Traders accelerate purchases of Vietnamese farm goods for export to China

Traders in the Mekong Delta region have lately accelerated purchases of farm goods to export to China, causing the prices of much agricultural produce to increase sharply.

Mr. Tran Cong Danh, Deputy Director of the Department of Agriculture and Rural Development of the Mekong Delta Province of Kien Giang, said that the current price of steamed or frozen white leg shrimp for export from VND130,000 to VND133,000 per kg, an increase of about VND5,000 per kg compared with the previous month. Many owners of shrimp farms in the U Minh Thuong area including districts: An Bien, An Minh, Vinh Thuan and U Minh Thuong said that processing factories have increased their purchases quite sharply to export to China.

Mr. Le Hoang Nam, General Director of Seafood Export Processing Company H.N. in Kien Giang Province, said that the Lunar New Year is approaching, the demand for seafood consumption in the Chinese market has increased quite strongly; for instance, it averagely increased by about 13 percent in January 2023 compared to the previous month. Price for export goods increased or decrease by around US$ 3-7 a ton, depending on fuel prices. In An Giang Province, the purchase price of raw pangasius has exceeded VND33,000 a kg, this is a record level since the outbreak until now.

Meanwhile, in Ca Mau Province, crab is a specialty favored by many Chinese consumers. Mr. Huynh Hung Anh, Head of the Nam Can District Collective Trademark Management Board said that about a week ago, traders started to accelerate purchases of crabs for export to China. Therefore, the price of crab has also increased by about VND30,000 a kg.

In Kien Giang Province, betel and areca products are strongly exported to China and Taiwan. In addition, other commodities such as vegetables, bananas, and tangerines which are grown in an area of about 1,200 ha around the buffer zone of U Minh Thuong National Park also increased in price because traders increased their purchase and export to China. In Tien Giang Province, the price of durian surged from VND40,000-VND50,000 a kg to VND80,000 a kg; even the MonThong durian variety sometimes up to VND92,000 a kg.

Ms. Ngo Tuong Vy, General Director of Chanh Thu Fruit Import-Export Group Company, said that it is important that fruit growers in the Mekong Delta need to form and maintain a good fruit output associated with growing area code for export to China.

Acting Director of Tien Giang Department of Industry and Trade Dang Van Tuan affirmed that the Chinese market is very important for the export of agricultural products, especially durian and fresh fruit of Tien Giang province in particular and Vietnam in general. In the past time, the majority of fruit export has been exported to China illegally. However, it will gradually switch to official export.

The Department of Industry and Trade of Long An Province is encouraging businesses and cooperatives to export goods to China under commercial contracts with clear transaction and delivery conditions at international border gates. At the same time, production and business establishments should well comply with China's conditions and regulations on the import and export of goods in order to avoid damage when exporting goods to China.

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