Agricultural exports likely to exceed 60 billion USD amid challenges

With swift production recovery and continued growth, Vietnam's agricultural sector could potentially surpass the 60 billion USD export target, according to the Ministry of Agriculture and Rural Development (MARD).

In its report, the ministry said that the first nine months of this year saw farm produce exports reach 46.28 billion USD, a 21% year-on-year increase. The sector also achieved a trade surplus of 13.9 billion USD, up 71.2% from 2023, contributing 66.8% of the nation’s total trade surplus.

Agricultural export turnover led the pack with 24.85 billion USD, a 27.7% rise. Forestry and aquaculture products earned 12.46 billion USD and 7.23 billion USD, up 20.3% and 9.5%, respectively, while the livestock sector brought in 376 million USD, a modest 3.8% increase.

Key products like coffee, rice, cashew, fruit, shrimp, pangasius, and peppercorn significantly boosted export growth. In particular, prices of several staples reached record highs, with the costs of coffee exports up by 56%, pepper 49.2%, and rice 13.1%.

Deputy Minister Phung Duc Tien expressed optimism that if the growth momentum holds, agricultural exports could achieve a record 60-61 billion USD by year’s end.

However, he noted that despite favourable trends, the sector faces serious challenges, notably the impact from Typhoon Yagi that has inflicted over 1.25 billion USD in damage on the sector, with livestock and aquaculture being the hardest hit.

The high cost of production materials for aquaculture remains a pressing issue. Moreover, fourth-quarter export results for the fisheries sector will partly depend on the EU's ongoing inspection related to illegal, unreported, and unregulated (IUU) fishing, as well as US decisions regarding anti-subsidy duties on Vietnamese shrimp.

To accelerate the post-storm recovery, the official recommended further support production revitalisation and promote effective agricultural models across localities unaffected by the typhoon.

He went on noting that to sustain domestic production, it is necessary to tighten anti-smuggling measures, limit imports, and establish a stronger foothold in the Halal market of 2.2 billion people with immense growth potential./.