W26: Durian Update

In W26 in the durian landscape, Thailand's durian exports reached USD 1.8 billion (THB 63.6 billion) in the first four months of 2023, a 166% increase YoY. The largest market for Thai durians is China, with USD 1.7 billion (THB 62 billion) exported. Vietnam ranks 10th, with USD 460 thousand (THB 16.2 million) exported. Thailand opened a railway transport route from Thailand to China, bringing durian to millions of people quickly and cost-effectively. In addition, Thailand exported 33 thousand containers to China in 2023, surpassing 15 thousand containers three years ago. Adverse weather conditions in Eastern Thailand affect durian production, with Chumphon province accounting for 50%. Durian prices in Eastern Thailand have risen to USD 3.6/kg (THB 130/kg) in 2023. Thai customs officials seized 8.4 tons of durians – believed to have been smuggled from Cambodia – for sale in Thailand. They stopped a six-wheel truck and found durians worth USD 32.6 thousand (THB 1.17 million). A spy detected an illegal durian truck heading toward Road No. 317. Officers found a white Isuzu 6-wheeler near Wang Somboon Hospital, halted for search, and discovered a pickup truck with fresh durians. The owner admitted it was not properly cleared through customs.

Singapore's high durian supply is boosted by Malaysia's surplus, resulting in lower prices in the city-state, with premium varieties like Musang King available at USD 2.24/kg. Meanwhile, in Malaysia, Durian Musang King, a poor-quality fruit, has led consumers to prefer Durian Damak King due to its weather-resistant content and easy care. Demand for Damak King has increased, making the supply insufficient. With only 16 trees in the area, the price of Damak King stood at USD 7.49-11.7/kg (MYR 35-55/kg). The Malaysian Deputy Minister is concerned about Thai businessmen purchasing early-harvested Musang King durians at high prices in the Raub district, Pahang province, and re-exporting them to China. The practice tarnishes the brand reputation of Malaysian durians and undermines farmers' interests. The ministry will raise the issue with the Thai Embassy and call for investigations by local growers and exporters. Vietnam's durian exports reached USD 503.4 million in the first five months of 2023, an 18% increase YoY, surpassing dragon fruit value and reaching USD 2 billion. A company distributing Vietnamese agricultural products in Europe is optimistic about durian exports, targeting Asian customers and manufacturers. However, obtaining a certificate of origin from Vietnamese authorities pose challenges for durian exporters. Addressing these issues can help maintain a stable market share in the UK.