Vietnam has many spices ranked “top” in the world market. However, the lack of an industry association to support, manage as well as research information and market forecasts is the reason why Vietnam’s spice industry has not been able to take advantage of the advantages to develop properly.
The world’s leading “top” for cinnamon, star anise…
According to the Vietnam Pepper Association, besides pepper products that are leading the international market, Vietnam has many other spices with development strengths, such as cinnamon, anise, chili…
Cinnamon is currently produced in a few countries around the world. In which, Indonesia leads with production accounting for about 41%, followed by China 33%, Vietnam 14%. Demand for cinnamon is growing faster than supply globally, with an increase of 8-12% per year. The imbalance between supply and demand has caused the price of cinnamon to continuously increase, especially from 2016 up to now.
In Vietnam, cinnamon is currently a source of livelihood for hundreds of thousands of ethnic minority households in remote provinces, contributing to socio-economic development in many localities.
Ms. Hoang Thi Lien – Chairman of the Vietnam Pepper Association said that Vietnam’s cinnamon exports increased steadily year by year. Specifically, in 2019, the amount of cinnamon exported reached 62,000 tons, the turnover reached 180 million USD. By 2022, cinnamon exports will reach 77,786 tons, with a turnover of $291.6 million, accounting for 25% of the world market share.
Mr. Nguyen Nhu Cuong – Director of the Department of Cultivation, said that according to preliminary assessment, the actual development of pepper and spices in Vietnam only corresponds to about 50% of the potential. That means that if properly developed, the export turnover of pepper and spices can reach 2-3 billion USD/year.
Or like anise, Vietnam is also the second largest country in the world (after China) in terms of anise production. Star anise is grown a lot in Lang Son, Cao Bang, Quang Ninh… with an annual output of 20,000 tons on an area of about 60,000 hectares. Anise is a tree of high economic value, widely used in the fields of medicine, flavoring, cuisine, handicrafts, etc.
The consumption market of Vietnam anise is also large, such as the US, Europe, India, China, Japan, and some Southeast Asian countries. Currently, Vietnam is the third largest producer and exporter of star anise in the world, with an output contributing about 13% and a turnover of 72.9 million USD in 2022.
There is so much potential for development, but spices in Vietnam face difficulties in varieties, development planning and market access, sustainable farming methods, forecasting information and research. market. In particular, the biggest obstacle is not having the support and support of a commodity organization with the role of connecting production and consumption, helping to promptly detect arising problems for advice and advice. make recommendations to agencies and departments.
“Because of the lack of a leading and coordinating role, the spice industry is still developing spontaneously based on the resources of each individual, at an individual level, there is no close connection between businesses and localities, between production and business. production and consumption, between enterprises and farmers. That is not to mention the possibility of conflicts of interest between businesses, which weakens their competitiveness and is forced on prices by customers in the market,” said Ms. Lien.
How to exploit the full potential?
According to experts, there are only a few countries in the world that have suitable weather and soil conditions for growing pepper and other spices, including Vietnam. Meanwhile, after the Covid-19 pandemic, the awareness and demand for spices in promoting health, increasing immunity, fighting against diseases has contributed significantly to the strong growth rate. strong demand for imported spices, both in Europe and the US as well as in many other countries.
However, up to now, these spice specialties have not been clearly located on the world spice map. The value obtained from spices by farmers is still limited because they are sold in the form of raw materials and through intermediaries.
At the recent extraordinary meeting, the Vietnam Pepper Association officially changed its name to the Vietnam Pepper and Spices Association. “With a force of businesses with experience in the international market, with modern invested facilities, quality human resources with expertise and good foreign languages, the Vietnam Pepper and Spices Association will continue to promote its strengths and effectively support the spice industry in the development process,” said Ms. Hoang Thi Lien.
Mr. Le Hoang Tai – Deputy Director of the Trade Promotion Department (Ministry of Industry and Trade) also said that when “admitting” more spice fields as a member, the Vietnam Pepper and Spices Association needs to actively coordinate. with the ministries of construction and organization, select enterprises to participate in trade promotion with efficiency and high spread.
In addition, Mr. Tai noted that it is necessary to regularly monitor, evaluate and update information and data related to the production and trade market of spices, production situation and seasonal forecast. , facilitating the business community to exchange information.
Mr. Nguyen Nhu Cuong – Director of the Department of Crop Production (Ministry of Agriculture and Rural Development) said that besides pepper, spices have become indispensable ingredients in people’s meals in many countries around the world, especially are Muslim countries (accounting for a quarter of the world’s population). “The change of the name of the Vietnam Pepper Association to the Association of Pepper and Spices is not only a name, a title but a change in the perspective and position of a commodity. Hopefully, with the available experience and potential, pepper businesses will jointly build and develop the spice industry commensurate with the inherent potential,” emphasized Mr. Nguyen Nhu Cuong.
According to danviet.vn