On the afternoon of August 6th, the Ministry of Industry and Trade organized the video conference “Trade Promotion for Agricultural and Aquatic Products in the South and Central Highlands of Viet Nam 2021” in Ha Noi with many domestic and foreign bridging points. The conference was chaired by Mr. Nguyen Hong Dien, Minister of Industry and Trade.

Mr. Nguyen Hong Dien, Minister of Industry and Trade, delivers a speech at the conference

In Dak Lak Province Mr. Nguyen Tuan Ha, Standing Vice Chairman of the Provincial People’s Committee, and leaders of provincial departments, branches, and enterprises attended the conference.

The conference attracted nearly 500 domestic and foreign delegates including representatives of the Ministry of Industry and Trade, the Ministry of Agriculture and Rural Development, People’ Committees and relevant agencies of provinces and cities in the South and Central Highlands, Viet Nam trade offices abroad, trade associations, business support organizations, distribution channels, e-commerce platforms, domestic import-export purchasing enterprises, foreign importers, and enterprises and cooperatives producing, processing, and supplying agricultural products and foods in the South and Central Highlands.

Overview of the conference in Dak Lak Province

Many speeches at the conference focused on: the need to connect the consumption and promote the export of agricultural and aquatic products in the South and Central Highlands; solutions to promote the consumption of agricultural and aquatic products in the South and Central Highlands through distribution systems in Viet Nam and e-commerce channels; the processing and storing of agricultural and aquatic products for export; and market conditions and requirements for agricultural and aquatic products imported into Japanese and EU markets.

According to reports from the Ministry of Industry and Trade and localities, the harvest of agricultural and aquatic products of the Southern provinces and Central Highlands is very large. However, supply and consumption are facing many difficulties including unbalanced supply and demand due to lack of labor for harvesting and processing and difficult transportation and circulation due to the requirements for epidemic prevention and control in localities. At the same time, consumption decreased due to the impact of the COVID-19 epidemic.

Particularly, Dong Nai Province has the capacity to supply about 63,000 tons of pork and 1,300 tons of chicken but needs rice, vegetables and cooking oil while Long An Province has a large amount of goods which can supply the market with rice (2,200 tons), vegetables and cooking oil. Dak Lak Province has demand to supply and export a large number of products such as coffee (450,000 tons), pepper (77,000 tons), and durian (50,000 tons).

According to the report of the Ministry of Industry and Trade, in the first seven months of the year, export turnover of agricultural, aquatic, and forestry products was estimated to reach 15.78 billion USD, increasing by 14.6% compared to the same period of 2020 and accounting for 8.52 % of total export turnover.

Most agricultural and aquatic products recorded growth in which rubber was the fastest growing commodity with an increase of 33.6% in volume and 73.6% in value over the same period in 2020, reaching 914 thousand tons worth 1.5 billion USD. Export turnover of cassava and products from cassava, pepper, and cashew kernels increased by 24.1%, 49.8%, and 14% respectively over the same period in 2020.

Similarly, the two commodities with the largest export turnover in this group, aquatic products and vegetables, also increased by 12.0% and 15% respectively over the same period in 2020. However, the consumption of agricultural and aquatic products in the domestic market has been affected because many southern provinces are applying Directive 16 to prevent and control the epidemic. Many types of agricultural products at the harvest time were consumed slowly, fell in price, or not even sold.

Solutions to sell agricultural and aquatic products on e-commerce platforms has been implemented quite effectively by the E-commerce and Digital Economy Agency of the Ministry of Industry and Trade in collaboration with Sendo, Tiki, Lazada, Shopee, and Postmart to partly support localities in solving the output of agricultural products.

Delivering the conclusion of the conference, Minister Nguyen Hong Dien emphasized that in order to actively remove difficulties in the consumption of agricultural and aquatic products in the harvest season, in the coming time cities and provinces need to urgently review the output of agricultural products and coordinate with relevant groups, ministries, and branches to receive advice and support from them.

Besides, development of a domestic market with nearly 100 million consumers must be promoted and considered a focus for consuming agricultural, aquatic, and seafood products. At the same time, export to traditional markets must continue to be promoted and potential markets must be expanded. Especially, localities must create conditions for processing businesses to resume operation to reduce the consumption of fresh agricultural products. It is necessary to maintain wholesale markets, local markets, and traditional markets and to prioritize COVID-19 vaccination for the workforce directly involved in the agricultural supply chain.

According to Dak Lak Department of Industry and Trade, many agricultural products of the Province are facing difficulties in consumption due to the impact of the COVID-19 epidemic. Notably, exports to the Chinese market account for 40% of the Province’s agricultural product output but exports are now stuck affecting the incomes and lives of farmers in the Province.

Meanwhile, many fruits of the Province including avocado and durian are entering the harvesting stage. It is expected that this year, the output will increase sharply due to the good harvest and the increase in the harvested area compared to previous years.

In that context, in order to support consumption of agricultural products, the Dak Lak Department of Industry and Trade asked the Departments of Industry and Trade of provinces and cities, supermarkets, and trade centers nationwide to coordinate to connect, promote, and consume agricultural products of Dak Lak.

Following this event, from August 9-10 the Ministry of Industry and Trade will continue to organize an online forum for trade between businesses in the South and Central Highlands and key export enterprises in the country, distribution systems, e-commerce platforms and foreign importers. At the event, information about the market and experience in market development will be shared by Viet Nam trade offices abroad, localities, and enterprises in the South and Central Highlands.