Thailand increases spending on Vietnamese fruit and vegetables

Thailand, is a leading global agricultural producer, and a competitor of Vietnam in fruit and vegetable exports.

According to Dang Phuc Nguyen, general secretary of the Vietnam Fruit and Vegetable Association, frozen durian from Vietnam is particularly favoured by Thai consumers.

Vietnamese farmers with durian

"Frozen durian tops the list, not fresh durian, due to Thailand’s stringent plant quarantine regulations, which aim to prevent diseases from whole fruit imports. Following frozen durian are dragon fruit, longan, and lychee," said Nguyen.

"Exports of Vietnamese fruit and vegetables to Thailand is currently higher than Vietnam's total fruit exports to all other ASEAN countries combined," he added.

Explaining this paradox, Nguyen pointed to the natural disadvantages faced by both Thailand and Vietnam.

"Thailand is a major exporter but buys Vietnamese durian because, at times, Vietnam is the only country with durian available due to its year-round season," he said.

"In contrast, Thailand's durian season is very short, only four months. Additionally, severe drought has significantly reduced both the quantity and quality of Thai durian, forcing them to import to meet domestic and tourist demands."

Viewing this as a normal supply-demand issue, especially advantageous for Vietnamese durian, a fruit export company in Ho Chi Minh City said that with Vietnam's abundant supply and unfavourable weather conditions in Thailand this year, Thailand will continue spending on Vietnamese fruit and vegetables.

"With ample supply already in place, coupled with Thailand’s poor durian harvest due to unusual heat, the demand from Thailand for Vietnamese durian and other fruit will be substantial," the company representative said.

Over the past decade, Thailand has shifted from being the largest supplier of fruit and vegetables to Vietnam to becoming Vietnam's fourth-largest fruit and vegetable import market, with $97 million recorded in the first half of this year.

From 2014 to 2019, Vietnam spent over $464 million importing fruit from Thailand.

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