In key agricultural sectors such as coffee, rice and cassava, export volumes have risen while export earnings have come under pressure, highlighting the need to increase the value and competitiveness of Vietnamese products.
Vietnam exported 1.44 million tonnes of coffee in the first nine months, up more than 15 percent year on year. But export value declined by over 7 percent as average prices fell by 20 percent. This shows increasing output alone is not enough when global prices fluctuate.
Nguyen Nam Hai, chairman of the Vietnam Coffee and Cocoa Association, said: "Green coffee still accounts for about 92 percent of coffee export volumes. Deep-processed coffee represents only around 8 to 9 percent of export volumes but generates about 17 to 18 percent of export earnings. Therefore, shifting towards deeper processing will be a key task to improve competitiveness and generate more value".
Other agricultural exports face similar challenges. Pepper export volumes have risen, but prices have fallen, while rice, rubber and cassava products also face pressure.
Experts say large-scale production is only an initial advantage. Processing, quality, and branding will determine the value Vietnamese products can achieve in global markets.
Dau Anh Tuan, Deputy Secretary General of Vietnam Chamber of Commerce and Industry, said: "A long-term solution is to improve quality, expand processing and build strong brands. Although Vietnam exports large volumes, many products remain unprocessed and lack strong brands. Developing brands and securing higher prices are fundamental to increasing export value."
The Ministry of Agriculture and Environment says future growth efforts will focus on upgrading growing areas, meeting market standards, expanding processing capacity and diversifying export markets.
Vo Van Hung, Deputy Minister of Ministry of Agriculture and Environment, said: "We need to pursue sustainable development, increase added value, and promote deeper processing to bring better returns for producers and businesses. At the same time, we must improve quality, meet market standards, expand new markets, retain traditional ones, and build a brand for Vietnamese agricultural products".
To reach its export target of US$74.2 billion, the sector needs to generate another US$18 billion in export earnings in the final three months of the year. The challenge now is not only to export more, but to create more value from every agricultural product.
