Cambodian agricultural products "land" in Vietnam market

VCN - In the past few years, many Cambodian agricultural products have massively "landed" into the Vietnamese market, even when Cambodia became the largest supplier of agricultural products to Vietnam. This situation has raised many concerns.
Export of agricultural products - Quality and supply determine Export of agricultural products - Quality and supply determine
Export agricultural products valued at Export agricultural products valued at "millions of dollars" through Lao Cai border gate Customs
Significant benefits in exporting agricultural products by rail Significant benefits in exporting agricultural products by rail
Cambodian agricultural products
Cashew nuts are one of the typical products that Vietnam increases imports from Cambodia. Photo: Internet

Imports increased sharply

As a country with strengths in producing and exporting agricultural products, it is expected that Vietnam's agricultural, forestry and fishery exports will earn an impressive amount of about US$ 55 billion this year. However, every year, Vietnam spends billions of dollars importing agricultural products to serve consumption and processing needs. Vietnam mainly imports agricultural, forestry and fishery products from the US, China, Brazil, and New Zealand. However, it is notable that in the past two years, Cambodian agricultural products have suddenly "landed" in Vietnam. As a result, this country has become the main supplier to the Vietnamese market.

Statistics from the General Department of Customs show that, in 2012, agricultural products imported from Cambodia only reached US$ 214.8 million, with only four items including wood and wood products, corn, aquatic products, and rubber. However, rubber is the import item with the highest value when reaching the USwith $171.2 million. By 2015, Vietnam imported the above four items from Cambodia, but the turnover increased to US$ 537.6 million. In 2020, the number of imports will reach about US$ 756.2 million. Furthermore, in addition to four items: wood products and wood products, corn, aquatic products, and rubber, in 2020, Vietnam started to import vegetables and fruits from Cambodia.

The year 2021 witnessed the rapid "landing" of Cambodian agricultural products into Vietnam when the import turnover increased to US$3.487 billion, an increase of 4.6 times compared to 2020 and 16.2 times in 2012. Vietnam's main imports from Cambodia include cashew nuts, wood and wood products, corn, soybeans, rubber, rice and vegetables. The import turnover of rubber and cashew nuts surpassed US$1 billion, reaching US$1.54 billion and US$ 1.87 billion, respectively. However, even the massive import of cashews from Cambodia in 2021 shows signs of commercial fraud.

A Cambodian Ministry of Agriculture, Forestry and Fisheries report shows that the country's agricultural exports in 2021 will reach nearly US$5 billion. Vietnam is the leading country in importing Cambodian agricultural products, with nearly US$3.5 billion. Compared to the same period last year, Cambodia exported 3.5 million tons of rice to Vietnam, up 61%. Other agricultural products also increased by 10-400% in turn. For example, with cashew nuts, in 2021, 99% of Cambodia's output will be exported to Vietnam, with nearly 1 million tons, up 4.6 times over the same period in 2020.

In the markets that supply agricultural products to Vietnam, Cambodia has gradually occupied the leading position in recent years, especially in 2021. Even in September 2021, this country rose to the top position, 1st place, surpassing both the US and China. Entering the ten months of 2022, Vietnam has spent up to US$ 2.429 billion to import agricultural products from Cambodia. Although the import turnover of many products from Cambodia decreased sharply, it is still one of the main suppliers of agricultural products to Vietnam.

Cambodia becomes a competitor

Assessing Cambodian agricultural products, agricultural expert Vo Tong Xuan analyzed: Cambodian agricultural products have the advantage that when farming uses very few pesticides, good seeds, and fertile soil, agricultural products are not only delicious but also guaranteed quality, favoured by consumers. For example, Cambodian rice is favoured by the Vietnamese market because of its delicious, flexible quality and lower price than similar Vietnamese rice products.

In recent years, Vietnamese people and businesses have tended to go to Cambodia to rent agricultural land to grow potatoes, cassava, sugarcane, and corn or raise cows because the country's agricultural land fund is very large. The price of agricultural land in Cambodia for rent is low, and the cost of hiring labour is cheaper than in Vietnam. By the time they are harvested, these agricultural products are brought back to Vietnam for consumption, so there is a sudden increase in Cambodian agricultural products exported to our country.

"Frankly, the import to serve the needs of domestic production and consumption is inevitable. However, Vietnamese goods have to compete with Cambodian agricultural products in the "home market". Especially with the production orientation in favour of high-quality goods, Cambodian agricultural products become a direct competitor to Vietnamese goods in the international market," said expert Vo Tong Xuan.

He cited rice products, although, after Vietnam, Cambodia quickly became Europe's fourth largest rice supplier. Last time, Cambodia's rice exports to China also increased sharply, while Vietnamese exports to this market decreased. Notably, Cambodian fruit products are continuously licensed to export to the Chinese market. Most recently, after mango and banana, Cambodian longan was officially exported to the Chinese market. In addition, Cambodia is completing the final procedures to export the first pangasius to China.

According to the Import-Export Department (Ministry of Industry and Trade), in the coming time, some agricultural products of Vietnam will face stiff competition from similar products of Cambodia and Thailand in the Chinese market.

Some agricultural experts see that the world market is in a changing trend. Consumers not only eat delicious, clean food but also care about products that are good for health and the environment. Even China, a market considered "easy" in the past few years, is no longer "easy". They began to raise standards and tighten food safety conditions for imported goods. Cambodia is not only going in the right direction but also adapting quickly, so export turnover has grown well. If Vietnam does not change its production thinking and approach to the market, making a brand, the risk of market share in China will sooner or later be taken over by its Cambodian rival.

By Uyen Nhu/QuynhLan

Related News

Complying with regulations of each market for smooth fruit and vegetable exports

Complying with regulations of each market for smooth fruit and vegetable exports

VCN - According to Mr. Dang Phuc Nguyen (photo), General Secretary of the Vietnam Fruit and Vegetable Association (Vinafruit), with the development momentum and increasing consumption demand from the Chinese market, the Vietnamese fruit and vegetable industry is setting new records and is expected to reach an export turnover of US $10 billion by 2030. With great potential and advantages in developing agricultural products, Vietnam has been affirming its position as one of the world's leading agricultural exporters.
Request for price management and stabilization, avoiding unusual fluctuations during Tet 2025

Request for price management and stabilization, avoiding unusual fluctuations during Tet 2025

VCN - Minister of Finance Nguyen Van Thang has just signed and issued Directive No. 05/CT-BTC on strengthening the price management, operation and stabilization during the Lunar New Year 2025.
Six export commodity groups see billion-dollar growth

Six export commodity groups see billion-dollar growth

From the beginning of the year to December 15, there were six key export commodity groups with an increase in turnover of US$1 billion or more, according to the latest statistics of the General Department of Customs.
Hanoi: Maximum support for affiliating production and sustainable consumption of agricultural products

Hanoi: Maximum support for affiliating production and sustainable consumption of agricultural products

VCN - Hanoi City aims to have clean agriculture by 2030, from land, water to air, and clean the environment, especially rivers. Hanoi must create a difference for agricultural product brands, products must be certified and must build the brand "made in Hanoi".

Latest News

Exchange rate risks need attention in near future

Exchange rate risks need attention in near future

VCN - Exchange rate developments in 2025 are considered to be quite complicated due to US policies related to trade and investment.
Vietnam kicked off the year with a strong start in trade, exceeding US$63 billion in the first month

Vietnam kicked off the year with a strong start in trade, exceeding US$63 billion in the first month

VCN - Data from the General Department of Vietnam Customs indicates a softening of both exports and imports in January 2025, relative to the same month in 2024.
Import and export turnover reaches about US$29 billion in the second half of January 2025

Import and export turnover reaches about US$29 billion in the second half of January 2025

VCN - Vietnam's total import and export turnover in the second half of January 2025 (January 16-31, 2025) reached US$28.9 billion, the latest preliminary statistics of the General Department of Vietnam Customs reported.
Market edges up slightly as liquidity remains low

Market edges up slightly as liquidity remains low

Market breadth remained positive, with 161 gainers outnumbering 144 decliners.

More News

Business regulations must be trimmed for development of enterprises: Experts

Business regulations must be trimmed for development of enterprises: Experts

The General Statistics Office (GSO)'s socio-economic report for January 2025 reveals that while over 33,400 newly established or resumed businesses entered the market - marking a 15% increase compared to January 2024 - more than 58,300 businesses withdrew from the market, representing a growth of 8.1% on year.
Vietnam's agricultural product exports shine in 2024

Vietnam's agricultural product exports shine in 2024

The agricultural sector wrapped up 2024 with 62.4 billion USD in export turnover, marking an 18.5% increase against 2023, while achieving a record trade surplus of 18.6 billion USD, surging 53.1%.
Aiming for 16% credit growth and removing credit room allocation

Aiming for 16% credit growth and removing credit room allocation

VCN - A representative of the State Bank of Vietnam (SBV) said that the SBV is gradually innovating its credit management methods, aiming to remove the mechanism of allocating credit room to each credit institution.
Malaysia initiates anti-dumping investigation on galvanised sheets from Việt Nam

Malaysia initiates anti-dumping investigation on galvanised sheets from Việt Nam

Malaysia has announced it will initiate an anti-dumping duty investigation on the imports of galvanised iron coils/sheets or galvanised steel coils/sheets originating from or imported from Việt Nam, China and South Korea.
Coffee prices hit record highs, heightening speculation risks

Coffee prices hit record highs, heightening speculation risks

Phan Minh Thông, Chairman of Phúc Sinh JSC, called the price surge "insane," warning of continued increases as businesses are compelled to trade at elevated prices instead of following pre-set contracts.
Exports witness a rise of US$1 billion in the first 15 days of 2025

Exports witness a rise of US$1 billion in the first 15 days of 2025

VCN - Compared to the same period in 2024, exports in the first half of January 2025 increased by more than 6%, equivalent to nearly USS$1 billion.
Central industrial hub sets ambitious growth target in 2025

Central industrial hub sets ambitious growth target in 2025

The central province has targeted ambitious growth of up to 10 per cent with some key strategic industrial investment projects in 2025, contributing VNĐ25 trillion (US$1 billion) to the State budget.
Demand for dragon fruit in Tiền Giang Province continues to increase

Demand for dragon fruit in Tiền Giang Province continues to increase

Dragon fruit prices in Tiền Giang Province remain high after the Lunar New Year due to increased demand from China and domestic consumption.
Data centres are attracting investors in Asia

Data centres are attracting investors in Asia

The global data centre market reached new heights in 2024, driven by the growing demand for generative AI, which has triggered a new wave of investment.
Read More

Your care

Latest Most read
Exchange rate risks need attention in near future

Exchange rate risks need attention in near future

VCN - Exchange rate developments in 2025 are considered to be quite complicated due to US policies related to trade and investment.
Vietnam kicked off the year with a strong start in trade, exceeding US$63 billion in the first month

Vietnam kicked off the year with a strong start in trade, exceeding US$63 billion in the first month

Data from the General Department of Vietnam Customs indicates a softening of both exports and imports in January 2025, relative to the same month in 2024.
Import and export turnover reaches about US$29 billion in the second half of January 2025

Import and export turnover reaches about US$29 billion in the second half of January 2025

VCN - The figure decreased by 15.6% (equivalent to a decrease of US$5.33 billion) compared to the figure in the first half of January 2025.
Market edges up slightly as liquidity remains low

Market edges up slightly as liquidity remains low

Market breadth remained positive, with 161 gainers outnumbering 144 decliners.
Business regulations must be trimmed for development of enterprises: Experts

Business regulations must be trimmed for development of enterprises: Experts

The General Statistics Office (GSO)'s socio-economic report for January 2025 reveals that while over 33,400 newly established or resumed businesses entered the market - marking a 15% increase compared to January 2024 - more than 58,300 businesses withdrew from the market, representing a growth of 8.1% on year.
Mobile Version