Chinese companies began experimenting five years ago with growing durian in Hainan to reduce dependence on imports and shorten delivery times for fresh fruit.

The area under the fruit has nearly quadrupled since then from 700 hectares in 2020to 2,600 ha, according to the Hainan Academy of Agricultural Sciences.

The Hainan variety currently retails for CNY100 (US$13.93) per kilogram, two or three times the price of durian imported from Vietnam.

Chinese experts hope that as production scales up prices will drop to CNY20.

However, achieving this requires expanding cultivation, overcoming climatic challenges, and optimizing production technologies to reduce costs.

China iis the primary market for Vietnamese durian.

Last year that country imported durian worth nearly $7 billion, about 40% from Vietnam, according to the Ministry of Industry and Trade.

The output from Hainan is unlikely to pose a major threat to Vietnamese farmers and exporters, Dang Phuc Nguyen, general secretary of the Vietnam Fruit and Vegetable Association, said.

Even when Hainan increases cultivation, the output would remain insufficient to meet China’s huge demond, he said.

Besides, Hainan’s natural conditions are only moderately suitable for durian as it suffers from frequent typhoons, which could wipe out orchards, and its low temperatures mean it would take four years for trees to bear fruit.

The high labor and other costs in China make the fruit much more expensive than in Vietnam and other places in Southeast Asian.

Vietnamese durian, known for its distinctive flavor and competitive prices, is favored by Chinese consumers.

Nguyen Dinh Tung, CEO of fruit exporter Vina T&T, said China’s durian output this year would only be equivalent to 80 containers, a negligible volume unlikely to impact imports.

Last year China imported over 1.56 million tons of durian.

Hainan authorities aim to expand cultivation of the fruit to 6,600 ha by 2028, incorporating automated irrigation, AI fruit sorting and intercropping to boost productivity.

But analysts said only when production reaches hundreds of thousands of tons would it significantly affect the regional market, a development unlikely in the near term.

Tung expected China to take at least a decade to achieve substantial output, and Vietnam should meanwhile strengthen its national brand and pursue sustainable development.

The Ministry of Agriculture and Environment recently established food safety controls for exports of fresh durian to ensure quality and value and foster long-term competitiveness.

Vietnam’s durian quality has improved markedly, industry insiders said, with many export batches meeting standards comparable to Thailand’s.

But Thai varieties, particularly monthong, have an advantage due to superior logistics, large output and a strong brand name.

Monthong retails at VND160,000–200,000 per kilogram, and Vietnamese exporters are leveraging their lower prices to expand Chinese market share.

To enlarge this advantage, the Vietnam Fruit and Vegetable Association wants localities and growers to invest in cultivation, improve packaging and develop a national brand.

Vietnam’s durian exports have been picking up in recent times after a slump in the first three months of this year when monthly exports were worth below $100 million.

In July the figure jumped to almost $400 million, bringing the seven-month total to $1 billion.

Source: VnExpress