Durian leads Vietnam’s fruit export charge, but serious challenges remain

By Lan Do
Mon, September 9, 2024 | 11:45 pm GMT+7

Vietnamese fruits led by durian have been making their international mark with access to new markets, but sustained success depends on overcoming several serious challenges, officials and industry insiders caution.

Following the successful entry of grapefruit into the South Korean market, fresh coconut and frozen durian are being officially exported to China. This development is expected to diversify export opportunities, ease harvest pressure, and create greater added value for Vietnamese fruit.

Vietnamese fruit exports reached $4.63 billion in the first eight months of the year, up 30.6% year-on-year, official data shows. If other fruit varieties seize market opportunities promptly, this growth could accelerate even further.

For instance, export of frozen durian could potentially reach $400-500 million this year, marking the first year after signing a protocol with China on August 19, experts said. It may even join the ranks of agricultural products with a "billion-dollar" export value by 2025.

Quach Anh Tuan of a resident of Daklak province in Vietnam's Central Highlands checks the ripeness of fruit at his durian orchard. Photo courtesy of the government's news portal.

Quach Anh Tuan of a resident of Daklak province in Vietnam's Central Highlands checks the ripeness of fruit at his durian orchard. Photo courtesy of the government's news portal.

Durian continues to lead fruit export value at approximately $1.7 billion in the first seven months of 2024, accounting for 41% of the total, according to the government's news portal.

The Central Highlands, the country's largest durian-growing region, is currently in its peak harvest season, providing a significant supply of both fresh and frozen durian for export.

Deputy Minister of Agriculture and Rural Development Phung Duc Tien said that since durian gained entry to the Chinese market, its growth has been substantial.

Localities have responded by establishing high-quality durian production areas, focusing on proper cultivation, area codes and packaging facilities. Exporting frozen durian through official channels is expected to further diversify products and enhance value for the industry.

The protocol for inspection, plant quarantine and food safety requirements for frozen durian exported from Vietnam to China includes whole durian (with shell), pureed durian (without shell), and durian pulp (without shell), sourced from ripe, fresh fruit grown in the country.

The Plant Protection Department under the agriculture ministry has said that frozen durian exported to China must originate in registered orchards. Authorities will inspect facilities involved in producing, processing and storing frozen durian and introduce qualified businesses to their Chinese counterparts. Only registered enterprises will be permitted to export frozen durian to China.

Packaging facilities for frozen durian must meet food hygiene and safety standards in the packaging process, traceability and food safety control procedures (HACCP). Freezers and other cold storage equipment should also meet set requirements.

Doan Thu Giang, chairwoman of Vinh Khang JSC, told the government's news portal that alongside fresh durian, the company was ready to export frozen durian. With the durian season underway in the Central Highlands, the company is recruiting the needed workforce, she said.

Dang Phuc Nguyen, general secretary of the Vietnam Fruit and Vegetable Association, said frozen durian will help reduce inventory during peak season, stabilize prices and increase the income of farmers and businesses.

In 2023, China spent nearly $6.7 billion on importing fresh durian and over $1 billion on frozen durian. Gaining official approval to export frozen durian to China presents an opportunity for businesses and cooperatives to invest processing and cold storage facilities. It also represents a significant advancement in preservation technology.

Risk factors

Nguyen cautioned that the durian industry will face strong competition, particularly with Malaysia’s successful negotiations to export fresh fruit to China. However, the fruit remains popular in many countries, including India, Japan, and the U.S.

He noted that higher demand and prices have prompted some traders and farmers to harvest unripe durian.

Such practices could harm the reputation of businesses, the industry and Vietnam's national brand, he warned, adding that authorities need to take swift action to control, sanction, or enforce regulations against harvesting immature durian for export.

He also emphasized the need for developing national standards for fresh and frozen durian exports, which would provide a basis for accurate and objective quality checks.

The government's news portal quoted Ngo Tuong Vy, general director of Chanh Thu Fruit Import-Export Corporation, as saying that the fruit industry, in general, faces several challenges and bottlenecks including inconsistent product quality and lack of cohesion between different stages of the supply chain.

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