W10 Cassava Update: Vietnamese Cassava Exports Surge, While Thailand Battles Cassava Spotted Leaf Disease

Published 2024년 3월 15일

In W10 in the cassava landscape, Vietnamese cassava exports surged in Jan-24, driven by heightened demand and increasing prices. Cassava and cassava product exports reached 422.9 thousand mt, marking a 79.6% YoY increase and a 47.3% MoM rise. Export value soared to USD 195.63 million, reflecting a 112.7% YoY increase. China remained the top destination, with significant growth observed in exports to other markets like Taiwan and Malaysia. Meanwhile, Thailand's cassava industry faces challenges from cassava spotted leaf disease, leading to significant declines in production and exports, prompting shifts to alternative crops and the development of disease-resistant varieties.

Vietnamese Cassava Exports Surge in Jan-24, Driven by Strong Chinese Demand

Data from the General Department of Vietnam Customs reveals that Vietnamese cassava exports experienced a significant surge in Jan-24, driven by rising demand and increasing product prices. Total cassava and cassava product exports from Vietnam in Jan-24 reached 422.9 thousand metric tons (mt), indicating a 79.6% year-over-year (YoY) and a 47.3% month-on-month (MoM) increase. The export value reached USD 195.63 million, reflecting an increase of 112.7% YoY and a 38.1% MoM.

Cassava product exports in Jan-24 witnessed a particularly sharp increase, with volumes reaching 76.1 thousand mt, indicating a 369.6% MoM, and a 30.9% YoY increase, and a value of USD 19.98 million. Despite the overall export value increase, the average export price of cassava and cassava products showed a slight 6.2% MoM decline to USD 462.7/mt. However, compared to Jan-23, the average export price exhibited an 18.5% increase. A similar trend is observed for cassava exports, with an average price of USD 262.6/mt in Jan-24 a drop of 6.1% MoM, and a 4.2% YoY rise.

China remained the primary destination for Vietnamese cassava exports in Jan-24, accounting for 95.06% of total volume and 94.05% of total value. Both volume and value increased significantly compared to Dec-23, with an increase of 48.4% and 38.7% MoM rise, respectively and Jan-23, with a80.3% and 113.6% YoY rise. While China remains the dominant player, Vietnam also observed export growth to other markets in Jan-24 compared to Jan-23. Notably, exports to Taiwan increased by 66.6% and Malaysia by 366.9%.

Cassava Disease Threatens Thailand's Starch Industry Dominance

Thailand's cassava industry, a significant contributor to the nation's economy and a global leader in cassava product exports, is facing a major challenge due to cassava spotted leaf disease. Cassava is a major cash crop in Thailand, with approximately 700 thousand cassava-growing households and employing related processing and downstream industries for at least 1 million people. Thailand has held the position of the world's leading exporter of cassava products for over two decades, generating an annual export value of approximately USD 4.3 billion and domestic consumption of USD 1.45 billion.

The cassava spotted leaf disease, present since 2018, has significantly impacted production. Thailand's cassava product exports in 2023 witnessed a 30% YoY decline to 8.65 million metric tons (mmt) compared to 2022, with 11.24 mmt. This decline translates to a 16.62% decrease in export value to USD 4.0 billion in 2022.

The Thai Tapioca Starch Association predicts a further decline of 30% in both cassava production and exports from Oct-23 to Sep-24 due to the disease's ongoing impact. The disease has driven some farmers to abandon cassava cultivation and switch to alternative crops like durian and longan. The cassava production crisis has led to starch factories announcing business sales due to a lack of raw materials. Three new cassava varieties developed by the Cassava Development Institute of Thailand Foundation offer disease resistance and are planned for distribution to farmers in 2024.