A cassava processing plant. Cassava and cassava product exports increased by 15.2 per cent in volume and 3 per cent in value in the first seven months of the year. — Photo courtesy of congthuong.vn
HCM CITY — Việt Nam’s exports of cassava and cassava products are estimated to be 1.6 million tonnes worth US$542 million in the first seven months of the year, a year-on-year increase of 15.2 per cent in volume and 3 per cent in value, according to the Agro Processing and Market Development Authority.
In the period, exports of cassava chips were up by 88 per cent in volume and 102 per cent in value over the same period last year to reach 469,000 tonnes and $107 million, respectively.
Its average export price was 7 per cent higher than the same period last year, but the average export price of cassava and cassava products was down 11 per cent year-on-year.
Meanwhile, cassava starch exports reached 1.1 million tonnes with a value of $435 million, down 1 per cent in volume and 8 per cent in value over the same period in 2019.
China remained Việt Nam’s largest export market for cassava and cassava products in the period.
Nguyễn Quốc Toản, head of the Agro Processing and Market Development Authority, said that high demand for cassava chips from China has pushed up exports of the product to the market.
Prices of cassava chips are on a rising trend. This is due to alcohol prices in China rebounding because of an increase in raw material prices and low inventories, along with higher alcohol consumption, due to the impact of the Covid-19 outbreak in Beijing.
Currently, prices of corn in China are increasing sharply due to scarce supplies, while there is a high demand for corn for animal feed and alcohol production.
This is an opportunity for Việt Nam to boost exports of cassava chip to the market to substitute for corn in the short term, Toản said.
Unlike cassava chips, exports of cassava starch to China have fallen sharply.
The Agro Processing and Market Development Authority forecasted that the export prices of cassava chips will continue to increase due to demand that outstrips supply.
In the domestic market, in July the price of cassava chips increased strongly due to low inventories and an increase in export prices. — VNS