Ho Chi Minh city, 28 September, 2023 – The Ministry of Agriculture and Rural Development (MARD) and the United Nations Development Programme (UNDP) co-hosted a conference entitled “Sustainable Dragon Fruit Development in Viet Nam”. It aimed to advance low-carbon, sustainable, and climate-resilient practices in cultivating, processing, and consuming green dragon fruit, expanding domestic and international markets, and enhancing collaboration among stakeholders throughout the dragon fruit supply chain.

The conference intended to integrate green, low-carbon, and climate-adaptive practices in pursuit of a sustainable transformation of Vietnam's food system, focusing on the dragon fruit value chain which is one of the top 10 essential fruits in Viet Nam. This transformation entails modernising the farm management system, fostering transparency via digitalization, and establishing robust connections between value chain stakeholders, including farmers, cooperatives, businesses, and distributors. Transparency in production processes, adherence to quality standards, traceability of product origin, including tracking the crucial factors of carbon footprints of the dragon fruits, are indispensable for the rising trend of green and sustainable agricultural and food system to meet with new international obligations and national strategies toward a net-zero and sustainable future.

Viet Nam has been a leading dragon fruit producer globally in terms of land area and production. It is also the second largest dragon fruit producer and exporter, holding a significant market share in Asia, especially to China, Europe, and United States. However, since Covid-19, the dragon fruit value chain in Viet Nam has encountered significant challenges. Recent statistics from the General Department of Customs indicate a significant decline in the export volume of dragon fruit from Viet Nam since 2019. This decline is accompanied by the successful cultivation of dragon fruit in countries such as China, India, and Mexico, with China reporting an annual output of 1.6 million tonnes, surpassing Viet Nam. These developments highlight the urgent need for a new course of action within the Vietnamese dragon fruit industry.

To ensure the sustainable development of the Vietnamese dragon fruit value chain, Mr. Tran Thanh Nam, Vice Minister of MARD, emphasized the importance of capitalizing on ecological advantages, particularly in the critical dragon fruit growing provinces of Binh Thuan, Long An, and Tien Giang. He also stressed the need to enhance product quality, add value, boost competitiveness, protect the environment, and adapt to climate change. "Among the key strategies are reorganizing the dragon fruit value chain towards cooperative and linked production, overcoming disconnection among value chain entities, facilitating access to export markets, and mitigating market and production risks. A comprehensive and efficient logistics system and mobilizing resources from the private sector, state, and international support are crucial in driving efficiency, adding value, integrating multiple values, reducing carbon footprint, and ensuring sustainability in the dragon fruit value chain."

Mr. Patrick Haverman, UNDP Deputy Resident Representative in Viet Nam, emphasized that the conference is an invaluable platform to stay informed about evolving market and trade requirements and gaining insights from domestic and international trade experiences. “It is essential that we stay attuned to the evolving trade landscape, especially in expanding and diversifying trade cooperation in emerging markets such as the EU, US, Canada, Netherlands, New Zealand, Japan, and Korea,” he said.

He also highlighted three crucial lessons for the sustainable development of dragon fruit in Viet Nam. Maintaining a competitive advantage requires, first and foremost, a concentration on quality over quantity and the adoption of innovative and eco-friendly production techniques. Second, market-centric production needs to align production with export market demands, obtain sustainable production certifications, and establish electronic traceability systems. Sustainable dragon fruit production must employ resilient and environmentally friendly methods to meet the rising global demand for sustainable food and reduce carbon footprints. These practices should reduce resource consumption, increase fruit quality, and maximize economic value integration throughout the supply chain.

The conference is set to encompass a wide array of comprehensive discussions on various pivotal topics that are central to the sustainable development of the dragon fruit industry: Dragon Fruit Production Orientations, Market Dynamics, Sustainability in Practice, Provincial Strategies, Quality Assurance. Business Insights with valuable perspectives from industry leaders, including European Enterprises, Vina T&T, Saigon COOP, MM Mega Market, Big C, the Dragon Fruit Association, others local companies, cooperatives and experts were shared. These insights provided the participants with a broader understanding of successful business models and practices in the dragon fruit sector.

The participants gained a comprehensive comprehension of successful business models and best practices within the dragon fruit industry. At the conference, a number of businesses and agriculture cooperatives initiated new cooperation to boost the green and sustainable dragon fruit eco-systems at the conference, including a memorandum of cooperation between Thien An International Import and Export Company Ltd and Phuc Ha Juice Co., Ltd to promote the dragon fruit products to export markets of America, Japan, Malaysia and China.

In conclusion, Mr. Tran Thanh Nam, Vice Minister of MARD emphasized the strategy for dragon fruit production should be maintaining within the current cultivation area of 60,000 - 65,000 hectares in Binh Thuan, Long An, Tien Giang provinces. The ministry would like to call for further technical assistance and cooperation with development partners and private sector to support the three provinces in improving quality of productions of an estimated 1.3 - 1.5 million tons annually, particularly through advanced production processes and technology, along with ensuring transparency and food safety certifications to compliance with consumer expectations and global standards. At the same time, the ministry calls for solutions and technical assistance to strengthen ongoing investment in research and development for dragon fruit by-product utilization and circularity. It not only brings added economic values but also aligns with environmental goals of reducing greenhouse gas emissions. This strategy not only safeguards the future of dragon fruit production but also positions it as a sustainable and quality-driven industry in the global marketplace.

For media inquiries, please contact:
Phan Huong Giang
UNDP Media and Communication Analyst, Climate Change and Environment
Email: phan.huong.giang@undp.org
Mob: 0948466688