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Local exports struggle to break barriers to US

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Though local fruit exports to the US have been rising thanks to surging demands, Vietnamese exporters are yet to break the formidable barriers on food safety to this market.

A large number of industry players asserted that the appetite of European-American and African-and Asian-American people had paved the way for a sharp rise in tropical fruit and vegetables consumption in the US.

On average, every American spends around US$232 on 124 kg of fruits a year, Matthew Lantz of the United States Agency for International Development (USAID), told a seminar on farm produce exports to the US held in HCMC earlier this month.

The total American fruit import spending amounts to US$3.4 billion annually, indicating a pretty high demand of fruit of the country, Lantz said. He suggested Vietnam take advantage of this fact to boost its fruit exports to the US.

Furthermore, the fact that Vietnam will join the Trans-Pacific Partnership (TPP) also offers a great opportunity for local fruits to approach the American market in a much more effective way.

The US is imposing a tariff of 2.2 percent on fruit exporters, but this level will be lowered to 0 percent for Vietnam after it joins TTP.

TPP also creates another favorable condition for Vietnamese agro-product exporters. The American tightening supervision on animals and plants under the WTO Agreement on the Application of Sanitary and Phytosanitary Measures (SPS Agreement) will enable Vietnamese exporters to map out import terms that are favorable to them.

“These guidelines will make it clearer for Vietnamese fruits to approach testing issues in America and other TPP’s markets,” Lantz said.

To export fruits to the US in a better way, Lantz said Vietnamese enterprises should directly sell products to American buyers to save costs.

For example, local firms could promote products in the US via community organizations, farmer associations or retailers, he said.

Despite opportunities in the US  market, local exporters have still confronted with barriers on food hygiene and safety.

Neglecting this reality, Vietnam will fail to increase its export turnover as targeted, experts said.

At the same seminar, several exporters shipping fruits to the US expressed their concerns over new technical barriers that the latter had just set up. Red Dragon Co.’s director Mai Xuan Thin complained that some shipments of dragon fruit from his company had been detained for an antibiotic residue test.

Meanwhile, the American plant inspection agencies have yet to announce criteria on permitted antibiotic residue for imported fruits. This has worried Vietnamese exporters, including those licensed to export dragon fruits and rambutans to the country.

A director of a HCMC-based fruit export firm insisted that Vietnam’s Ministry of Agriculture and Rural Development work with relevant American authorities to solve this issue as soon as possible.

He believed getting a good hold of specific regulations set by the US would help Vietnamese exporters be more active in preserving and processing fruits, especially when the volume of fruits exported to this market has been on the rise in recent years.

Answering the questions of local businesses relating to the aforementioned issue, Lantz said that the U.S. had yet to set up detailed rules of antibiotic residue for every kind of imported fruits.

Nonetheless, it tends to apply stricter criteria on food hygiene and safety for all imported products based on new regulations of the FDA Food Safety Modernization Act (FSMA) issued on April 1.

The U.S. Federal Food, Drug and Cosmetic Act (FDCA), which was passed by Congress in 1938, gives authority to the US Food and Drug Administration (FDA) to oversee the safety of food, drugs and cosmetics.

FDCA has been amended many times but FSMA is the biggest amendment to food safety over the decades.

According to FSMA, FDA has the right to appraise and control food safety of products provided by foreign sellers.

It has been given the authority for the first time to coercively recall suspected products that should have been voluntarily recalled by exporters.

Hence, according to Lantz, Vietnamese exporters doing business in the U.S. have to analyze and identify possible risks of processing, manufacturing and transporting products to control and minimize these risks.

Source: Tuoitrenews

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