Deep processing opens up export headroom for fruits and vegetables

According to the Ministry of Agriculture and Environment, fruit and vegetable export turnover in July reached 1.12 billion USD, the highest level ever recorded and surpassing the 1 billion USD mark within a single month for the first time. This result not only reflects industry growth, but also demonstrates a shift in export structure toward increasing the proportion of processed products.
According to experts, whereas fruit and vegetable exports previously relied heavily on fresh products, current trends are gradually shifting toward higher value-added commodities. This change is quite distinct across markets maintaining stringent requirements regarding quality, food safety, and technical standards, such as the European Union (EU). Concurrently, this shift reveals positive signals from Vietnamese enterprises as they step-by-step elevate the value chain instead of concentrating solely on expanding export volumes.
According to the Vietnam Fruit and Vegetable Association, in the first 6 months of the year, fruit and vegetable exports to the EU reached approximately 214.4 million USD, up 31.8% compared to the same period last year. In June alone, export turnover to this market surged by 37.9%. This increase demonstrates that demand for Vietnamese fruits and vegetables in Europe is improving, while generating additional opportunities for enterprises possessing the capacity to satisfy high standards.
Notably, while processed products currently occupy approximately 30.85% of Vietnam's total fruit and vegetable export turnover, this proportion within the EU has climbed to nearly two-thirds. This indicates that deep processing is becoming one of the crucial factors assisting Vietnamese enterprises in accessing high-value markets with stable quality demands.
In practice, processed products—such as frozen, dried, ground fruits and vegetables, purees, and juices—possess advantages in shelf life and long-distance transport capabilities. This serves as a vital factor for products to properly satisfy markets situated far from Vietnam, while helping enterprises reduce logistics pressure, limit risks during transit, and act more proactively regarding supply timelines.
Vietnam currently records positive export growth across multiple processed commodities: processed passion fruit increased by 37.5% compared to the same period; potatoes surged by 100.7%; and processed dragon fruit rose by 50.1%. These outcomes demonstrate substantial headroom for the processed goods group, particularly as enterprises continue diversifying products and better satisfying individual market demands.
Separately in the German market—one of the EU's major markets—the import value of processed fruits and vegetables from Vietnam in the first 5 months of the year reached 28.24 million EUR, surging by 126%. This high growth rate indicates expanding opportunities for Vietnam's processed products to penetrate deeper into the European market. However, experts consider that this opportunity can be maintained solely if enterprises fully satisfy requirements regarding quality, food safety, and origin traceability.
One of the significant benefits of deep processing is its effectiveness in reducing post-harvest losses. According to the Vietnam Fruit and Vegetable Association, the post-harvest loss rate for fruits and vegetables in Vietnam currently remains at 30–40%, significantly higher than the 10–15% range in Thailand. Therefore, continued enterprise investment in preservation and processing technologies not only creates additional export products, but also helps enterprises make better use of raw material sources, reduce rejected product volumes, and elevate production efficiency.
However, expanding fruit and vegetable exports through deep processing also places higher demands on raw material zones and the entire production chain. Among these, standards regarding growing area codes, packaging facilities, control of plant protection chemical residues, heavy metals, food safety, and origin traceability are increasingly becoming essential conditions for enterprises to maintain markets.
In that context, developing standardized raw material zones, strengthening linkages between farmers, cooperatives, and enterprises, alongside investing in preservation and processing technologies will decide the capability to transition from quantitative to qualitative growth. Only when raw materials are well controlled and processing technology is upgraded can enterprises proactively develop products tailored to each segment, reduce dependence risks on fresh items, and enhance competitive strength.
It is evident that fruit and vegetable exports surpassing the 1 billion USD threshold in a single month for the first time represents not merely a turnover milestone, but also highlights opportunities to elevate and expand value chains. Furthermore, as international markets increasingly prioritize safe, convenient products with long shelf lives that satisfy strict standards, developing deep processing will help Vietnamese enterprises continue opening export headroom for fruits and vegetables, raise product value, diminish reliance on fresh goods, limit post-harvest losses, and exploit domestic raw material sources more efficiently.
Source: Tap chi Kinh te - Tai chinh
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