Vietnamese durian exporters see opportunities, competition in China

For years the fruit was exported to China unofficially, but recently Chinese authorities approved 76 origin codes for durian farming areas in Vietnam and 25 codes for packaging firms.

Van Xuan Phat Import-Export Company, which has sent three containers, plans to export 1,000 tons of the fruit to China every month.

Ha Duy Trung, owner of the durian brand 9 Phe, said: “Being allowed to export under the official quota is a very good opportunity for Vietnamese durian. I foresee bigger durian exports to China in the next five or 10 years.”

China imported 821,600 tons of fresh durian last year for US$4.2 billion, the biggest import of any fruit, according to customs data. After an 82% increase last year, imports will keep rising this year, Japan’s Nikkei newspaper has forecast.

Vietnam’s total exports of the fruit in the first half of this year were worth over US$84 million, a more than 90% rise year-on-year, including US$2.86 million to China, up 123%, its biggest market, according to Vietnam Customs.

Container trucks carry the first batch of fresh durian exported to China under the official quota. Sept. 17, 2022, in the Central Highlands province of Dak Lak. Photo courtesy of Van Xuan Phat

However, to gain a foothold in China, Vietnamese durian will have to overcome many hurdles, according to local businesspeople.

The post-harvest technologies available in Vietnam could maintain the quality if durian only for three or four days and not for longer journeys by ship, an exporter said.

Quality has become vital since China is getting stricter and stricter on plant quarantine and food safety and hygiene.

It is also important for Vietnam to build strong durian brands to compete with Thai and Malaysian durian brands in China, businesses said.

According to Nguyen Vu Thang, operation director of Van Xuan Phat Import-Export Company, Thai durian is most popular in China.

“Vietnam has no strong durian brands now. Much remains to be done to compete with Thai and Malaysian durian.”

He said his company plans also to process the fruit to earn bigger revenues.

The Chinese market is set to become even more competitive since Laos, Cambodia and the Philippines are also eyeing it, Thai newspaper Bangkok Post reported.

Besides, Chinese firms are trying to grow the fruit in the provinces of Yunnan and Hainan and Guangxi region, and have not stopped trying despite failing several times.