VIETNAM NATIONAL UNIVERSITY UNIVERSITY OF ECONOMICS AND BUSINESS FACULTY OF POLITICAL ECONOMY GRADUATION THESIS VIETNAMESE LYCHEE EXPORTS IN THE EUROPEAN UNION MARKET Program: H-Q system Ha Noi, 2023 VIETNAM NATIONAL UNIVERSITY UNIVERSITY OF ECONOMICS AND BUSINESS FACULTY OF POLITICAL ECONOMY VIETNAMESE LYCHEE EXPORTS IN THE EUROPEAN UNION MARKET Instructor guides: Dr. Nguyen Thi Huong Lan Instructor review: Student: Doan Thi Ngoc Anh Class: QH2020E - Economic CLC 1 Student code: 20050997 Program: H-Q system Ha Noi, 2023 THANK YOU The time of researching and writing this graduation thesis has been a long and challenging journey. I want to send my sincere thanks to Dr. Nguyen Thi Huong Lan for her caring sharing and dedicated guidance.
Nguyen Thi Huong Lan is not only an excellent instructor but also a valuable source of encouragement and creativity for me. The support of Dr. Nguyen Thi Huong Lan has helped me develop my knowledge and research skills significantly. I also want to express my gratitude to my family and friends, who have always stood by my side throughout this time.
Their moral support and encouragement were a great source of encouragement during the process of researching and writing my graduation thesis. Finally, I want to thank all the teachers of the University of Economics in general and the Faculty of Political Economics in particular for sharing their knowledge, experience, and suggestions over the past time. Because my knowledge is limited, my graduation thesis will inevitably have shortcomings. Dear teachers, I would like to ask for your comments to be able to complete my written article.
Thank you very much! Ha Noi, 2023 Student Doan Thi Ngoc Anh DECLARATION OF INTEGRITY I'm Doan Thi Ngoc Anh and I would like to assure you that my graduation thesis is completely independent under the guidance of lecturer Dr. Nguyen Thi Huong Lan. The data used in the graduation thesis have clear origins and have been published in official sources. The results in the graduation thesis are completely honest, so the group researches it themselves, and the group takes responsibility if any problems occur.
Ha Noi, 2023 Student Doan Thi Ngoc Anh TABLE OF CONTENTS THANH YOU oo scesccsscsseossossesscosccscesssssssssssscssesscssscusesissssssesssosscossoscossesiessessesssosse 1 DECLARATION OF INTEGRTTY. 2 TABLE OF CONTENTS .sccscsssessessssssesseessesessessscssessseseeseesesnsasesseeseenneeneenees 3 LIST OF ACRONYMS LIST OF TABLES. : LIST OF FIGURES 1. The urgency of the Subj€C(.
Overview of research situation 2. Overview of the research situation in the country. Overview of research Situation arOdd.- - << estes 14 35:5: N€SGHTCII BAP sscszssssusessscsesessssssssescsesasessass:ssesasesessssesesssososassissssseseresess LO! 3. Research objectives and research questions .Ï RESCATCH ODJECHVES os.2 ROSCATCH QUESTIONS :4sasssessssssssnsososassssssasasasasessssosnsosasessssszesssesassszen 18 4.
Object and scope of the study 6. Methods of collecting information and dtd. Methods of processing information and data. General analysis rmefÏiOd.
CHAPTER 1: THEORETICAL AND PRACTICAL BASIS OF EXPORTING LYCHEE TO THE EUROPEAN UNION (EU) MARKET +24 General theory about export LL.D, Export CONCEPE nan. Different forms Of CXPOME. The role of export. a, The role of export for domestic enterprises:.
27 b, Role in the national CCONOMY:. Exporting lychees and the importance of exporting Iychees.1, Lychee fruit, lychee €or .:osssesssscasssssessssesasesosesessesass3ss0s0s0s006 29 DQ ADD. The importance of lychee €XpOFI.- c5 Sc5cSe+cseeesrkerree 30 1. Factors affecting lychee export.
a, Exporting country factors.ccssecsseseeseseeseeseseesessesessesessesseseenes 31 b, Factors of the importing COUnTY. Criteria for evaluating lychee €XpOFI. World experience in exporting agricultural products in general and exporting lychees in partÏCUÏAT. Experience of ChỉHd.
Experience of ThaiÏaIid. Experience Of ÏnđÌA.4 Experience of Madagascar. Lessons learned for Vietnam in exporting lychee fruit. Introduction to the European Union Free Trade Agreement (EVFTA) CHAPTER 2: CURRENTLY THE STATUS OF VIETNAMESE LYCHEE EXPORTS TO THE EUROPEAN UNION (EU) MARKET.
Overview of the lychee export market to the European Union (EU) MAKE. Overview of the European Union (EU) lychee market.1 Market Size cecsesssessessesssessesseessesssssseseeseeseeseesiessessssseessesesnees 54 2.2 Lychee market demand in some the European Union (EU) COUNETICS .3 The Europe Union market standards for lychee’. Exporting lychees from the world to the European Union (EU) 2.2 Current status of Vietnam's lychee exports to the European Union (EU) market.1 Introduction to Vietnamese lyCh@eS .2 Production and export of Vietnamese lychees.3 Export activities of Vietnamese lychees to the European Union /20/Ẽ. Assess the current status of Vietnam's lychee exports to the European Union market 2.
Evaluation through lychee export assessment index .2 Evaluation through trade index: Coefficient of visible comparative advantage (RCA) .- cc-5cc5ccc+ccererrerrtrrerrerrerrerrrrrrrrr 81 2.3 Limitations and causes of limitations .1 LÌHHIGH[OHŠ ssssscssssesssssessssessesesssssssssssssseossasessnsessssossszsssssessoaes 83 3,5.2 CAUSES sssssrsossassssassssessssessossasossassasossssosssseosossasossonsssonsssenessaese OD CHAPTER 3: DIRECTIONS AND SOLUTIONS TO PROMOTE VIETNAM’S LYCHEE EXPORTS TO THE EUROPEAN UNION (EU) MARKET 3.1 Opportunities and Challenges .----¿- ¿5-5552 5+5 sscesrxerex 88 SLD Opportunities ae. Vietnam — The European Union cooperative relationship 88 3. Opportunity to expand consumption markets and participate in the global value CRAIN. Save costs and shorten the time to complete export DTOCẨÏLFS.
HH HH nhà 89 3. Improve production processes and meet the European Union TEQUIATIONS ON QUALILY .2 CHAM CN OS 1a.1 On the part of state MaNAgeMENt AENCICS w. On the part of local governments and associafions. On the side of export enterprises.
100 LIST OF ACRONYMS Abbreviation Original CBI Center for the Promotion of Imports from developing countries EU The European Union EVFTA European-Vietnam Free Trade Agreement GDP Gross Domestic Product GlobalGAP Global Good Agricultural Practice IMF International Monetary Fund RCA Comparative advantage revealed SPS Sanitary and Phytosanitary TBT Technical Barriers to Trade VietGAP Vietnamese Good Agricultural Practices WTO World Trade Organization LIST OF TABLES Table 1.1: Comparison of agricultural production situation of Vietnam and Thailand 2021. Fruit import volume with HS code 08109020 including the European Union lychees in the period 2020-2022. Import value of fruits with HS code 08109020 including Vietnamese lychees Vietnam entered the market European Union period 2020-2022.4: The export value of fruits with HS code 081090 including lychees of Vietnam in the period 2020 - 2022.5: Export ratio of fruits with HS code 081090 including lychees/GDP of Vietnam.6: Growth rate of fruit export value with HS code 081090 including Vietnam's lychees in the period 2020 - 2022.7: Value export goods and value Fruit export HS code 081090 including grow lychee of the world, the European Union, Vietnam in the period of 2020 - 2022.8: RCA of the fruit industry HS code 081090 of Vietnam and the European Union in the period of 2020 — 2022 80 LIST OF FIGURES Figure 1.1: Import-export chart (a) and growth rate (b) of China in the period 2001-2020.2: Global Lychee Market: Export Value in USD Million, China, 2018- 2021.1: Consumption of lychee output in the world in 2019.2: Bac Giang lychee planting area and output in the period 2020-2022.3: Planted area and output of Hai Duong lychees in the period 2020- 2022.4 : Vietnam's lychee export situation in the period 2020-2022 (including Bac Giang lychee and Thanh Ha lychee). Bac Giang lychees are trademarked in 8 countries.
The urgeney of the subject Vietnamese fruits are famous for their diversity and richness in types, colors, and flavors. Vietnamese fruits contribute significantly to the economy. Not only meeting domestic consumption needs, it has been exported to many countries around the world such as the US, European Union countries. In recent times, the appearance of lychees has attracted considerable attention.
Vietnam stands out as the second country in the world to export lychees, accounting for 19% of the global lychee export market share. In 2018, Vietnam's lychee output reached 380 thousand tons per year, ranking third in output. The quality of Vietnamese lychees is highly appreciated, superior to other countries that produce a lot of lychees such as India and China. Lychee has become one of 10 fruits focused on development in Vietnam's agricultural restructuring program.
Demand for fresh and processed fruits is growing strongly in the international market, creating great prospects for the production of lychees and some other tree species of the soapberry family in Vietnam. According to information from the Department of Crop Production under the Ministry of Agriculture and Rural Development, in 2021, Vietnam's lychee export turnover reached 47. The EU market is one of the largest and potential markets with about 430 million people, including 27 member countries. This is the world's second- largest consumer market, with the world's largest per capita income.
According to statistics from the General Department of Customs, in the second quarter of 2022, Vietnam's export turnover to the EU market reached 12.37 billion USD, an increase of 8% compared to the first quarter of 2022 and an increase of 26. compared to the second quarter of 2021 According to the General 11 Statistics Office, the EU is the third largest export market for Vietnamese agricultural products with a turnover of about 5.5 billion USD/year. Exports will have many positive changes. Vietnamese lychee products have gradually gained a foothold in the EU market but their competitiveness is low due to standards of quality, food safety, etc.
Thanks to participating in the signing of the Vietnam-EU Free Trade Agreement (EVFTA), Vietnam's goods exports have turned a new page.6% of tariff lines have been completely eliminated. This is an extremely great opportunity for Vietnam to promote the country's economy. Although most tariff lines have been eliminated, exporting to the EU market still has quite large challenges such as inspection standards, food safety standards, intellectual property issues, etc. So, I chose the topic "Vietnamese Lychee exports in the European Union market ".
Overview of research situation 2. Overview of the research situation in the country Vo Thi Phuong Nhung, Do Thi Thuy Hang and Vo Thi Hai Hien (2017) researched the current situation and solutions for exporting Vietnamese fruits and vegetables. The authors used quantitative research methods to highlight the characteristics of fruit and vegetable products. Turnover, product group structure, and market structure were also clarified by the research team.
The authors have pointed out the advantages and disadvantages of Vietnam's fruit and vegetable export market, thereby proposing solutions to solve export problems. There are 3 groups of solutions mentioned: product solutions, market solutions, and export management solutions. Do Thi Hoa Nha (2017) with the research "Factors affecting agricultural products exported to the EU market - Approach from the gravity model". The author has provided analysis and considered factors affecting the export of 12 agricultural products to the EU market.
Factors: GDP, population, geographical distance; Technology, institutional quality and WTO participation have been quantified through gravity models on the following commodities: coffee, pepper, and fruits. From the results, the author has proposed groups of solutions to promote the positive and limit the negative to promote our country's agricultural exports to the EU market. Nguyen Ngoc Quynh, Pham Hoang Linh, and Bui Thi Thanh Hai (2018) researched factors affecting Vietnamese agricultural products in the European Union (EU) market. The author has researched that gross domestic product, average gross domestic production, and the level of trade freedom of the importing country have a positive impact on the export of Vietnamese agricultural products to the market.
On the contrary, geographical distance and sea contiguity of the importing country have negative effects. The above results are the basis for the author to propose solutions to promote the export of Vietnamese agricultural products to the EU market. Nguyen Tien Hoang and Trinh Thuy Ngan (2021) studied the impact of EVFTA on Vietnam's agricultural exports to the EU market. This study aims to evaluate the potential impact of the Vietnam - European Union Free Trade Agreement (EVFTA) on Vietnam's agricultural exports to the European Union (EU).
The authors apply the SMART model to quantitatively estimate how tariff elimination under this agreement affects the value of trade between the two sides, with a base year of 2018. By simulating a tax scenario 0% rate for 17 two-digit HS codes of agricultural products, the authors analyze overall changes in exports, trade creation and trade diversion impacts of the entire industry. SMART output results show that EVFTA positively impacts agricultural exports from Vietnam to the EU market, with the trade diversion effect dominating trade creation.