Since the Chinese Renminbi as well as the Thai Baht lost more value than VND and USD, China has increased the import from Thailand and reduced the purchase of Vietnamese cassava products.
According to the latest information from the Export-Import Department (Ministry of Industry and Trade), in 10 days in mid-October, the price of fresh cassava in all regions did not fluctuate much. In Tay Ninh, farmers are focusing on harvesting the rest of the cassava in the area to end the Winter Spring 2021-2022 crop in about 1-2 weeks.
Due to the high price of corn, the domestic cassava market is quite good. The animal feed factories continued to import goods for the demand at the end of the year, pushing up the purchasing price of fresh cassava.
Chinese Renminbi lost Value, China has reduced Purchasing of Vietnamese Cassava Products. (Photo: Internet)
Notably, the demand for cassava starch from China is still “silent”, although road border gates have been opened such as Kim Thanh (Lao Cai), Tan Thanh, Chi Ma (Lang Son), and Mong Cai (Quang Ninh).
Currently, cassava season has come in the whole country and the factories have started to buy but the quantity of materials for production is limited. Meanwhile, as the Chinese Renminbi as well as the Thai Baht lost more value than the VND and the USD, China has increased the import from Thailand and reduced the purchase of Vietnamese cassava products.
The price offered for dried cassava slices from Vietnam to the Chinese ports is about 290 USD/tonne, FOB – Quy Nhon. Vietnamese factories are offering cassava starch between 470 – 490 USD/tonne, FOB – HCM city, a slight decrease compared to the previous 10 days.
Regarding the specific export data, according to the General Department of Customs, in September 2022, Vietnam exported 193.24 thousand tonne of cassava and cassava products, worth 87.66 million USD, down 2.9% in volume and 0.2% in value compared to the same period last year.
In 9 months of 2022, cassava and cassava product exports reached 2.32 million tonnes, valued at 1.02 billion USD, up 8% in volume and 19.8% in value compared to the same period in 2021.
In September 2022, China remained Vietnam’s largest consumer of cassava and cassava products, accounting for 89.2% of the country’s total export of cassava and cassava products, with 172.37 thousand tonnes, valued at 78.46 million USD. The figures were down 4.2% in volume and 2.5% in value compared to the same period in 2021.
Cumulatively in 9 months, Vietnam exported to China 2.12 million tonnes of cassava and cassava products, valued at 936.63 million USD, up 5.8% in volume and 17.6% in value compared to the same period in 2021.