Vietnam’s durian export market has experienced a staggering decline, plummeting 58% year-on-year in the first five months of 2023, with total revenue dropping to $386 million. Once celebrated as the golden fruit of the nation, durian’s dominance in Vietnam’s fruit and vegetable exports has sharply decreased, with its share sliding from 35% at the start of the year to a mere 17%, as reported by Vietnam Customs.
Strikingly, exports to China—the primary destination for Vietnamese durians—fell to $278 million, marking a drastic 67% reduction compared to the same period last year. This downturn is particularly concerning given that durian is a crucial pillar of Vietnam’s agricultural economy, which saw overall exports of fruits and vegetables dip by 13.5% to $2.3 billion.
Exporters are now grappling with heightened scrutiny as China tightens its import regulations. “China has intensified checks for heavy metal residues, plant quarantine, and fraudulent growing area codes, making customs clearance more challenging,” stated Dang Phuc Nguyen, general secretary of the Vietnam Fruit and Vegetable Association. Due to these new standards, many businesses are opting for smaller shipments rather than risking large contracts fraught with spoilage fears. Some have even halted exports altogether, shifting their focus to documentation and compliance efforts.
To navigate these tumultuous waters, Nguyen has suggested the establishment of mini testing laboratories for banned substances at farm sites, similar to initiatives taken in Thailand. “Fruits should be tested at farms and given compliance certificates. They then can be verified by China-approved labs before being exported,” he emphasized, pointing to the potential for more efficient customs processing.
Meanwhile, Hoan Vu Inspection—a company authorized by China for quality testing—has urged better management of illegal fertilizers and the formulation of clearer cultivation guidelines. Efforts must also be made to remediate soil contaminated with heavy metals to promote sustainable farming practices.
During a meeting on May 28 between officials from Vietnam’s Ministry of Agriculture and Environment and China’s General Administration of Customs, both sides agreed to extend working hours at customs and deploy additional personnel at border checkpoints to ease congestion. In a sign of optimism, China has increased its list of approved sources by adding 829 growing areas and 131 packing facilities in Vietnam for durian exports.
Vietnam’s Agriculture Minister Do Duc Duy hailed this development as “a significant technical step and encouragement for businesses and farmers.” Additionally, Vietnam has proposed several key measures, including amending food safety policies to facilitate trade, accelerating customs clearance, and approving more laboratories equipped to test for cadmium and other harmful substances. A detailed report outlining Vietnam’s dedication to reinforcing the production, processing, and export supply chain has been submitted, signaling a commitment to restoring the glory of its beloved durian.
What factors contributed to the decline in Vietnam’s durian exports?
The decline is primarily attributed to stricter import regulations and enhanced screening measures imposed by China, which accounts for a significant portion of Vietnam’s durian market.
What solutions are being proposed to improve durian exports?
There are calls for establishing mini testing labs for banned substances at growing sites and providing compliance certificates for fruits, allowing for smoother customs processes.
How is the Vietnam government responding to the export challenges?
Vietnam’s government is enhancing cross-border cooperation with China, extending customs working hours, and amending food safety policies to facilitate trade and improve export logistics.
