Việt Nam's durian exports set sights on new record

Việt Nam's durian exports set sights on new record

Durian exports reached nearly US$1.1 billion in the first six months of this year, up 32 per cent year-on-year. The industry's strongest export season, however, is still ahead.

At a durian farm in Lâm Đồng province. — VNA/VNS Photo

Việt Nam's durian industry is poised for another year of record-breaking export earnings as stronger institutional reforms, improved market access and streamlined export procedures boost confidence that the country's "king of fruits" could generate US$4.5 billion in export revenue this year. 

Just four years ago, few imagined that a single fruit could become one of Việt Nam's billion-dollar export earners. Since fresh durian exports to China officially began in 2022, the industry has set a new export record almost every year and is now emerging as one of the country's fastest-growing agricultural sectors. 

Durian exports reached nearly $1.1 billion in the first six months of this year, up 32 per cent year-on-year. The industry's strongest export season, however, is still ahead. The Central Highlands harvest, which accounts for a large share of annual production, begins in August and lasts through October. During the same period last year, the country's monthly export turnover approached $1 billion. 

With exports maintaining strong momentum, industry insiders believed annual revenue could exceed $4 billion and potentially reach $4.5 billion, bringing Việt Nam closer to Thailand in supplying China's lucrative durian market. 

Recent policy developments have strengthened those prospects. The General Administration of Customs of China (GACC) officially recognised 18 additional Vietnamese testing laboratories on July 31, raising the total number of approved laboratories to 50. 

The move comes after exporters faced disruptions earlier this year when several laboratories temporarily suspended operations, slowing customs clearance for shipments. 

At the same time, authorities have accelerated the issuance of planting area codes, with processing time reduced from ten days to three days through a fully digital system. 

The Government has also intensified efforts to clean up the industry. Authorities have prosecuted and detained several officials for allegedly receving bribery and abuse of power in the management of planting area codes and export procedures, aiming to eliminate unnecessary administrative barriers and restore fair competition. 

Industry experts said fraudulent trading of planting area codes had undermined the sector for years. The ongoing crackdown is expected to improve transparency and strengthen confidence among overseas buyers. 

Việt Nam is also expanding beyond its heavy reliance on China by opening new markets. 

India has recently opened its market to Vietnamese durian, offering another promising destination as production continues to increase. 

Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetables Association (VINAFRUIT), estimated that exports to India could generate $50-100 million annually in the initial years as consumers gradually become familiar with the fruit. 

Việt Nam's durian exports officially began four years ago after Việt Nam and China signed a protocol on fresh durian exports in July 2022. Export turnover reached $400 million in the final months of that year before surging to $2.2 billion in 2023. 

Last year, exports climbed to $3.8 billion, placing durian alongside Việt Nam's traditional export staples such as rice, shrimp, rubber and cashew nuts. 

Unlike several major agricultural exports that rely partly on imported raw materials, durian's value is created almost entirely within Việt Nam, generating higher returns for domestic growers. 

Despite its rapid rise, the industry remains heavily dependent on China, which accounts for around 90 per cent of exports. Experts therefore stressed the need to diversify markets while investing more in processed durian products, which are easier to transport, have a longer shelf life and appeal to a broader range of international consumers. 

Bizhub