Potential grows for vegetable and fruit exports to US

The US is a potential market for Vietnamese fruit and vegetable exports thanks to the diverse distribution system along with a 3-million-strong overseas Vietnamese community, according to the Vietnamese Trade Office in the US.
Potential grows for vegetable and fruit exports to US ảnh 1Dragon fruit is among fresh Vietnamese fruits that are allowed to enter the US market. (Photo: VNA)
Hanoi (VNA) –The US is a potential market for Vietnamesefruit and vegetable exports thanks to the diverse distributionsystem along with a 3-million-strong overseas Vietnamese community, according to the Vietnamese Trade Office in the US.

TheUS market is home to 332 million customers with high per capita income, with fruit and vegetables being a rising trend, it said.

Datafrom the Vietnam Fruit and Vegetable Association showed that fruitand vegetable exports were worth over 2.06 billion USD in the first half of this year, ayear-on-year increase of 17.4 percent.

Ofthese, the shipment of these items to the US enjoyed the highest growth of 132percent compared to the same period last year, followed by China and Chinawith 11.6 percent and 109 percent.

NguyenQuoc Toan, Director-General of the General Department for Agricultural Products Processing and Market Development, said Vietnamese fruit andvegetables are enjoying preferential tariffs brought by free trade agreements, includingEU-Vietnam Free Trade Agreement and the Comprehensive and Progressive Agreementfor Trans-Pacific Partnership.

Six types of fresh Vietnamesefruits are allowed to enter the US market including mango, longan, lychee, dragon fruit,rambutan, and star apple. Other fruits can also be exported in either frozen orprocessed forms.

Despite having certainadvantages, however, the country still faces numerous hurdles because it had tocope with fierce competition from products that are grown in such states asFlorida and California or similar items from Mexico, South American and Asiancountries.

The high costs fortransportation and storage due to geographical distance is causingdifficulties for the export of fresh fruits to the US.

The Vietnamese TradeOffice in the US suggested local enterprises coordinate with US counterpartsfor a flexible payment method to increase exports to the market. They were also urged to consider pouring capital into cold storage to ensure the quality of fresh fruits as well as setting up alarge-scale distribution centre for Vietnamese goods at a large port on theWest Coast, it said, saying that this would help reduce costs and help make businesses more proactive in selling the products.

It is necessary for Vietnamese enterprises to continueapproaching large distribution chains, aiming to provide organic and processedproducts to meet the demand of the US market, the office said./.
VNA

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