Vu Minh Duc, an importer of raisin, potato, avocados, and chicken from the U.S. and a trade representative in Vietnam of the California Raisin Association, has been seeing a growing demand for U.S. produce.

"For many Vietnamese consumers, U.S. products have gained favor by adhering to high quality standards," Thanh Nien newspaper quoted him as saying.

He expected a recent government decree, which reduces tariffs on American products like including cherries, raisins and frozen chicken thighs, to make foreign goods more accessible to consumers at better prices.

The U.S. was the second largest source of fruits and vegetables in the first quarter, with Vietnam’s imports being worth $160 million as against purchases of $224 million from China, according to the Vietnam Fruits & Vegetables Association (Vinafruit).

Imports from the U.S. grew at 55.4%. accounted for 26.5% of Vietnam’s overall imports, a 5.5 percentage point rise from the same period last year.

Analysts attribute the surge in imports to Vietnam’s participation in a number of free trade agreements. China and the U.S. are leveraging their agricultural strengths to supply Vietnam with increasing volumes of produce.

This benefits consumers with more competitively priced options. Imports from the U.S. are expected to see even stronger growth following tariff reductions on many agricultural products effective March 31.

Traders are intensifying their effort to boost sales of American produce to Vietnam. On April 22 U.S. blueberry exporters held an event in HCMC to promote their products.

Francis Lee, a representative of the U.S. Highbush Blueberry Council in Vietnam, said blueberries, approved for import in 2019, have been warmly received.

Last year U.S. blueberry shipments increased by 64% to 100 tons. U.S. businesses are eager to introduce their products to Vietnamese consumers and plan to give them the opportunity to experience them by organizing promotional and sampling events at various retail locations, he said.

Dang Phuc Nguyen, Vinafruit general secretary, said imports of U.S. produce have risen sharply due to its quality and competitive pricing, bolstered by a strong affinity for American goods.

He predicted rapid, even "explosive," growth for U.S. fruits and vegetables in Vietnam. Vietnam’s recent tariff cuts on agricultural items are expected to enhance market access for foreign produce, he said.

The fact that Vietnam and the U.S. are preparing to negotiate reciprocal tariff reductions would also benefit imports, he said.

Source: VnExpress