The government has set a goal to increase the export turnover of agricultural, forestry and seafood products by US$700 million to reach US$16 billion this year.

Export prices for these goods have risen since January while imports markets show little signs of bouncing back, according to the Ministry of Agriculture and Rural Development (MARD).

 

This year, seafood exports are expected to increase by US$200 million to US$4.5 billion, but the industry will see a rise of 10-15 percent in expenditures for salaries, materials and packaging.

 

Experts say high interest-rate loans will be the main reason for slow growth of the industry. Last year, seafood companies only paid 0.53 percent per month, but the figure has now tripled to 1.5 percent per month.

 

Meanwhile, the price of coffee, one of the major agricultural exports, has dropped by 30 percent compared to last year’s period.

 

The global economic recovery has stimulated the growth of the rubber industry. However, 300 of a total 500 local enterprises are focusing on the Chinese market, which could cause risks in case the world rubber market begins to fluctuate.

 

Import demands for rice, Vietnam’s most important export product, from many countries have increased dramatically, but the supply is still limited.

 

Vietnam is not yet able to produce more than 5.5 million tones of rice due to high production costs.

 

Earlier this month, the Prime Minister has asked the Vietnam Food Association (VFA) and related authorities to carry out forecasts and reform the management system.

 

This year, VFA plans to set up a fund to support farmers. It would assist rice seed research and production, and improve the production system in order to increase the quality of rice and overseeing the price of rice if it plummets.

 

Other important work includes trade promotion in new potential markets, including the Middle East, North Africa, East Europe and the Commonwealth of Independent States.

 

(VOVNews/VNS)