Significant Drop in Dragon Fruit Exports

According to Vietnam Customs, all top 10 markets experienced a decline in purchases, with China, the largest buyer, reducing its spending by 60% to $15 million compared to May. Other significant markets like India, the U.S., and the United Arab Emirates saw reductions between 48% and 57%.

Supply Constraints and Weather Woes

Huynh Canh, chairman of the Binh Thuan Dragon Fruit Association, pointed to unfavorable weather in May and June as a primary cause. The conditions led to fungal diseases and crop damage, resulting in many shipments failing to meet quality standards.

A farmer collects dragon fruits in Binh Thuan Province, February 2022. Photo by VnExpress/Viet Quoc

Global Market Competition and Certification Hurdles

Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetable Association, highlighted increased competition as China, India, and South American countries entered their harvest seasons. Additionally, changes in the authority issuing food safety certificates for the EU market have complicated exports, with a new circular shifting responsibilities to provincial People’s Committees.

Impact and Government Response

The transition disrupted the certification process, leading to spoilage of over 100 tons of dragon fruit by July 25 and leaving 50-70 tons awaiting certification. Prime Minister Pham Minh Chinh has directed agencies to address these bottlenecks, emphasizing the need for timely solutions to safeguard Vietnam’s export reputation.