs, and increase their competitiveness in the market. This includes investing in new packaging systems, modern transportation systems, and food processing technologies.

Finally, increasing preservation ability is a crucial step for businesses to overcome difficulties. This involves building up stocks of raw materials, reducing the dependency on a single source of materials, and having contingency plans in place in case of disruptions. By doing so, businesses can reduce their exposure to risk and ensure that they can continue to meet the demands of the market. 

There are several ways in which businesses in Vietnam can overcome the difficulties faced by their agricultural exports. By focusing on hygiene and food safety, understanding the needs of other markets, upgrading machinery and equipment, and increasing preservation ability, businesses can maintain their competitiveness in the global marketplace and continue to grow their exports. In addition, the state should also create good conditions for the export of agricultural products in the coming time to take place smoothly.

In conclusion, the Vietnamese agricultural export market has great potential for growth. However, to fully realize this potential, several challenges must be overcome. These challenges include issues such as lack of access to funding and markets, limited technology and infrastructure, and inconsistent quality control. Nevertheless, with the right investments and initiatives, these difficulties can be overcome, allowing for the expansion of the agricultural export market in Vietnam and providing numerous benefits to the country’s economy and its people.