Agriculture continues to be the backbone of the economy

Frozen Vietnamese durian sold at US supermarkets. Photo: CTV

Fruit and vegetable exports continued to record breakthrough growth

In the situation that the world economy continues to face many difficulties, high inflation in some developed countries, and tight monetary policies, especially in big markets such as the US and Europe, manybusinesses struggle in signing and fulfilling orders.

Along with that, many countries have implemented policies to strengthen the protection of domestically produced products and goods; boost agricultural production to proactively supply.

According to a report of the Ministry of Agriculture and Rural Development, the export turnover of agricultural, forestry and fishery products in May 2023 is estimated at 4.85 billion USD, bringing the total export turnover of agriculture, forestry and fishery products in the first 5 months of 2023 to 20.26 billion USD. In which, the export value of main agricultural products was estimated at 10.3 billion USD, up 9.9%. Livestock export value is estimated at 190 million USD; seafood export value is estimated at 3.47 billion USD; the export value of forest products is estimated at 5.52 billion USD.

In the first five months of the year, the export value of agricultural, forestry and fishery products to markets in Asia reached US$ 9.73 billion, up 2.3%; America reached 4.42 billion USD, down 34.6%; Europe reached 2.42 billion USD, down 13.2%; Africa reached 327 million USD, down 5.6%; Oceania reached $280 million, down 28%. China, the United States and Japan continue to be the three largest export markets for Vietnam's agricultural, forestry and fishery products.

Notably, agriculture continues to show the supporting role of the economy when many export agricultural products have very good growth, the trade balance continues to have a trade surplus, reaching nearly 10 billion USD.

There are threeagricultural products such as rice, coffee and vegetables,which achieved unprecedented high results. Accordingly, rice exports reached 2.02 billion USD, up 49% over the same period last year; coffee reached 2.02 billion USD, up 0.2% (with a possibility to surpass the record of 4 billion USD in 2022) and vegetables reached 1.97 billion USD, up 39%. Not only that, all three of these items had a trade surplus with great value when coffee had a surplus of 1.87 billion USD; rice 1.59 billion USD and vegetables 1.21 billion USD.

This can be considered the bright spot of the agricultural industry in the first five months of the year.

Leading in terms of export value is the fruit category, reaching US$920.7 million, up 15.7% over the same period in 2022. Notably, the export value of durian fruit increased strongly, reaching 190.5 million USD, an increase of 573.1% over the same period in 2022, with the main export market being China, accounting for 84.3% of the total export value of durian.

Take advantage of FTAs, especially CPTPP and EVFTA

According to the Ministry of Agriculture and Rural Development, in May, agricultural, forestry and fishery production focused mainly on caring for and harvesting rice and vegetables in the Winter-Spring crop; sowing summer-autumn rice; removing difficulties in raising livestock, poultry and aquaculture; accelerating the progress of afforestation; support and encourage fishermen to actively stick to the sea and strictly implement regulations on IUU. In the country, fruit products have an abundant, relatively stable supply, many types are about to be harvested (mango, durian, jackfruit, lemon, litchi).

Deputy Minister of Agriculture and Rural Development Phung Duc Tien said that with favorable conditions and strong and drastic trade promotion, commodity groups such as rice and vegetables by the end of the third quarter of 2023 will achieve results, equal to the third quarter of 2022 and the fourth quarter of 2023 to accelerate, the figure of 55 billion agro-forestry-fishery exports can reach the finish line.

Deputy Minister Phung Duc Tien said that it is necessary to focus on directing production to maintain growth momentum, focusing on market work to boost exports. At the same time, promote the development of the domestic consumption market, and continue to handle market issues in order to create favorable conditions for the export of agricultural and aquatic products, especially to the markets of China, the United States and the EU.

Along with that, the agricultural industry needs to take advantage of FTAs, especially the CPTPP and EVFTA, to boost exports of key agricultural, forestry and fishery products, and support businesses to sign new export orders. Coordinating to support the protection of trademarks and geographical indications for potential export products of Vietnam abroad.

The agricultural sector also determined to monitor and grasp the price situation, and the supply of essential food products, and report to the Domestic Market Executive Team and the Government's Price Steering Committee. Coordinate with localities to support connection, andpromote processing and consumption of agricultural products in the harvest season.

Besides, organizing activities such as: connecting forums to promote the export of spices and spices to the EU market; 970 forums to support the connection of consumption of agricultural products; seminars to disseminate information, market regulations and consumer tastes, connect consumption through the system of commercial and agricultural counselors in markets, domestic retail distribution chains for a number of items with large output when they are harvested in June (litchi, jackfruit, rambutan, dragon fruit, lemon).