Exporting agricultural products to Australia: Conquering a competitive market

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29/05/2023 10:02

Currently, there are 4 types of fresh Vietnamese fruits, namely mango, longan, lychee, and dragon fruit, which are exported to the Australian market.

Currently, there are 4 types of fresh Vietnamese fruits, namely mango, longan, lychee, and dragon fruit, which are exported to the Australian market.

However, expanding market share for agricultural products in Australia is challenging due to its strict requirements surpassing those of the US and EU on labels, food safety, and standards

 

I - Identifying difficulties 

Australia is one of the world's leading agricultural importers with a highly competitive market. However, Vietnam's agricultural exports to Australia have made significant progress, with an export turnover of 845 million USD projected by 2022, showcasing an average annual growth rate of 9% between 2009 and 2022.


[ Australia is Vietnam’s focused market for fruit export]


According to experts, This growth is attributed to the increasing demand for Vietnamese products, driven by Australian consumers' preference for "clean" and "safe" criteria. Vietnamese agricultural products have the advantage of being produced naturally without chemicals by using traditional methods. Exporters are increasingly recognizing the importance of product quality, packaging, and preservation to meet Australia's strict requirements.


However, challenges persist for Vietnamese agricultural exports to Australia. The Australian government imposes stringent regulations on food safety, quarantine, packaging, labels, and tax policies. Transport and logistics costs also impact the competitiveness of Vietnamese products


Another factor includes Vietnam's agricultural products exported to this market are also subject to great competition from other countries. Currently, there are 4 types of fresh Vietnamese fruits, namely mango, longan, lychee, and dragon fruit, which are exported to the Australian market. Therefore, increasing export turnover takes work. In addition, the scale of agricultural production in Vietnam is mainly small. The result is traceability, quality control, and food safety are still limited.


II - What to do to increase export turnover?

To overcome challenges in entering the Australian market, Vietnamese exporters are advised to actively seek partnerships with Australian importers and focus on improving product quality and diversifying product lines. Expanding into frozen agricultural products can be a viable option as they are not subject to export licensing restrictions. 


For a potential but demanding market like Australia, experts believe that businesses must strengthen control over growing and breeding areas, enhance registration and evaluation systems, and ensure compliance with regulations on chemical usage. Support programs for brand development, trademark registration, and increased trade promotion activities are essential. Digital transformation in agricultural production and trade should also be prioritized


"At the same time, Vietnamese businesses need to pay more attention to product packaging, customs procedures, and coordination throughout the supply chain to ensure smooth transportation and maintain a reliable supply. Additionally, exploring frozen products for processing can enhance value and reduce reliance on exporting raw, low-value goods.


III - Fosacha aims to solidify its name in the Australian market

Fosacha, as a promising fruit export company, is embarking on a mission to carve a prominent space in the Australian market. 


[Vietnamese Dragonfruit by Fosacha]

 
Fosacha has established a regular supply of dragonfruit to Australian wholesalers by forging strong relationships with local distributors. With a focus on timely delivery, exceptional customer service, and competitive pricing, the company aims to exceed expectations and build a stronger reputation for its brand. 


As Australians embrace the diverse flavors and nutritional benefits offered by Fosacha's premium fruits, the company aims to become a trusted name synonymous with excellence in the fruit export industry.

 

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