Opportunity to export agricultural products to Korea

In recent years, Vietnam has promoted the export of agricultural, forestry and fishery products to Korea by taking advantage of the Vietnam-Korea Free Trade Agreement (VKFTA). In 2024, it is forecast that some of Korea’s agricultural product supply will decrease, which will be an opportunity for Vietnamese businesses to exploit and expand the market.

In 2024, Vietnam has many opportunities to export seafood to Korea.

According to statistics from the Korean Customs agency, in 2023, Vietnam will be the largest cassava supplier to the Korean market, with 94.13 thousand tons, worth 38.65 million USD, a decrease of 33%. .4% in volume and down 35.5% in value compared to 2022. Vietnam’s cassava market share accounts for 51.09% of Korea’s total cassava imports, higher than 45.41% in 2022.

Regarding cassava starch, Vietnam is the second largest cassava starch supplier to the Korean market in 2023, with 5.3 thousand tons, worth 3.03 million USD, an increase of 32.5% in volume and increase 29.4% in value compared to 2022. In 2023, Vietnam’s cassava starch market share accounts for 14.38% of the total imported cassava starch in the Korean market, up from 11.13% of the Korean market in 2022.

Regarding seafood products, in 2023, Korea’s seafood imports will decrease because the economy faces many difficulties and domestic demand decreases. For the whole year 2023, Korea’s seafood imports will reach 1,341 million tons, worth 5.928 billion USD, down 15.9% in volume and down 8.4% in value compared to 2022. Vietnam is a supply market. The third largest supplier of seafood to Korea in 2023, Vietnam’s seafood market share in Korea’s total import value decreased from 14.2% in 2022 to 13.5% in 2023.

It is forecast that in 2024, Korea’s seafood imports are likely to increase again when the Korean economy recovers. According to the Institute of Policy and Strategy for Agricultural and Rural Development, at the “Maritime and Fisheries Outlook Conference 2024” held in Seoul on January 11, 2024, South Korea’s fisheries output is expected to forecast to reach 3.73 million tons in 2024, an increase of 2% compared to last year. Among them, inshore fisheries are expected to increase by 1.3% to 960,000 tons, offshore fisheries are expected to remain the same at 400,000 tons and Marine aquaculture output is expected to increase by 2.5% to 2.33 million tons.

However, it is likely that extreme climate events such as unusually high temperatures will occur more frequently in 2024 and cause damage to fish stocks, causing Korea’s fishing output to not reach the same level. expected to open up export opportunities for other countries, including Vietnam.

​The year 2024 is also expected to create a breakthrough in fruit and vegetable exports to Korea. Mr. Dang Phuc Nguyen – General Secretary of the Vietnam Fruit and Vegetable Association said that by 2023, Korea will be Vietnam’s third largest fruit and vegetable export market, after China and the US with a turnover of 226 million USD, reaching 125% of 2022 turnover. In 2024, it is likely that this growth number will be even higher. Currently, Vietnamese tropical fruit products still have great potential in the Korean market.

According to forecasts, South Korea’s total citrus fruit production in the 2023/24 crop year will reach 570,000 tons, down 2.1% compared to the previous crop year due to reduced tangerine productivity and a slight decrease in planted area. On the other hand, Korea does not produce oranges domestically, the supply is completely dependent on imports. The volume of imported oranges in the 2023/24 crop year is forecast to increase by 5.7% (5,000 tons) compared to the 2022/23 crop year to 92,000 tons.

​Regarding coffee products, information from the Institute of Policy and Strategy for Agricultural and Rural Development shows that the revenue of the coffee market in Korea will reach about 2.2 billion USD in 2024. Speed Growth in the period 2024-2028 is estimated to reach 3.71%/year. It is estimated that by 2028, the amount of coffee consumed in this market will reach 82.4 thousand tons. In 2024, Korea’s average coffee consumption is expected to be 1.47 kg/person.

This is a great opportunity for Vietnamese coffee to penetrate deeper into the Korean market. In 2023, Vietnam’s coffee exports to Korea will increase in both volume and value. Specifically, export value in 2023 reaches 117.2 million USD, reaching 127% of 2022 turnover; Export volume reaches 45.6 thousand tons, reaching 120% of the volume in 2022.

​Source: https://nhandan.vn/co-hoi-xuat-khau-nong-san-sang-han-quoc-post797247.html