In the first ten months of 2024, Việt Nam experienced a significant increase in fruit and vegetable imports, amounting to nearly US$1.87 billion, which represents a 15.7 per cent increase compared to the same period in the previous year. This surge in imports can be attributed to significant increases from the US, Thailand, and Myanmar, with rises of about 30 per cent, 31.1 per cent, and 33.1 per cent, respectively.
In October alone, the fruit and vegetable import turnover in Việt Nam was nearly $211.7 million, marking a 30.8 per cent increase year-on-year. The primary suppliers of fruits and vegetables to Việt Nam during this period were China, the US, Australia, and Myanmar, with China being the largest supplier. China's exports to Việt Nam totaled $794 million, accounting for 42.5 per cent of Việt Nam's total fruit and vegetable imports, and saw a 21.2 per cent increase year-on-year.
The US was the second-largest supplier, with exports worth $336 million, up by nearly 30 per cent and constituting 18 per cent of Việt Nam's total imports in this category. US agricultural products that have found a market in Việt Nam include a variety of fruits like apples, grapes, oranges, cherries, pears, blueberries, peaches, and nectarines.
Despite the growing market, US fruits exported to Việt Nam face high import tariffs, with plums, blueberries, and tangerines subjected to tariffs of 20 per cent, 15 per cent, and 20 per cent, respectively. These tariffs present challenges to the further expansion of US fruit exports to Việt Nam.
In light of these developments, discussions at the seventh Việt Nam - US Business Summit included the potential negotiation of a bilateral Free Trade Agreement (FTA) between Việt Nam and the US. Such an agreement could pave the way for more favorable conditions for businesses in both countries, including the reduction of tariffs on agricultural products like fruits and vegetables, thereby enhancing the trade relationship between the two nations.
Source: Vietnam News