Thesaigontimes.vn – For the first 5 months of the year, fertilizer export volume has strongly increased, and one of the reasons was due to failure to compete against poor quality fertilizers currently widely sold in the domestic market.
According to the General Department of Customs in the first 4 months of this year, Vietnam has exported 425,305 tons of fertilizer, worth more than USD 188 million, up by more than 22% in volume, 73.4% in value as compared over the same period last year.
Also for the first 15 days of May, Vietnam has exported nearly 60,424 tons of various fertilizers, earned nearly USD 27.5 million. The exported fertilizer was mostly NPK.
An officer in charge of fertilizer inspection from Ministry of Agriculture and Rural Development declined to give his comments on poor quality fertilizers widely on sales in the market, forcing businesses to seek ways for export. According to him, the export volume increased over the previous year maybe because fertilizer companies had good marketing plans resulting in good sale volumes.
Mr. Le Quoc Phong, General Director of Binh Dien Fertilizer Company said, poor quality fertilizer was just one of reasons, not a decisive factor. According to him, the main export item of the enterprises was NPK fertilizer, sold under no brand name to India and Africa. That is the importers bought fertilizers from Vietnam and then sold them under another brand.
“Exporting no brand fertilizers is not a long-term stable solution, because importers may buy fertilizers from Vietnam when prices are low and may not buy when other countries offer prices even lower than those of Vietnam”s fertilizers”, said Mr.Phong.
Mr.Phong also acknowledged that in the first 4 months of the year, Binh Dien’s fertilizer exported to Cambodia reached 50,000 tons, at double volume of the same period last year.
According to Mr.Nguyen Hac Thuy, Chairman of Fertilizer Association of Vietnam, enterprises sharply increased their export because the State has allowed them to export fertilizers freely, not restricted under export permits as before.
The main export markets of Vietnam”s fertilizers, according to Mr. Thuy, are Laos, Cambodia, India and Africa.
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