Hanoi enjoyed high growth in agroforestry and fisheries exports in the first seven months of 2022, contributing to the capital city's strong economic recovery.

A trade fair promoting OCOP products is held in Me Linh District, Hanoi. Photo: Trong Tung/ The Hanoi Times

According to the Hanoi Department of Agriculture and Rural Development, from January-July, the turnover of agro-forestry-fishery exports was estimated at US$102 million, up 61% over the same period of 2021. 

In the past years, thanks to the restructuring of plant varieties, the application of high technology, and the development of commodity production, many high-quality agricultural and specialty areas have been formed across the city.

Some key exports included late-ripening longan shipped to the United States and Malaysia, japonica rice to Germany, flower varieties to Japan, and bananas to China, contributing to the city's export growth.

In the coming time, the capital city will continue to enhance the potential of key items including more than 7,000ha of Japonica rice, 3,200ha of pink pepper bananas, more than 5,000ha of safe vegetables, 50ha of organic vegetables, and other processed products.

Hanoi's export target

In recent years, under its restructuring plan, Hanoi's agricultural industry has focused on developing the supply chain of safe agricultural, forestry, and aquatic products for the city. About 159 chains have been built and developed including 53 in animal husbandry and 106 in farming.

In addition, the city has coordinated with other provinces and cities in marketing and sale of safe agriculture, forestry and fishery products in Hanoi, contributing to promoting production and business, linking stakeholders, providing high-quality food, and ensuring food safety.

According to Deputy Director of the Hanoi Department of Agriculture and Rural Development Nguyen Xuan Dai, with the advantages and the geoeconomic characteristics, the city has the ability to connect with other economic regions in developing agricultural products in order to meet the needs of local consumers and importers’ requirements.

A safe vegetable area in Tan Minh Commune, Thuong Tin District, Hanoi. Photo: Anh Ngoc/ The Hanoi Times

In the export plan in 2022, the capital city will strengthen coordination among ministries, central agencies, embassies, Vietnamese trade offices abroad, foreign trade missions in Vietnam, and large retailers to promote trade activities connecting domestic enterprises with foreign peers.

The city will also focus on supporting local businesses to access markets, capital, and high-quality technology, thereby improving the competitiveness of export businesses.

This year, Hanoi has set a target of increasing export turnover by 5% from 2021, according to the Hanoi Department of Industry and Trade. 

Last year, the city’s export turnover hit US$16 billion, rising only 0.9% compared to 2020 due to the negative impact of the pandemic and low overall demand across the world.

To achieve the goal set for 2022, the municipal Department of Industry and Trade will strengthen trade promotion activities under the Plan on international economic integration for the 2021-2025 period. 

Acting Director of the Hanoi Department of Industry and Trade Tran Thi Phuong Lan said, the city’s industry and trade sector has been focusing on effectively carrying out the Plan and tapping into the possibilities brought about by the Comprehensive and Progressive Agreement for the Trans-Pacific Partnership (CPTPP) and the EU-Vietnam Free Trade Agreement (EVFTA). 

The department will speed up the attraction of investment in all industries, as well as support distribution enterprises to develop trade networks and showrooms to introduce and sell products under the One Commune, One Product (OCOP) program in the city. 

Challenges and measures to address 

Delegates attending a recent export-related conference in late August outlined the challenges for exporting to some key markets. The competitiveness of Vietnamese agricultural products is still weak compared to other member countries, especially since the quality of processed products has not met the market requirements.

In particular, logistics infrastructure is not standardized (wharves, transshipment points, goods storage), leading to disruption of supply chains and congestion of goods at northern border gates.

Speaking at the event, Deputy Director of the Department of Agricultural Product Processing and Market Development under the Ministry of Agriculture and Rural Development Le Thanh Hoa said in order to remove difficulties for the export of agricultural products, localities need to step up trade promotion and negotiate conditions on technical and trade barriers that help agricultural products soon allowed to be officially exported to major markets such as Europe, the US, and China.

The target is to contribute to gradually reducing small-scale exports and limiting the clog of goods at the border gate area.

He added that his agency will actively support localities, industry associations, enterprises, and cooperatives in strict compliance with regulations under the CPTPP, the EVFTA and other bilateral trade agreements on labels, traceability, indications of growing areas, testing, quarantine, packing specification, quality, types of agricultural products, packing facility code and business code.