Fruit exports enjoy substantial preferential tariffs under EVFTA
thamnguyen99 17-09-2020, 13:29

Vietnam successfully exported its first batch of passion fruit to the EU on September 16 with substantial preferential tariffs following the enforcement of the EU-Vietnam Free Trade Agreement (EVFTA).

With the EVFTA coming into force in August, Vietnamese fruit exports
are poised to enjoy substantial preferential tariffs

This comes after passion fruit exports enjoyed an increase of 300% in the 2015 to 2018 period, rising from US$19.6 million in 2015 to US$66.2 million in 2018, ranking Vietnam among the top 10 largest exporters of the fruit in the world, after Brazil, Peru, and Ecuador.

Following this, 2019 saw processed products from passion fruit make up a high proportion of over 65% of total export value, whilst also witnessing the strongest growth among various types of fruits.

In the first half of the year, passion fruit exports recorded an increase of 41% to US$18.4 million in comparison to the same period last year.

At present, Vietnamese passion fruits have started to make inroads into several demanding markets, such as France, Germany, Hong Kong (China), the Netherlands, the Republic of Korea, Taiwan (China), and Switzerland, many of whom have imposed stringent requirements in terms of product quality, quarantine, and food safety.

The Ministry of Agriculture and Rural Development is currently negotiating to facilitate the export of fresh passion fruit to other major markets, including Australia, China, Japan, and Thailand.

Furthermore, Vietnamese businesses have recently shipped their first batches of rice, shrimp, and coffee with 0% tariffs to the EU since the EVFTA came into force in August.

Following the enforcement of the trade deal, the export revenue of several agricultural products to the EU has enjoyed a remarkable increase, with fruit and vegetables poised to witness bright prospects for export to the fastidious market in the near future.

Most notably, the EU remains the fourth largest export market for Vietnamese fruit and vegetables.