W41: Durian Update

In W41 in the durian landscape, Vietnamese durian exports have experienced a remarkable 700% year-over-year (YoY) growth, generating USD 1.28 billion in exports from Jan-23 to Aug-23. This surge is mainly due to official exports to China. China’s overall durian imports during this period hit approximately USD 1.15 billion. As a result, Vietnam is expected to reach a target of USD 1.5 billion in durian exports by Oct-23.

On October 9, 2023, durian prices in primary regions of Vietnam remained stable. Ri6 durian price stood at USD 2.41 per kilogram (VND 59,000/kg), and Thai durian reached USD 3.06/kg (VND 75,000/kg), with beautiful Thai durian priced between USD 3.26 to 3.47/kg (VND 80,000 and 85,000/kg) in the Central Highlands. In various regions, durian prices have shown little change compared to the previous day, with Ri6 durian typically ranging from USD 1.84 to 2.12/kg (VND 45,000 to 52,000/kg), and Thai durian in buckets costing around USD 2.85 to 3.06/kg (VND 70,000 to 75,000/kg). The stability in durian prices is due to current market conditions and local factors influencing pricing.

On the other hand, China plans to import more durians from Malaysia amid increasing competition between several Southeast Asian countries, aiming to be the fruit’s top exporter to its massive market. Currently, Malaysia can only export frozen durian products to China. Malaysia hopes to secure approval in 2024, coinciding with the 50th anniversary of diplomatic relations. Malaysia plans to focus on the highly sought-after Musang King variety exports to meet China's demand. Malaysia's durian exports in 2022 dropped significantly to 1.8 thousand tons, worth USD 11.9 million (MYR 57 million), compared to 3.4 thousand tons in 2021. To compete with lower-priced durians from Thailand and Vietnam, exporting fresh durians is seen as a strategic move to secure a stronger foothold in the Chinese market.