According to a report by the Ministry of Agriculture and Rural Development, export sales of agricultural, forestry and fishery products were estimated at US$4.54 billion in April 2023, down US$1.2 million from March 2023 and compared to the same period in April 2023 corresponds to the previous year. period decreased by 8.3% in 2022.

Cumulatively in the first 4 months of 2023, the export of agricultural, forestry and fishery products reached only US$15.66 billion, down 13.3% from the same period in 2022. By the end of April 2023, the total agriculture, forestry and fishing industry had a trade surplus of $2.51 billion, down 37.7% from the same period last year.

WOOD PRODUCTS EXPORT OF almost 37%

Specifically, for the timber industry, the export revenue of timber and timber products was estimated at US$1.2 billion in April 2023, up 5.5% from March 2023 but down 24.5% from April 2022. The export turnover of timber products is estimated at USD 820 million, up 6% from March 2023 but down 28.2% from April 2022.

The sharp decline in the export of wood and wood products is due to high input fuel and global energy prices, which have impacted the production costs of wood companies.

In addition, the inflation factor is still high, monetary policy has not been eased; The slow recovery of the world economy and the collapse of some banks in the world have a certain impact on the trend of tightening spending on non-essential products such as wood and wood products in some markets, such as the US and EU, causing a sharp drop in import demand.

In addition, the reopening of China also generates a lot of competitive pressures on wood products and wooden products, especially on the Vietnamese wooden furniture conglomerate.

In addition, trade defense measures between countries have many complicated developments. The lumber industry faces plywood lawsuits and investigations in the US kitchen cabinetry and vanity market. The real estate industry in major markets such as the US, the EU… is in a quiet phase.

While Vietnam’s export of wooden products, especially wooden furniture, largely depends on the operation of this industry. There is currently no signal that the industry will thrive in 2023.

In addition, companies in the timber industry still have difficulties accessing capital, bank interest rates and input costs are still high. Many companies still have a shortage of orders due to weak demand in the main consumption markets. Therefore, companies still have to find all the ways to keep production going and keep workers waiting for the situation to improve.

At the current growth rate, the Ministry of Agriculture and Rural Development forecasts that the export turnover of timber and timber products will fall from 28% to 32% in the first half of 2023 compared to the same period in 2022.

ACTIVE SEARCH AND EXPANSION OF THE EXPORT MARKET

The Ministry of Agriculture and Rural Development said that not only did export sales of timber and forestry products fall sharply, but also sales of fisheries products. In April 2023, the export value of seafood only reached 800 million USD, down 28.6 from April 2022.

Meanwhile, the group of agricultural products and animal husbandry saw a sharp rise in export sales. Specifically, agricultural products reached US$2.33 billion in April 2023 compared to the same period in 2022, up 24%; Livestock production reached $41 million, up 46.7%.

In the first 4 months of 2023, a number of products have a higher export value than the same period last year, including: coffee US$1.7 billion, up 2.5%; Vegetables and Fruits $1.39 billion, up 19.4%; cashews $942 million, up 3.4%; Meat and by-products $45 million, up 63.7%…. Rice exports in particular reached $1.56 billion in the first 4 months of the year, up 54.5% from the same period last year.

However, there are also products with reduced export value, such as: rubber US$684.8 million, down 20.1%; Tea reached USD 50 million, down 5.8%; Pepper reached US$325 million, down 10.2%; Cassava and cassava products reached US$453 million, down 12.1%; Pangasius reached US$558 million, down 39.9%; Shrimp reached US$843 million, down 39.6%

The average export price of a number of main agricultural export products fell, notably: pepper US$5,846/ton, down 34.3%; All Kinds of Fertilizers $421/ton, up 33.6%; rubber $1,392/ton, down 21.2%; cassava and cassava products $384/ton, down 11.2%… In particular, rice price reached $526/ton, up 7.6%; Coffee reached $2,261/ton, up 0.7%.

As for the export market, in the first 4 months of 2023, the export value of agricultural, forestry and fisheries products to Asian markets reached US$7.58 billion, up 2.7%; America reached US$3.28 billion, down 39.6%; Europe reached $1.93 billion, down 13%; Africa reached USD 223 million, down 21.2%; Oceania reached USD 216 million, down 31%.

According to the Ministry of Agriculture and Rural Development, the reason why the overall export turnover of agricultural, forestry and fishery products fell and the export market continued to face many difficulties was the slowdown in global economic growth in 2023; influence of the Russian-Ukrainian military conflict; High inflation in some countries around the world, including Vietnam’s main agricultural import markets (USA, Europe, Japan, Korea…), reducing consumer demand and demand for imports (purchasing power, falling demand).

In addition, many countries promote the export of agricultural products and increase the supply in the market; While the amount of imported goods in 2022 by some big consumer markets like the United States, EU… is still large, many companies have not signed new export orders. Prices of input materials for agricultural, forestry and fisheries production are still at high levels, which affects regulation, farm management and farmers’ income, company profit.

In the coming period, the global situation is still complicated, so the Ministry of Agriculture and Rural Development recommends that enterprises must actively seek to expand markets and improve competitiveness, focusing on product price criteria must be good; Products must correspond to the taste; The products must be of good quality and have a good after-sales policy. In parallel, the restructuring and reorganization of the production of enterprises, which focuses on technological innovation, perfecting the production management system and improving the efficiency and quality of human resources. Increasing the production of products using domestic raw materials to reduce costs and improve product competitiveness.

In the coming period, the Ministry of Agriculture and Rural Development will continue to promote market development, remove obstacles and facilitate domestic consumption and export. In particular, activities are organized (1) Delegation to cooperate with 2 provinces: Yunnan and Guangxi (China) to promote trade in agricultural products; (2) Organization of the “970” forum to connect trade and promote consumption of spices in the EU market; (3) Prepare to organize a series of events to promote Vietnam’s key agricultural products in the UK (to mark the 50th anniversary of Vietnam-UK relations).