Blog

20th September 2026

Agricultural exports' role in balancing the country's trade account

The importance of agricultural exports has been highlighted in recent times as Vietnam posts an overall trade deficit.

Figures from the Ministry of Agriculture and Environment (MAE) show that agriculture, forestry, and fisheries exports came in at an estimated $42.8 billion in the first seven months of 2026, a 7.5 per cent increase compared to the same period of 2025. Against an overall trade deficit of more than $20.52 billion in the period, Vietnam’s agriculture, forestry, and fisheries sector continued to serve as a key “pillar” in export performance, posting a surplus of $11.67 billion. The result not only demonstrates the sector’s resilience but also that it plays an important role in balancing the trade account and securing foreign exchange earnings for the country.

Several commodities post gains

Asia remained Vietnam’s largest export market for agriculture, forestry, and fisheries products in the first seven months, accounting for 45.2 per cent of total export value. The Americas followed with 21.4 per cent and Europe with 13.8 per cent, while Africa and Oceania accounted for just 2.3 per cent and 1.4 per cent, respectively.

By individual market, China remained Vietnam’s largest export destination, with a 21.9 per cent share, followed by the US with 19 per cent and Japan with 6.8 per cent. Exports to China rose 24.4 per cent and those to Japan 3.9 per cent, while exports to the US fell 1.6 per cent year-on-year.

Among Vietnam’s major agricultural exports, cashews and pepper posted positive growth. By contrast, several other commodities recorded declines in export value. Coffee exports reached 1.2 million tons worth $5.45 billion. Though volumes increased 10.8 per cent, export value fell 11.2 per cent. Rubber exports totaled 789,500 tons worth $1.55 billion, while tea exports reached 65,500 tons worth $119 million, with both commodities declining in both volume and value.

Notably, fruit and vegetable exports recorded the strongest growth among major agricultural commodities in the first seven months of the year, reaching $4.83 billion, up 24.9 per cent from the same period of 2025. In regard to durians specifically, Mr. Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetable Association (VINAFRUIT), said exports reached $1.8 billion in the period, up about 30 per cent year-on-year. If market conditions remain favorable, full-year durian exports could surpass $4 billion.

However, alongside market opportunities, fruit exporters have raised concerns in recent months over shortcomings in the issuance and management of growing area and packing facility codes. Lengthy administrative procedures, high testing costs, and the borrowing or leasing of codes have exposed businesses and growers to legal risks, with some even seeking to return codes that had already been issued.

To address these bottlenecks and accelerate agricultural exports, the government issued Resolution No. 36/2026/NQ-CP on July 31, 2026, shifting more decisively from pre-inspection toward self-declaration and post-inspection mechanisms while shortening processing times.

The new Resolution also streamlines administrative procedures. Organizations and individuals can submit applications directly to the Commune People’s Committee where the growing area or packing facility is located through the National Public Service Portal. All code data will be centrally managed by the MAE and connected to the traceability system.

Fisheries weather challenges

Vietnam’s fisheries exports continued to grow in the first seven months of 2026, reaching $6.85 billion, up 12.7 per cent from the same period of 2025. China, the US, and Japan remained the three largest markets, accounting for 24.2 per cent, 15.5 per cent, and 13.9 per cent of total exports, respectively. Exports to China surged 38.7 per cent and those to Japan 2.4 per cent, while exports to the US slipped 0.8 per cent.

By product, shrimp remained the leading seafood export, generating nearly $2.78 billion, up 12.6 per cent and accounting for about 41 per cent of total seafood export value. Pangasius (catfish) exports reached nearly $1.3 billion, up 8.8 per cent; crab exports approached $246 million, up 28.7 per cent; and shelled mollusks totaled $178 million, up 29.5 per cent. Tuna exports, meanwhile, stood at nearly $524 million, down 1.4 per cent year-on-year.

Explaining the decline in fisheries exports to the US, the Vietnam Association of Seafood Exporters and Producers (VASEP) said that under a decision announced by the Office of the United States Trade Representative (USTR) on July 23, 2026, Vietnamese seafood is subject to a 12.5 per cent Section 301 tariff; higher than the 10 per cent rate applied to several competing countries, including Ecuador, India, and Indonesia. This could increase downward price pressure on exporters, particularly shrimp businesses, which typically operate on thin margins.

Tuna is considered one of the product groups facing the greatest pressure in the US market, as it is affected both by the Section 301 tariff and requirements under the Marine Mammal Protection Act (MMPA). In the EU market, the sector also continues to face challenges from the “yellow card” for Illegal, Unreported, and Unregulated (IUU) fishing, the electronic CATCH traceability system, and rules of origin under the EU-Vietnam Free Trade Agreement (EVFTA).

VASEP said the target of exceeding $12 billion in seafood export value in 2026 remains achievable. However, amid increasingly stringent trade barriers, tariffs, and traceability requirements in major markets, the sector’s growth is expected to slow in the final months of the year compared with the pace recorded during the first seven months.

Mr. Trinh Viet Hung, Minister of Agriculture and Environment.

Despite the positive results achieved, agricultural exports still face a number of limitations. Growth among commodity groups has not been truly even or sustainable; some have increased in volume while their export value has declined. Links between raw material production areas, cooperatives, processing companies, and exporters remain weak in many areas. In addition, many commodity groups remain dependent on a small number of major markets, creating significant risks as countries increasingly impose technical barriers and trade-defense measures.

The agriculture, forestry, and fisheries sector is striving to post total export value of more than $74 billion in 2026. This means the sector must generate approximately $31.2 billion in value over the remaining five months of the year. To achieve this target, ministries and agencies need to continue working closely to remove bottlenecks related to markets, taxes, customs, credit, insurance, and logistics, while strengthening support for businesses in trade promotion, market access, and the timely resolution of emerging barriers.

For industry associations, it is necessary to strengthen market forecasting capabilities and regularly update information on supply and demand, prices, import policies, and risk factors. At the same time, associations should develop codes of conduct, quality commitments, and mechanisms to coordinate supply, avoiding situations in which domestic businesses independently cut prices and weaken the sector’s overall negotiating position.

Businesses, for their part, need to proactively strengthen long-term links with cooperatives and raw material production areas, step up investment in deep processing, build brands, strengthen risk-management capabilities, and diversify export markets and payment methods to improve competitiveness and achieve sustainable growth.

(Excerpt from remarks delivered at a July 30, 2026 conference on promoting agriculture, forestry, and fisheries exports in the second half of 2026)

Source: Chu Khoi

Latest Posts

Decrees to be revised to remove bottlenecks in sci-tech and innovation

3rd October 2026

The move aims to resolve urgent difficulties and bottlenecks, establish a favorable legal framework, and unlock resources for science, technology, and innovation activities.

The Ministry of Science and Technology (MST) on October 1 forwarded an appraisal dossier for a draft decree amending and supplementing several articles of the decrees detailing and guiding the implementation of the Law on Science, Technology, and Innovation to the Ministry of Justice for review.

The draft aims to amend and supplement five Government decrees promulgated in 2025, including decrees 262, 263, 265, 267, and 268.

The objective of the draft is to resolve urgent difficulties and bottlenecks, establish a favorable legal framework, and unlock resources for science, technology, and innovation activities.

Its core focus centers on cutting or simplifying administrative procedures, ensuring synchronization and consistency with the 2025 Law on Public Employees, and addressing pressing hurdles in carrying out science, technology, and innovation initiatives.

The most notable change involves revisions and additions to regulations governing innovation tasks under Decree No. 268.

According to the MST, feedback from credit institutions and enterprises during the implementation of interest-rate subsidy programs indicated that current disbursement procedures interfere with the debt collection workflows applied by credit institutions. As a result, many lenders have been reluctant to participate.

Furthermore, delayed funding disbursements from the State Treasury could jeopardize enterprises' ability to fulfill their debt obligations to credit institutions on time.

Consequently, the MST proposed amending and supplementing Clause 8, Article 22 of Decree No 268/2025/ND-CP. Under the proposal, the Fund would proactively transfer support funds into a "dedicated account" at the relevant credit institution according to the debt collection schedule, releasing the subsidy payments based on valid on-time debt collection vouchers. This ensures that the lenders' standard debt collection processes remain undisturbed while safeguarding enterprises' repayment obligations.

Additionally, the draft introduces a clause stating: "The Fund shall suspend interest rate subsidies on loans during any period in which the enterprise incurs overdue debt." In such cases, the enterprise must pay the full interest due to the credit institution under the signed credit agreement.

The MST also noted that Decree No 268 and Decree No 267 do not yet clearly distinguish between science and technology tasks and innovation tasks.

In practice, this lack of clarity has led ministries, sectors, local authorities, organizations, and enterprises to interpret the provisions differently, causing substantial friction in identifying, approving, executing, and managing these tasks.

Vietnam records $122.2bln in crypto asset activity, ranking fourth in CSAO

3rd October 2026

Market growth driven mainly by peer-to-peer (P2P) transactions and cross-border flows.

Vietnam recorded an estimated $122.2 billion in crypto asset activity between July 1, 2025 and June 30, 2026, ranking fourth in the Central and Southern Asia, Southeast Asia and Oceania (CSAO) region, according to data from Chainalysis, a US-based blockchain analytics and digital asset data company.

Vietnam ranked behind Singapore, with $284.1 billion in activity, Australia with $173.1 billion and India with $135 billion.

The data showed that Vietnam’s Utility Index, which measures activity related to the use of crypto assets, increased 127% from the previous period, while its Financial Index declined 5%. This suggests that market growth was driven mainly by peer-to-peer (P2P) transactions and cross-border flows rather than institutional financial channels.

Chainalysis also reported strong P2P activity in Vietnam, the Philippines and Thailand. The three countries recorded a combined 5.4 million domestic and cross-border P2P transfers, accounting for 14.4% of global P2P transactions, despite representing only 2.5% of the global crypto economy by value.

Vietnam’s stablecoin activity included $6.9 billion in domestic transactions and $10.5 billion in cross-border transactions.

Meanwhile, crypto asset activity through centralised exchanges (CEXs) in Vietnam reached approximately $69.9 billion, equivalent to 57% of the country’s total crypto asset activity of $122.2 billion during the period.

The figures indicate the significant role of retail and P2P transactions in Vietnam’s crypto market, while activity through institutional financial channels remains comparatively smaller.

Pandora opens US$150m flagship manufacturing plant in Vietnam

2nd October 2026

Pandora, the world's largest jewelry brand, begins operations at a US$ 150 million manufacturing facility in Vietnam, utilizing 100% recycled silver and gold.

Located in the Vietnam Singapore Industrial Park III (VSIP III), the facility spans over 55,000 square meters on a 7.5-hectare site. Pandora designates the plant as its largest handcrafted jewelry facility, built to LEED Gold sustainable standards and powered entirely by renewable energy.

The plant launches with 735 employees, with headcount projected to reach 1,000 by year-end. At full capacity, the facility accommodates 7,000 artisans, scaling annual output to 60 million pieces and expanding the company's overall capacity by 50%.

Pandora leads the global jewelry sector by volume, selling 112 million pieces in 2025 and generating DKK 32.5 billion (US$ 4.9 billion) in revenue. The Vietnamese plant marks the brand's fourth production site and its first outside Thailand.

Chief Executive Officer Berta de Pablos-Barbier states that Vietnam earns selection for the flagship hub due to its favorable business environment and infrastructure. Furthermore, the country's longstanding goldsmithing tradition facilitates access to skilled talent.

Chief Supply Chain Officer Jeerasage Puranasamriddhi says that the Vietnamese plant initially prioritizes gold-plated product lines amid surging demand. Over the long term, the facility underpins the production of platinum-plated jewelry as the company diversifies its material strategy.

Production utilizes 100% recycled silver and gold certified by the Responsible Jewellery Council (RJC).

He adds that the company imports raw materials directly from international sources while progressively enhancing local technical capabilities for localization, and notes that suppliers must meet the Responsible Sourcing programme regarding integrity, financial capacity, and compliance.

Headquartered in Copenhagen, Denmark, Pandora holds a market capitalization exceeding US$ 9.7 billion. The group employs approximately 39,000 people globally and operates 7,000 points of sale across more than 100 countries. Second-quarter revenue reaches DKK 32.5 billion (approx. US$ 1.1 billion), a 2% increase year-on-year.

The brand initiates retail operations in Vietnam in 2011. CEO Berta de Pablos-Barbier reports that the market climbs to seventh in Asia, amid rapid economic development and a young consumer demographic matching the product portfolio.

She says that the global jewelry industry transitions from status symbols to expressions of individuality and personal values, requiring continuous innovation and refined design quality.

See all blog