MARD says farm produce imports and exports increase

The total import and export revenue of farm, seafood, forestry products and fertilizer increased sharply in the first five months of the year, with import and export growth rates of 47.2 percent and 15.7 percent in comparison with the same period of the last year, according to the Ministry of Agriculture and Rural Development (MARD).

Though the import growth rate was three times higher than the export growth rate, Vietnam still saw an excess of exports over imports of $1.8 billion for farm produce for the first five months of the year.

Farm produce exports go for good prices

It is estimated that total export revenue of farm, forestry seafood products in May will reach $1.61 billion, raising total export revenue in the first five months of the year to $7.22 billion, an increase of 15.7 percent over the same period last year. Of this amount, export revenue of farm produce was $3.9 billion, up by seven percent, seafood products $1.62 billion, up by 17.3 percent, forestry products $1.12 billion, up by 9.5 percent in comparison with the same period of last year.

According to MARD, most of farm, forestry and seafood products have seen the high growth in export revenue because export prices have increased considerably in comparison with 2009.

Rice was the product which had the highest export revenue. In May, Vietnam exported 730,000 tonnes of rice, reaping $390 million in export revenue. This means that total rice export volume in the first five months of the year has reached 2.9 million tonnes and that export revenue reached $1.5 billion. Vietnam’s rice export in the first five months of the year decreased by eight percent in quantity, but increased by 3.5 percent in value

Nevertheless, Vietnam’s rice export price is among the lowest levels in comparison with the export prices of other countries. The average export price was $532 per tonne in the first four months of the year.

In the rubber industry, Vietnam exported 35,000 tonnes in May and reaped $94 million. This means it exported 191 tonnes in the first five months of the year and reaped $513 million dong. These figures represent a modest increase of 3.7 percent in quantity, but a twofold increase in value compared with the same period of 2009, thanks to the good prices.

The rubber price has been increasing steadily since mid-2009 thanks to the recovery of the world’s economy and the fall in rubber supply in the world market. The four-month average export price was up to $2693 per tonne, a sharp increase of 94.5 percent over the same period of last year.

The average export price of cashew nuts was also high in the first four months of the year, resting at $5237 per tonne, an increase of 18.8 percent over the same period of the previous year.

Only coffee has seen its export revenue and export volume down in the first five months of the year. Vietnam exported 584,000 tonnes of coffee in the last five months, earning $810 million, down by 11.4 percent in quantity and 17.3 percent in export revenue.

Imports increase by 47 percent

Also according to MARD, total import revenue of farm, forestry, seafood products and the materials serving local production reached $1 billion in May and $5.4 billion in the last five months, an increase of 47.2 percent over the same period of last year.

Explaining the unexpected sharp increase of the import revenue, MARD said import prices all have increased.

Only fertilizer saw it import volume and import value decrease considerably, because many Vietnamese enterprises have halted import when they saw import prices and expenses increasing

By the end of May 2010, Vietnam had imported 1.28 million tonnes, worth $401 million, equal to two-thirds of the value and volume of the same period last year.

Thoi bao Kinh te Vietnam

Tags: farm produce exports, Vietnam farm produce imports