Frozen Vietnamese Durians Still Waiting To Hit China

On Aug. 19, 2024, Vietnam’s Ministry of Agriculture and Rural Development and China’s General Administration of Customs signed a phytosanitary and food safety agreement for exporting frozen Vietnamese durians to China. Six months later, although seven companies have obtained export qualifications and another 25 have submitted applications, Vietnam has yet to export a single batch. The reasons behind this delay are worth exploring.

Promising Market Potential

From a market perspective, exporting frozen durians to China offers immense potential for Vietnam. China is the world’s biggest importer and consumer of durians, and demand is steadily growing. Frozen durians, known for their convenience and long shelf life, are increasingly favored by Chinese consumers. Estimates suggest that frozen durian exports to China could be worth up to $500 million annually for Vietnam.

Challenges Hindering Export Progress

Despite this optimistic outlook, several challenges have so far hindered Vietnam’s frozen durian exports. First, many exporters have been reluctant to attempt to navigate compliance requirements. Although some Vietnamese companies have already secured export qualifications, they remain cautious about actually exporting to China. One major concern is China’s stringent inspection standards, especially regarding chemical residue levels.

The general manager of the Toan Thang Import-Export Trading Company said that his company expects to export its first batch of frozen durians by the end of May. However, many exporters worry that failing to meet China’s phytosanitary standards could result in shipments being rejected and possibly lead to suspensions. With each batch valued at 7–8 billion Vietnamese dong ($274,000–313,000) — three to four times that of fresh durians — any rejections could lead to significant financial losses.

Second, industry standards and regulatory issues have created additional bottlenecks. Although Vietnam’s Ministry of Agriculture and Rural Development has provided training and guidance on frozen durian export standards, their implementation remains challenging. Export companies, packaging facilities and plantations must comply with strict provisions regarding the handling, storage and transportation of frozen durians, placing high demands on Vietnam’s cold chain technology and equipment. Consequently, the investment required for frozen durian export facilities is around five times higher than that needed for fresh durian exports.

Government Efforts To Facilitate Exports

Vietnam’s Ministry of Agriculture and Rural Development has stated that the government is making every effort to promote frozen durian exports in 2025, including the following:

1. Enhancing plantation supervision: Strengthening oversight of durian plantations, regulating pesticide use and improving fruit quality.
2. Investing in cold chain technology: Increasing research and investment in refrigeration technology and equipment to ensure compliance with China’s stringent requirements.
3. Strengthening cooperation with Chinese authorities: Engaging in active discussions with Chinese regulatory bodies to facilitate smoother trade processes.

Although Vietnam’s frozen durian industry faces significant hurdles, efforts are underway to overcome these challenges, paving the way for potential large-scale exports in the near future.

Image: Pexels

This article was based on a Chinese article. Read the original article.