Aotearoa reported $172 million in horticultural exports to Vietnam in 2024, predominantly from apples, kiwifruit, and cherries. The comprehensive strategic partnership established in February aims to facilitate the entry of more New Zealand horticultural products into Vietnam, Southeast Asia's rapidly expanding economy.
New Zealand's apple exports to Vietnam totaled $126 million, making it the second-largest market after China, followed by kiwifruit at $30 million and cherries at $10 million. Heartland Fruit, a family-owned apple company in Richmond, Tasman District, exported $7.8 million worth of Nelson apples to Vietnam. Brendon Osborn, General Manager of Sales and Marketing, highlighted the logistical challenges, stating, "We send into Vietnam, and it goes to the wholesale markets in Ho Chi Minh and Hanoi and Danang."
The Ministry for Primary Industries (MPI) confirmed ongoing discussions with Vietnamese officials regarding new market access for pears, avocados, and summer fruit. Steve Ainsworth, MPI's divisional manager, noted that the process involves a detailed plant pest risk analysis and negotiations to manage pests and diseases.
The ASEAN-Australia-New Zealand free trade agreement (AANZFTA) has enabled tariff-free entry for products like passionfruit and blueberries. Liz Bell, Executive Director of the ASEAN-New Zealand Business Council, identified opportunities in primary sectors, health, and convenience foods, emphasizing Vietnam's regulatory improvements.
Prime Ministers Christopher Luxon and Phạm Minh Chính aim for a $3 billion trade partnership by 2026. During Luxon's visit to Vietnam, 16 business deals worth an estimated $130 million were signed, including one with T&G Global to expand Envy apple distribution by 50% in WinCommerce stores. James Gordon, T&G Global's General Manager for Asia, stated, "Every primary industry has a lot of focus on Vietnam, and particularly for fresh produce, it's been a real star."
Vietnam's economy, growing at approximately 5% annually, presents challenges due to external risks and global demand fluctuations. Despite this, New Zealand fruit companies are eager to capitalize on Vietnam's market potential.
Source: RNZ