Chinese agricultural products rule Vietnamese market

After only two years of official presence in HCM City, Chinese agricultural products have begun to rule the market. According to the management board of the Thu Duc wholesale market, the ratio of Chinese agricultural products in the market increased from 20% of the total in August 2005 to 30-35% in early October 2006.

Increase in quantity and varieties

HCM City’s house-wives have been wondering about the very big carrots and potatoes showing up at markets. Many of them have curiously questioned sellers about why the produce was so big and where did it come from. They also wondered whether or not they should buy the products – would they have any affect on their health? In early September 2006, they marveled at very big, fresh red grapes that appeared in the markets.

Chinese fresh agricultural products sold in HCM City’s markets now number tens of types, including apples, pears, oranges, mandarins, green and red grapes, pomegranates, tomatoes, potatoes, ginger, cauliflowers, onions.

Nguyen Thanh Ha, Deputy Director of the Thu Duc Market Management Company, said that of the total 1,8000 tonnes of agricultural products arriving at the market every night, Chinese products account for around 30%. The percentage is also 30% at the Hoc Mon wholesale market.

Chinese products more lucrative?

An important reason for the increase of Chinese fruit and vegetables in HCM City is their low prices. Comparing products of Vietnam and China, Chinese products are always cheaper by around VND1,000-3,000 per kilo. For example, a kilo of Chinese potatoes wholesales at VND5,000-6,000/kg compared to VND7,000-8,000 for potatoes from Da Lat City; it is only VND9,000-11,000/kg Chinese onions compared to VND12,000-14,000/kg Vietnamese onions.

Chinese fruit and vegetables can be stocked for around five days compared to 2-3 days for Vietnamese products, which reflects the higher skills of China in maintaining fresh agricultural products.

According to Ms Ha, relevant bodies have to test the quality of local agricultural products when they arrive at the Thu Duc market but they don’t have to do that for Chinese products because trucks carrying Chinese fruit and vegetables have sufficient documents proving their quality.

As Chinese fruit and vegetables are overwhelming HCM City’s markets, some worry that if Vietnamese farmers don’t take proper measures in cultivation and preservation of agricultural products, Chinese products will sooner or later kick Vietnamese products out of wholesale markets.

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