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    Agricultural Insurance on the Rise: How Climate Risks Are Reshaping Farming in Russia and Tatarstan

    Agricultural Insurance on the Rise: How Climate Risks Are Reshaping Farming in Russia and Tatarstan

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Vietnam Agriculture: The Power of Value-Added Processing

by Tatyana Ivanovich
April 23, 2024
in Logistics, Market
0
Vietnam Agriculture: The Power of Value-Added Processing

As Vietnam aims to achieve a target export income of US$54-55 billion in agriculture, forestry and fisheries by 2024, investment in value-added processing is becoming a key strategy. This article explores the transformative impact of agricultural export processing, shedding light on growing success stories and the critical role played by advanced processing technologies.

Mr. Dinh Cao Khue, Chairman of Doveco, highlights the company’s efforts to establish modern fruit and vegetable processing centers, an example of which is the Doveco Gia Lai Processing Centre. This modern facility is equipped with advanced equipment and technology from Italy, Germany and Japan to process a variety of fruits such as pineapples, mangoes and bananas. Thanks to advanced processing, Doveco products have penetrated into more than 60 countries, occupying a significant presence in high-quality markets such as the USA, Japan and European countries.

The processed fruit and vegetable export sector has seen significant growth, with export earnings of nearly US$1.2 billion in 2023, representing approximately 21% of total export earnings in this category. The expansion of processing capacity, coupled with the creation of high-quality raw material zones, has played an important role in this growth.

Mr Ho Quoc Luc, Chairman of FIMEX VN, emphasizes the importance of product diversification and value addition through processing. While advances in processing technology are important, attention to packaging technology is equally important to meet consumer preferences. Investment in modern packaging equipment is necessary for companies to remain competitive in the market.

In the broader context of agricultural processing, there’s a concerted effort towards modernization and efficiency enhancement. Leveraging free trade agreements and regional partnerships, Vietnamese businesses are investing in advanced technologies and supply chain optimization to capitalize on market opportunities.

Despite being a relatively small percentage of the total business entities in Vietnam, the food processing industry plays a pivotal role in both domestic and international markets. With a significant presence in fruit and vegetable processing and a growing workforce in the frozen seafood segment, the industry demonstrates immense growth potential.

The path to achieving Vietnam’s ambitious agricultural export targets depends on adopting value-added processing as a cornerstone of the strategy. By using modern technology and paying special attention to product quality, Vietnamese enterprises can take the country’s agricultural exports to new heights, strengthening their position in the global market.

Tags: agribusinessAgricultureeconomic growthexportMarket ExpansionProcessing technologiesSeafood industryValue-added processingVietnam
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