Vietnam’s farm produce gears up for EU under new trade agreement

Meeting quality standards and enjoying preferential tariffs from the new EVFTA, Vietnam’s key farm produce such as rice, fruit, coffee and seafood are rushing to head for the EU market.

The Ministry of Agriculture and Rural Development (MARD) reported that with export turnover of $4.6 billion worth of farm exports, the EU was the third largest customer of Vietnam in 2019.

Vietnam’s farm produce gears up for EU under new trade agreement

The EVFTA, which took effect on August 1, 2020, wolill pave the way for more Vietnam farm produce to enter the market.

According to Nguyen Do Anh Tuan from the International Cooperation Department, under EVFTA, most farm produce, including coffee, rice, seafood (except canned tuna and fish ball), rice, vegetables and fruit, and products processed from vegetables and fruits, honey, tapioca, and wood and wooden products, have seen the tariff cut to zero percent.

The value of farm exports to the EU in August reached $350 million, increasing by 17 percent over July. Coffee exports increased by 34.7 percent over July, while vegetable and fruits increased by 25 percent over July and 6 percent over the same period last year.

Rice is the most prominent export item with export value in August increasing by 93.5 percent and 35.6 percent, respectively.

Deputy Minister of Agriculture and Rural Development Phung Duc Tien on September 11 said the EU will remove the tariffs on 86.5 percent of Vietnam’s seafood export turnover within three years, 90.3 percent within five years, and 100 percent after seven years. As for canned tuna, the EU offers the quota of 11,500 tons.

“Taking full advantage of the tariff cuts, Vietnam’s businesses have obtained orders increasing by 10 percent since the beginning of August compared with July 2020,” Tien said.

 

Tien said the EU, with 27 member countries, 511 million consumers and GDP of $18,291 trillion in 2019, is a large market with high income level. In trade relations, the EU and Vietnam are mutually complementary, not directly competitive.

“We consider this an opportunity to penetrate deep into the global market with high value and high quality,” he said.

According to MARD Minister Nguyen Xuan Cuong, Vietnam exports in the EU proves the production level and quality of Vietnamese products. This will allow Vietnam’s products to reach choosy markets.

The EU market is opening up a wide door for Vietnamese agricultural products. However, in order to satisfy the demands of the market, Vietnam needs to re-organize production by ensuring food safety and traceability.

A director of a rice export company in Can Tho said the EU is a choosy marke. It took the enterprise 3-4 years to improve the soil to produce clean organic rice. The company exported 150 tons of scented rice last August. 

Tam An

VN farm produce prices plummet amid oversupply, impact of Covid-19

VN farm produce prices plummet amid oversupply, impact of Covid-19

Booth avocado, the specialty of Dak Lak province, is now selling at VND10,000-20,000 per kilogram, and the price of passion fruit has also fallen dramatically.

Farm produce deficiency in China offers opportunity for Vietnamese exports

Farm produce deficiency in China offers opportunity for Vietnamese exports

Northern farmers have been advised to increase the winter crop growing area and increase exports to China, in anticipation of a farm produce shortage there caused by severe floods.

 
 

Other News

.
The stock market on track to become one of 'Asia tigers': BSC
The stock market on track to become one of 'Asia tigers': BSC
BUSINESSicon  17/01/2022 

The Vietnamese stock market has witnessed drastic changes in both quality and quantity in 2021 and the trend will continue this year, BIDV Securities Company said in a recent report.

Luxury brands see great potential in Viet Nam
Luxury brands see great potential in Viet Nam
BUSINESSicon  17/01/2022 

Vietnam pales in comparison with Japan and China in regard to the size of the luxury market, but it has a great potential to become a highly profitable market in the near future.

Large-cap stocks to return to be the market's leader in 2022
Large-cap stocks to return to be the market's leader in 2022
BUSINESSicon  17/01/2022 

In December 2021, the market benchmark VN-Index could have surpassed 1,498 points if it were not affected by the holiday, Dragon Capital said in a recent report.

Northern provinces halt fruit truck reception at some border gates
Northern provinces halt fruit truck reception at some border gates
BUSINESSicon  17/01/2022 

The northern provinces of Lao Cai and Quang Ninh have decided to temporarily halt receiving vehicles of fresh fruits for export to China via some of their border gates and crossings, as congestion is still lingering there.

More capital flows come to economic, industrial parks in 2021
More capital flows come to economic, industrial parks in 2021
BUSINESSicon  16/01/2022 

Economic and industrial parks nationwide drew 539 foreign-invested and 615 domestic projects with a total registered capital of 12.8 billion USD last year despite COVID-19 pandemic, up 15 percent annually.

No credit granted to four Thu Thiem land auction winners
No credit granted to four Thu Thiem land auction winners
BUSINESSicon  16/01/2022 

Commercial banks do not grant credit to four real estate businesses that won the auction of land use rights in the new urban area.

Some scenarios for coffee prices in 2022
Some scenarios for coffee prices in 2022
BUSINESSicon  16/01/2022 

Over the past two years, whilst the Covid-19 pandemic was raging over economies, coffee prices on both the derivatives market and domestic market have taken great strides.

Stock market expected to cross current threshold
Stock market expected to cross current threshold
BUSINESSicon  16/01/2022 

During the last trading sessions of 2021, the stock market was not particularly active. The effect was being felt of unfavorable news on the macro, the most notable of which was the GDP growth of the whole year at only 2.58%.

HCMC, Mekong Delta develop formal distribution system of farm produce
HCMC, Mekong Delta develop formal distribution system of farm produce
BUSINESSicon  16/01/2022 

Vice Chairwoman of HCMC People’s Committee Phan Thi Thang promised to bring goods from the Mekong Delta into wholesale markets and distribution systems in HCMC to support farmers and cooperatives for connection of supply and demand.

Vietnam expects to export 90,000 laborers this year
Vietnam expects to export 90,000 laborers this year
BUSINESSicon  16/01/2022 

The four markets receiving the largest number of Vietnamese workers included South Korea, Japan, Germany and Taiwan (China).

Proper mechanism needed to export farm produce by sea to China
Proper mechanism needed to export farm produce by sea to China
BUSINESSicon  15/01/2022 

The Ministry of Agriculture and Rural Development and the Ministry of Transport recently co-hosted a conference on promoting the export of agricultural products through maritime transport as a way of devising a proper mechanism for farm exports.

VIETNAM BUSINESS NEWS JANUARY 16
VIETNAM BUSINESS NEWS JANUARY 16
BUSINESSicon  16/01/2022 

Inflation would be controlled in 2022: Experts

Hanoi to establish 2-5 new industrial parks by 2025
Hanoi to establish 2-5 new industrial parks by 2025
BUSINESSicon  15/01/2022 

The Hanoi government has approved a plan to establish an additional two to five new industrial parks (IPs) in the 2021-2025 period.

What’s behind Tan Hoang Minh’s sky-high bidding price?
What’s behind Tan Hoang Minh’s sky-high bidding price?
BUSINESSicon  15/01/2022 

Tan Hoang Minh won the bid in a ‘duel’ to buy the 3-12 land plot in Thu Thiem new urban area in HCM City, but finally gave up.

Vietnam to shift to clean-fuel vehicles by 2035
Vietnam to shift to clean-fuel vehicles by 2035
FEATUREicon  16/01/2022 

Vietnam’s electric automobile industry has started and many enterprises want to join the automobile production chain as they can see great opportunities.

Vietnamese FDI attraction likely to hit US$40 billion this year
Vietnamese FDI attraction likely to hit US$40 billion this year
BUSINESSicon  15/01/2022 

Amid rapid economic recovery following the COVID-19 pandemic, Vietnam’s foreign direct investment (FDI) attraction this year is anticipated to record positive signs and hit US$40 billion, according to insiders.

Agriculture Ministry denies that cross-border exports are low-quality products
Agriculture Ministry denies that cross-border exports are low-quality products
BUSINESSicon  15/01/2022 

Vietnam exported $3.52 billion worth of vegetables and fruits in 2021, an increase of 8.6 percent over the year before. China remains the biggest client consuming 54.5 percent of the exports.

More securities firms go public
More securities firms go public
BUSINESSicon  16/01/2022 

More securities firms are weighing over going on the bourse to best avail of market appeal, as well as replenish their capital sources.

Online shoppers warned of cunning tricks
Online shoppers warned of cunning tricks
BUSINESSicon  15/01/2022 

Along with the popularity of online shopping in Vietnam come several cunning tricks of criminals to steal money from consumers. 

Vietnam's agricultural produce to China fully traceable
Vietnam's agricultural produce to China fully traceable
BUSINESSicon  16/01/2022 

Vietnam’s agricultural produce sent to China are, including those sent via unofficial channels, quality products. Quality has no bearing on them being stopped at customs.

 
 
 
Leave your comment on an article

OR QUICK LOGIN