According to the Vietnam Pepper Association (VPA), Vietnam’s cinnamon exports in August reached nearly 23 million USD with an output of 8,186 tons, down 17.1% compared to July 2024.
In the first 8 months of the year, cinnamon exports reached 62,918 tons with an export turnover of 177 million USD, up 1.7% in volume and down 3.5% in value over the same period last year.
India was Vietnam’s largest cinnamon export market with 20,722 tons, down 24% over the same period last year. Next are the US with 7,399 tons, up 8%; Bangladesh 6,238 tons, up 35.2%; Indonesia 4,110 tons, up 121.4%; and the UAE 1,633 tons, up 91.4%.
Cinnamon is the world’s oldest spice, first discovered in China. Now, few countries can grow it, including China, Vietnam, Laos, Indonesia, Sri Lanka, and South America.
Vietnam’s cinnamon exports reached 62,918 tons from the beginning of the year.
With an area of about 180,000 hectares, cinnamon cultivation is currently a livelihood for hundreds of thousands of ethnic minority households in remote provinces and, at the same time, contributes to the socioeconomic development of many localities in Vietnam.
Cinnamon has many uses, such as a spice, flavoring, or medicine. Currently, Vietnam has become the country with the largest area of cinnamon in the world, with the production of cinnamon bark reaching 72,000 tons (in 2023).
Ms. Hoang Thi Lien, Chairwoman of the Vietnam Pepper and Spice Association (VPSA), shared that in 2022, Vietnam ranked third in the world in terms of cinnamon production and was the leading cinnamon exporter with a turnover of 292.2 million USD.
Some enterprises have invested in modern cinnamon processing plants, especially FDI enterprises. However, it is not enough for the whole Vietnamese cinnamon industry. Now, Vietnam’s key cinnamon export markets are India, USA, Bangladesh, Brazil, and Indonesia.
In addition to cinnamon, Vietnam is considered to have a diverse source of medicinal herbs. In particular, the rare natural medicinal herbs are quite rich. According to statistics, Vietnam currently has more than 5,100 species of medicinal plants, which have many potentials and advantages to develop medicinal herbs into an economic industry.
Although Vietnam is the world leader in cinnamon exports, this industry is facing many challenges to reach further in the international market. According to experts, Vietnam does not have a sustainable development strategy at the national level. Besides, there is a lack of mechanisms to promptly respond to market requirements.
Seedling quality is open. This is the main reason why Vietnam’s cinnamon production is much lower than the world’s cinnamon production, especially China.