Analyzing the strengths and weaknesses of Vietnamese agricultural products exported to the EU market, Mr. Ywert Visser - Member of Eurocham's food, agriculture and aquaculture subcommittee, said that Vietnamese agricultural products exported to the European market Europe has increased significantly since the Vietnam - EU Free Trade Agreement ( EVFTA Agreement ) took effect in 2020.

Overall, Vietnam's agricultural product export figures to major markets in the European Union show the love of EU consumers for this product.

Success can be determined not only through the number of products brought to market but also through the extent to which these products can meet the strict standards of the market.

Exporting agricultural products to the EU market: Resolving challenges. Can Dung's photo

However, Mr. Ywert Visser also said that Vietnam's agricultural export turnover to the EU is largely focused on a few typical industries such as coffee and cashew nuts. This will be a risk if EU consumers change their consumption habits, for example reducing coffee consumption, which will immediately affect Vietnam's export turnover.

In addition, the small scale and fragmentation of Vietnamese agriculture is making it difficult to invest in quality control, market access and other important areas; productivity and quality of some agricultural products are still low; The relatively underdeveloped agricultural processing industry limits the range of products that can be exported to the EU…. These factors have been a challenge for Vietnamese agricultural products to expand their market share in the EU.

To overcome the above challenges and increase the market share of Vietnamese agricultural products in the EU, according to Mr. Ywert Visser, understanding the needs and consumption habits of EU people is very important.

Accordingly, EU consumers demand high quality, products must be intact, free of pests, and able to withstand transportation and handling; There are chemical residue levels within the allowable threshold. " It is necessary to have a guaranteed certificate like GLOBAL GAP to enter EU supermarkets, along with achieving social standards like GRASP and SMETA, " said a Eurocham representative.

He also emphasized that with strict standards, there will be many challenges ahead for Vietnamese farms. However, viewed from another perspective, these standards and regulations are the foundation for creating "natural selection" of businesses.

Therefore, Vietnamese businesses need to focus on developing agricultural ecosystems and have optimal financial approaches to improve production quality. In particular, encourage reducing the use of chemical pesticides and be wary of pesticide cross-contamination.

Forming clusters and cooperatives allows groups of farmers to cooperate in production and achieve a common organic certification. Provide financial support for farmers converting to organic farming methods through grants, subsidized loans, and certification cost sharing.

Research, training and policy support are critical to helping Vietnam make a smooth transition to sustainable biological agriculture. Monitor compliance with regulations on chemicals, pesticides, and antibiotics (for veterinary products) of businesses and farms to assess detailed impacts.

And more subsidized financial programs are needed to encourage farmers and industry businesses to transition more actively to sustainable agricultural practices.

According to Dr. Nguyen Van Hoi - Director of the Institute of Industry and Trade Strategy and Policy Research, Ministry of Industry and Trade, in addition to advantages for export from the EVFTA Agreement, Vietnamese agricultural products also have the opportunity to reap great benefits related to regulations. new export to the EU market.

The EU has applied the Carbon Border Adjustment Mechanism (CBAM) from October 1, 2023, initially this mechanism only applies to a number of "super carbon emitters" industries such as iron and steel, aluminum, and cement. and chemicals. However, after 3 years, the subjects affected by this mechanism will be expanded.

Dr. Nguyen Van Hoi also said that with CBAM, goods that want to be exported to the EU must pay the cost of carbon emissions in the host country. Importantly, the EU allows offsets between sectors through buying, selling, and swapping carbon credits.

“ With this regulation, agricultural products have a huge advantage, because they are considered a green export industry. In addition to profiting from exports, businesses can also profit from buying, selling, and swapping carbon credits ," Dr. Nguyen Van Hoi emphasized.

Vietnam has begun to have regulations on buying, selling and exchanging carbon credits, which will create favorable conditions for businesses to export agricultural products, initially exporting to the EU market.

Although there are many opportunities for exporting agricultural products to the EU, however, the leader of the Institute for Industry and Trade Strategy and Policy Research also said that the industry still has limited influence on the market share of Vietnamese agricultural products in the market. this potential field.

In particular, the initiative, especially the readiness to integrate, of businesses is not high. Therefore, businesses need to focus on production methods to overcome technical barriers; constantly control the production process; exploit opportunities from the EVFTA Agreement, especially in terms of origin...

" The rise of trade protection is becoming stronger and stronger in the import market, the problem is not only taxes but also increasingly strict technical standards ," Dr. Nguyen Van Hoi emphasized.