It is estimated that Vietnam's tea exports in August 2021 reached 10 thousand tons, with a turnover of 17 million USD, which is a decrease of 13.1% in volume and 18.1% in turnover compared to July 2021. For the first 8 months of the year, the total tea export volume of Vietnam is estimated at 80,000 tons, with a turnover of 133 million USD, down 6.0% in volume and 1.8% in turnover compared to the same period in 2020.
Vietnam's tea exports are forecasted to grow in the near future thanks to positive signals from its major import markets including China and India. Consumption of tea has increased as consumers have to stay at home more. In addition, tariff incentives from Free Trade Agreements such as EVFTA and CPTPP also bring advantages to the tea industry.
According to statistics from the General Department of Customs, Vietnam's tea exports in July 2021 reached 10.5 thousand tons, with a turnover of 18.89 million USD, up 3.2% in volume and 6.2% in value compared to June 2021. Tea exports for the first 7 months of 2021 reached 63.5 thousand tons, with a turnover of 105.3 million USD, up 4.2% in volume and 10.4% in turnover over the same period last year.
The average export price of Vietnam's tea in July 2021 reached 1,797.6 USD per ton, up 2.9% compared to June 2021 and up 11.4% compared to July 2020. Generally in the first 7 months of 2021, the average export price of tea reached 1,656.7 USD per ton, up 5.9% over the same period in 2020.
In the first 7 months of 2021, Pakistan, Taiwan and Russia were Vietnam’s 3 largest tea export markets, accounting for 61.9% of total tea exports. In particular, tea exports to the Pakistani market increased by 10.9% in volume and by 14.5% in turnover over the same period in 2020; exports to Taiwan increased 12.9% in volume and 11.0% in turnover; in contrast, tea exports to the Russian market decreased by 11.7% in volume and 6.8% in turnover.
In general, compared to the same period in 2020, there was uneven growth in Vietnam's tea export markets in the first 7 months of 2021. In particular, exports to some markets such as Russia, Indonesia, UAE, Ukraine, Saudi Arabia decreased while that to China increased by 51.1% in volume and 60.6% in turnover.
In fact, the demand for tea in these markets has increased sharply, but the supply was limited due to the impact of the Covid-19 epidemic.
Continuing the growth momentum in the first 7 months of 2021, in the last 5 months of 2021, Vietnam's tea exports are forecast to grow positively. Global demand is improving as major world economies have recovered rapidly.
In addition, Free Trade Agreements (FTAs) such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Vietnam-EU FTA (EVFTA) will create favorable conditions for tea products of Vietnam to participate in partner markets with preferential tariffs.
Products made from Vietnam's tea trees are increasingly diversified and abundant, with guaranteed output and quality.
List of 50 tea companies in Vietnam by export turnover
Source: Ministry of Industry and Trade
Compiled by VietnamCredit