December 14, 2024 | The investor |
Vietnam's coconut export sector faces reputational and competitive threats due to fraudulent trading of growing area codes, warns Nguyen Phong Phu of Vina T&T Group. Speaking at a seminar, he highlighted violations such as reselling codes, falsifying product origins, and non-compliance with production standards. These practices jeopardize export quality, prompt tighter import controls, particularly from China, and harm legitimate farmers and businesses.
Phu urged implementing a digital system for strict code management and called for enhanced monitoring and enforcement to protect Vietnam's international reputation and ensure sustainable growth. Ben Tre province, Vietnam's "coconut capital," contributes 40% of the nation’s output, exporting 22 million coconuts in nine months and achieving $1.2 billion in turnover, up 14% year-on-year.
China, a major market for dried coconuts and coconut milk, poses opportunities and challenges, including quality control and compliance with area codes. Vietnam also faces strict preservation standards in markets like Europe and the U.S.
Leveraging its high-output areas, strategic location, and infrastructure, Vietnam can capitalize on growing demand but must prioritize sustainability and national brand protection to maintain a competitive edge and expand its global market presence.
