The export of agro-forestry-fishery products to Japan is forecast to continue thriving in 2024 as numerous export opportunities are in place.
The export of agro-forestry-fishery products to Japan is forecast to continue thriving in 2024 as numerous export opportunities are in place.
Japan remained the third largest importer of agro-forestry-fishery products from Vietnam in the first two months of 2024, after the US and China. The shipments to this Northeast Asian market accounted for 7.2% of the total, increasing 29.2% year on year, according to the Ministry of Agriculture and Rural Development.
Data from the Institute of Policy and Strategy for Agriculture and Rural Development show that last year, vegetable and fruit exports to Japan reached 176.2 million USD, equivalent to 106.7% of that in 2022, and coffee 319 million USD or 114.9%. However, aquatic exports fell 10.9% year on year to more than 1.5 billion USD in 2023.
Phung Thi Kim Thu, a shrimp market expert at the Vietnam Association of Seafood Exporters and Producers (VASEP), said the Japanese market is believed to still hold much potential for aquatic products and recover sooner than other major markets like the US and the EU in 2024.
She elaborated that Japan is closer to Vietnam geographically compared to the US and the EU while payment methods are safer, which are favourable conditions for Vietnamese exporters of aquatic products, especially amid soaring transportation expenses. Besides, Vietnamese businesses’ processing capacity is high compared to others’ in the world, and this is also a big competitive edge in Japan.
Vietnam is taking the lead in the high-end shrimp segment there. In comparison with other large markets such as the US, the EU, and China, trade in aquatic products with Japan is assessed as more stable.
Japan was the second largest market of Vietnam’s aquatic products in 2023, after the US. While shipments to the US dropped 29% and to others in the top five down 16 - 18%, exports to Japan recorded the smallest decrease, by 12%.
In January 2024, shrimp exports to Japan topped 37 million USD, up 30% from a year earlier, making this market the third biggest importer of Vietnamese shrimp during the period, after the US and China, statistics of the General Department of Customs show.
Aside from aquatic products, coffee is also predicted to post good growth in exports to Japan this year. According to data from the Japan Coffee Association compiled by the Coffee Trading Academy, green coffee inventories in this country were at 2.39 million 60-kg sacks at the end of December 2023, 8% lower in the same month a year earlier and also the lowest level of December since 2017. This is expected to fuel Japan’s coffee trading in the time ahead.
Japan’s coffee market is forecast to post 6.1 billion USD in revenue this year and an average annual growth rate of 0.24% during 2024 - 2028. The coffee consumption there could stand at 1.62kg per capita in 2024, with rising demand for specialty and high-quality beans. Given this, Vietnamese producers and exporters were recommended to sell the products suiting this market’s taste to increase value.
Meanwhile, vegetable and fruit exports to Japan in January hit 16.9 million USD, surging 40.9% from last December and 53.2% from the same month of 2023.
Dang Phuc Nguyen, Secretary General of the Vietnam Vegetable and Fruit Association, said Japan’s vegetable and fruit demand is relatively large while imports from Vietnam are still modest. As a result, there remain numerous opportunities for businesses to expand their market share.
He suggested businesses thoroughly learn Japan’s regulations to satisfy its high standards to boost shipments to this market./.
Source: VNA