Orchards thrive as Chinese fall for Thai fruit
In the past five years, road networks between Thailand, Laos, Vietnam and the southern areas of China have become more accessible, helping to boost land transport in the region.
A wide variety of fruits — rambutan, durian, mangosteen and longgong — from the South and East of Thailand, lychee and longan from the North, as well as bananas, mangoes, coconuts, rose apples and jackfruit from other parts of the country, are transported overland every day to China.
So far this year, Thailand has exported 700,000 tonnes of fruit to China with the total value exceeding 10 billion baht. Almost 20,000 tonnes of it is durian, mangosteen and longan, which are very popular with Chinese consumers.
This year's figure looks certain to surpass last year’s export volume of almost 800,000 tonnes worth nearly 20 billion baht.
Of this year’s exports, almost 400,000 tonnes of fruit have been shifted out of Chanthaburi alone as traders scramble to buy as much produce as they can for export.
But it's not only Chinese traders that come knocking on Thailand's door. Vietnamese buyers are turning up as well. The produce they buy is brought back to Vietnam for sorting and distribution throughout the country as well as the southern regions of China.
In the past, farmers only waited for the middlemen to buy their produce and the traders were the ones who manipulated fruit prices. Many growers suffered from low prices and struggled to cover their farming costs, including petrol, fertiliser and hired workers. Many said most of their earnings in the past went straight to the Bank for Agriculture and Agricultural Cooperatives (BAAC) for debt repayment, while the rest was used for daily living. After the money ran out, farmers had to borrow from the BAAC again, creating an endless debt cycle.
The Chinese interest in Thai fruits was highlighted when Chinese embassy chargé d’affaires Zhang Yiming and economic and commercial counsellor Gao Wenkuan, along with other officials and Chinese businessmen, visited central fruit markets and packaging factories in Thailand on June 6.
The trade value of Thai fruits to China is expected to reach 14 billion baht this year and many expect that this year’s two-way trade could top US$100 billion (3.2 billion baht), versus $80 billion last year.
Source: bangkokpost.com