Banana exports to China boom despite Covid restrictions

1 min readUpdated Jun 1, 2025Jun 13, 20225:10 AM

In this article (4)

Banana exports to China increased by 10 percent in the first five months though total vegetable and fruit exports to that country were down 28 percent.

Vietnam was China’s largest supplier of bananas at 742,000 tons or 43 percent of its total imports, according to the Vietnam Fruit & Vegetables Association (Vinafruit).

Vo Quang Huy, director of agriculture firm Huy Long An Co. Ltd, said his company’s banana exports to China were up almost 30 percent year-on-year despite the Covid-19 restrictions and safety measures in place there.

Nguyen Van Cu, director of a northern exporter, agreed, saying his company’s exports doubled to around 500 tons.

“Prices have surged from VND3,000 (13 U.S. cents) a kilogram last year to VND5,000-8,000.”

Vinafruit chairman Dang Phuc Nguyen attributed the rise to falling output in China, where banana farms have been plagued by Fusarium wilt, a lethal fungal disease that has no cure, and rising input costs.

But packaging and logistic costs of up to VND13,000 a kilogram eat up profits, exporters said.

They expect exports and prices to rise sharply in the second half of this year.

Vietnamese exports need to improve their quality and origin traceability to increase their chances of entering the Chinese market, Nguyen added.

AdvertisementAdvertise with usMobile 320×100

What this means

This surge in Vietnamese banana exports to China highlights a strategic shift in agricultural supply chains, enabling key players like Huy Long An Co. Ltd to significantly boost volumes. The sector's ability to navigate Covid-19 restrictions, coupled with China's domestic production issues, creates a prime opportunity. However, high packaging and logistics costs, up to VND13,000 per kilogram, threaten profitability, suggesting a need for supply chain optimisation. This move pressures other regional suppliers as Vietnam solidifies its dominant position, unlike Panpuri's multi-country expansion. The focus for Vietnamese exporters must now be on enhancing quality and traceability to sustain market access long-term. Watch for specific quality certifications emerging from key Vietnamese exporters.

Minjun Park · Retail News Asia newsroom

Questions & Answers

What is the primary reason for the increase in banana exports to China?

The rise is attributed to falling banana output in China. Chinese banana farms have been affected by Fusarium wilt, a fungal disease, and rising input costs, reducing domestic supply.

How do increased logistics and packaging costs affect exporters?

Exporters report that packaging and logistics costs, which can be up to VND13,000 per kilogram, significantly reduce their profits. These expenses cut into the higher prices they receive.

What improvements do Vietnamese exporters need to make for the Chinese market?

To enhance their prospects in the Chinese market, Vietnamese exporters must improve the quality of their produce. They also need to strengthen their origin traceability systems for bananas.

Reader pulse

Will Vietnam sustain this banana export growth?

18,452 votes so far