How Vietnam can gain international success leveraging advancements in perishable goods logistics
As Vietnam’s perishable goods exports continue to grow, strengthening cold-chain logistics and infrastructure will be crucial to maximizing opportunities, writes Ee-Hui Tan, managing director, FedEx Express, Vietnam and Cambodia.
Ee-Hui Tan, managing director, FedEx Express, Vietnam and Cambodia. Photo courtesy of FedEx.
China’s demand for fresh produce continues to soar, intensifying competition among Southeast Asia countries.
In 2024, China imported a record $6.99 billion worth of durians, with Thailand leading at $4 billion. However, Vietnam is rapidly gaining ground, increasing its durian exports to China by 37.6% in 2023 to reach $2.9 billion, securing a 41.5% market share.
As China's demand for premium perishables continues to rise, Southeast Asia exporters are intensifying efforts to strengthen their supply chains, meet stringent import regulations, and enhance branding to differentiate themselves. The battle for China’s perishable market is far from over, and as regional players ramp up their efforts, the competition is expected to reach new heights in the coming years.
The perishable export sector remains a significant contributor to Vietnam’s economy, with fruit and vegetable export turnover reaching $5.6 billion in 2024, of which China accounting for nearly 65%, or $3.63 billion.
Vietnam is leveraging its agricultural strengths and proximity to China, but perishable exports require an efficient logistics network. Currently, businesses rely on trucking, rail, and air transport. While cross-border trucking remains the preferred mode of transportation, this approach can be challenged by road congestions and temperature fluctuations, especially during the peak export season in June.
As a result, exporters turn to air freight as an alternative as perishables need to be moved quickly especially over long distances. In 2024, Vietnam’s air cargo volume for perishables to China surged by 42.5%, further cementing the importance of how air freight forwarding services plays a critical role in making sure these temperature-sensitive products maintain their integrity upon arrival.
Perishable shipments accounts for 78% of total air cargo volumes from Vietnam to China in 2024, underscoring high demand for rapid, temperature-controlled transportation. This shift highlights the growing need for speed, reliability, and shipments that require special handling, as demand for fresh produce continues to rise.
As market demand spikes, Vietnamese agricultural exporters must adopt a flexible, multi-modal shipping strategy, balancing truck, air, and sea freight to optimize efficiency. Air cargo, combined with advanced cold-storage solutions, is playing an essential role in preserving quality and ensuring seamless deliveries.
With the right logistics approach, Vietnam is well-positioned to strengthen its foothold in China’s perishable market while further expanding its agricultural dominance in the global market.
Vietnam’s cold-chain market, valued at $1.5 million in 2024. Photo courtesy of FedEx.
Challenges in perishable logistics
Despite soaring demand for Vietnamese perishable goods in China, logistical hurdles continue to impede the full potential of exports. Addressing these challenges is crucial for Vietnam to strengthen its position as a key supplier in the global perishable goods trade.
One of the most pressing issues is limited cold-storage capacity, which creates bottlenecks in handling temperature-sensitive products. This increases the risk of spoilage and delays, particularly as modern retail expansion and shifting consumer preferences drive greater demand for chilled and frozen foods. At the same time, infrastructure development has not kept pace with rising trade volumes, leading to inefficiencies in transportation and storage.
Additionally, stricter import regulations in China add another layer of complexity for exporters. Compliance with evolving standards such as intensified inspections on agricultural imports requires businesses to focus on traceability, product quality, and adherence to stringent food safety protocols. Without robust cold-chain logistics, even high-demand products may struggle to meet regulatory requirements.
To maintain export momentum, Vietnam must invest in specialized cold-chain infrastructure, efficient transport, and streamlined customs processes. Logistics providers like FedEx are introducing tailored solutions to address these needs.
Innovative temperature-controlled solutions play a vital role in ensuring product integrity. Safe containers offer an active compressor system, maintaining stable temperatures between 2°C and 8°C or 15°C and 25°C, with single-pallet (RKN) and multi-pallet (RAP) options. Meanwhile, the Envirotainer RKN t2 provides a dry ice-cooled alternative, making it ideal for frozen and chilled shipments.
Beyond transportation, regulatory and storage support is equally essential. Customs clearance assistance helps exporters secure import permits and licenses efficiently, reducing delays and ensuring compliance with international standards.
Additionally, FedEx’s inbound express warehouses maintain controlled temperatures ranging from -10°C to +25°C, providing flexibility for diverse perishable shipments and ensuring product freshness upon arrival.
As Vietnam’s perishable goods exports continue to grow, strengthening cold-chain logistics and infrastructure will be crucial to maximizing opportunities. With continued investments in infrastructure and technology, FedEx remains committed to supporting businesses with tailored logistics solutions, helping Vietnam solidify its role as a key player in Southeast Asia’s perishable trade.
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