Cassava starch from Vietnam has gained significant popularity in China. Vietnam became China’s second-largest cassava starch supplier in the first seven months of 2023. Exports reached USD 392 million (approximately VND 9.6 trillion), a 50% increase compared to 2022.
China imported USD 1.08 billion worth of cassava starch from Southeast Asia during this period. Cassava starch from Vietnam accounted for nearly 800,000 tons, growing 40% in volume. Vietnam held 37% of China’s tapioca starch imports, following Thailand.
Thai cassava starch imports reached 956,000 tons, valued at USD 525.5 million. Moreover, China increased imports from Laos, Cambodia, and Brazil but reduced purchases from Indonesia.
Vietnamese tapioca starch is highly favored for mooncake production during the Mid-Autumn Festival. However, exporters of Vietnam tapioca starch face intense competition from lower-cost alternatives. Corn starch is also replacing tapioca starch in some industries.
Vietnam exported 1.79 million tons of tapioca and related products in eight months, earning over USD 822 million. Notably, China purchased 92% of cassava starch from Vietnam, equivalent to 1.65 million tons worth USD 751 million.
Although Vietnam tapioca starch is popular, the Vietnam Tapioca Association urges improvements in quality. China rates Thai cassava starch as more stable in supply and quality. The association aims to achieve USD 2 billion in exports by 2028 and USD 2.5 billion by 2050. Currently, Vietnam produces over 10 million tons of cassava annually.
According to the Import-Export Department, despite being the world’s third-largest cassava exporter, Vietnam currently has only 27 provinces with cassava starch processing plants. The country operates approximately 120 industrial-scale cassava starch processing factories with a total designed capacity of 11.3 million tons of fresh cassava roots per year. Among these, about 26% of facilities maintain strong ties to raw material production areas.
The Import-Export Department noted that to enhance competitiveness, many experts suggest investing in improving the quality of cassava exports for international markets.
Vietnamese source: vnexpress.net