Fruit and vegetable businesses turn to US, Korea and EU markets

In the first two months of 2022, Vietnam’s fruit and vegetable export turnover only reached USD 534 million, down 12.3% over the same period last year. The main reason is that the export of vegetables and fruits to China – Vietnam’s largest market decreased sharply by nearly 19% over the same period last year. Before the above situation, Vietnamese enterprises have taken steps to shift export markets to the US, South Korea and European countries (EU), making the export market share to these countries increase sharply. Experts assess that this is a positive market shift of the fruit and vegetable industry.

Currently, China is still persisting with the goal of “Zero COVID”, so it is becoming more and more strict in quality control, traceability, packaging… making it difficult for many fruit and vegetable exporters to this market.

In that context, many Vietnamese enterprises began to change direction and look for new markets to replace, especially in the US, Korea and Europe. The trend of shifting fruit and vegetable exports to markets outside China, especially fastidious markets, continued to show clearly in the first month of 2022. Chairman of the Vietnam Fruit and Vegetable Association Nguyen Thanh Binh informed , in the first 2 months of 2022, exports of vegetables and fruits to the US increased by nearly 70%, reaching 46 million USD; Korea increased by nearly 32%, reaching 25 million USD; Japan increased 12%, reaching 23 million USD… Along with that, vegetable and fruit exports to Australia increased by 45.7%, the Netherlands increased by 51.5%, Russia increased by 33.9%…

According to Nguyen Dinh Tung, General Director of Vina T&T Joint Stock Company, Vietnam’s vegetables and fruits have many opportunities in the EU market because Vietnam is the only country in the Asia-Pacific region that has a free trade agreement with the EU.

In particular, after the Vietnam – EU Free Trade Agreement (EVFTA) took effect, the tax rate of some Vietnamese vegetables and fruits entering the EU was reduced to 0%, creating a huge competitive advantage compared to the EU. countries in the region. However, the EU has a lot of regulations and technical barriers, so products exported to this market must ensure high quality, have full certifications of food safety systems: HACCP, Global GAP…

For HungHau Foods, Right from the beginning the company did not depend too much on the traditional Chinese market. In its business strategy, HungHau Foods always focuses on diversification and constantly seeks and develops new products. new and potential market should not be affected too much. Up to now, HungHau Foods’ products have been present in over 21 countries around the world including: Korea, Germany, UK, Israel, Australia, India, France, Thailand, USA, Philippines, Netherlands, Slowvakia, Poland, Singapore, Portugal, Taiwan, Ukraine, Singapore, Belgium… HungHau Foods has also achieved certain results in major markets: Korea, USA, Germany with key product lines. : Mango, red dragon fruit, pineapple, passion fruit…. It can be said that these are the main markets that account for a high percentage of the company’s revenue.