W52: Durian Weekly Report

Vietnam

Vietnamese Banana and Durian Prices Continue to Soar (Dec 26)

The exports of Vietnam’s fresh bananas and durians to China have increased significantly in recent weeks. It has led to a spike in domestic prices, which are now up 20-100% compared with just two months ago. Vietnam’s Chanh Thu Fruit Import and Export Co. Ltd. reported that since China started official imports of Vietnamese durians, the company has exported over 1K MT of the fruit. Although China’s demand for durians is booming, and prices are attractive, the export volume remains relatively low. Experts in Vietnam have predicted that prices of the fruits will continue to rise in December 2022 and Q1 of 2023 in line with the increased demand due to the Spring Festival holiday. If Vietnam ensures compliance with its phytosanitary commitments, which will help to improve the efficiency of fruit inspections and customs clearance procedures at border crossings, exports may reach new heights. Meanwhile, the durian growing area in Vietnam is estimated at 90K ha with an annual yield of approximately 1.3M MT, of which nearly 3K ha producing about 68K MT of fruit have obtained planting area codes from China’s General Administration of Customs.

After a Signed Document, Durian Exports to China Increased by 4K% In Vietnam (Dec 28)

The Institute of Policy and Strategy for Agriculture and Rural Development, citing sources from the General Department of Customs, showed that, in October 2022, durian was one of the vegetables and fruits with the highest export value to China. The durian export value to China in October 2022 reached USD 49.9M, which is 42.2 times higher YoY. Thus, in October, durian surpassed dragon fruit to become the fruit with the largest export value to China. The General Department of Customs of China has recently approved an additional 32 codes of growing areas and 5 codes of Vietnam's durian packing facilities, which are sufficient to meet the requirements of Decree No. letter and are permitted to export durian fresh fruit to your country, according to information from the Plant Protection Department (Ministry of Agriculture and Rural Development).

Growing Durians Earns Billions in Hau Giang, Vietnam (Dec 30)

Granting planting area codes is an inevitable trend in current and future agricultural production. Therefore, the professional branch of Truong Long A commune, Chau Thanh A district (Hau Giang province), is actively supporting gardeners to develop the planting area codes for durian trees to gradually meet export requirements. According to some durian producers, durian is known as the king of fruits since its price is so much higher than that of other fruits that it simply requires a steady output dedicated to promoting healthy living. The value is low, nevertheless, as the majority of our durian production is eaten domestically or exported with quotas. But the selling price will increase if it is officially exported. Currently, Vietnam has signed a Protocol on phytosanitary requirements for durians exported from Vietnam to China, so this will be the main consumption market that the commune is aiming for.

Thailand

Demand for Thai Durian Rising in China Despite New COVID-19 Wave (Dec 30)

An exporter claimed on December 30, 2022, that there is still a high demand for Thai durian in China, dismissing allegations that there had been a decline in orders due to a spike in Covid-19 infections on the mainland. The price of Thai durian has increased significantly from the previous week due to the increasing demand. An exporter believes there will be fewer barriers to the shipment of durian to China in 2023 due to China's announcement in W52 that it will eliminate quarantine procedures for foreign arrivals beginning on January 8, 2023, and lower Covid-19 from a Class A to Class B infectious disease.