China was the biggest consumer of Vietnamese products in the first five months of the year, buying up 87.2% of the country’s total exports, down 25.2% in volume but up 9.2% in value.
The Agro Processing and Market Development Authority (AgroTrade) says the price of sliced cassava exported to China continued to fall due to a decrease in market demand. At present, the price of cassava at factories in Tay Ninh province have dropped VND300 to VND3,100-3,200 per kilo. Factories in the Central Highlands have ceased operations as the cassava crops have ended.
AgroTrade forecasts a resurgence in the cassava market in the time ahead, as China’s ethanol and chemical plants will carry out a renewed increase of their capacity. However, with the country’s livestock industry facing difficulties, it still has a huge volume of corn in stock and is trying to reduce the stockpile by using it for ethanol production. As a result, the price of sliced cassava exported to China is not likely to see a rise in the second half of this year.
Vietnamese farmers should take measures to maintain their productivity and output and inform themselves of the demands of domestic and foreign markets, AgroTrade advises.