Bumper harvests, plunging prices

Thứ 4, 27/08/2025 | 10:17:18 [GMT +7] A A

At this time of year, farmers in Tay Ninh are harvesting dragon fruit. Despite relatively high yields, prices have fallen sharply, and consumption is sluggish. In response, local authorities are seeking ways to stabilise the market, enhance product quality, and guide the crop towards sustainable development.

Export hurdles drive Dragon Fruit prices down

Shrinking acreage, uncertain markets

According to the provincial Department of Agriculture and Environment, Tay Ninh has 7,338 hectares under dragon fruit cultivation, 95.6% of last year’s figure for the same period, with 6,860 hectares in the fruit-bearing stage. Compared with previous years, the cultivated area shows a declining trend, as some farmers have abandoned the crop due to unstable economic returns.

While the cultivated area has shrunk, this year’s yields have been good, resulting in a plentiful supply. Yet farmers’ initial joy quickly turned to disappointment as prices collapsed. White-flesh dragon fruit is fetching only VND 4,000–7,000 per kilogram; grade 1 red-flesh fruit is priced at VND 13,000–15,000, grade 2 at VND 7,000–9,000, and grade 3 as low as VND 3,000–5,000. At these levels, many growers struggle even to recoup production costs.

Nguyen Thanh Sang, a farmer in Tam Vu Commune, explained: “One hectare of dragon fruit requires an annual investment of VND 120–150 million. With prices this low, some crops cannot even cover fertiliser and pesticide costs. Many households have been forced to cut down their orchards, switch to other crops, or stop tending their gardens.”

The “bumper harvest, plunging prices” cycle has repeatedly recurred whenever export markets—particularly China—face disruptions, driving domestic prices into freefall. In this context, farmers outside cooperatives or company-linked supply chains will be forced to accept price manipulation by traders.

Under pressure, many households are compelled to sell cheaply just to recover some capital. A few cooperatives have managed to maintain supply contracts, but on too small a scale to influence the wider market.

A cooperative in An Luc Long Commune reported that contracts with exporting companies cover only 20–30% of members’ output; the rest remains dependent on traders, leaving prices volatile. Farmers need stable outlets, while companies require uniform quality produced under VietGAP or GlobalGAP standards—a bottleneck the cooperative is trying to resolve.

Some households have diversified, converting part of their orchards to other fruits such as papaya, jackfruit, or custard apple in search of higher returns. Yet large-scale shifts carry significant risks.

Raising quality, strengthening linkages

Towards sustainable dragon fruit production through investment and processing industries

To end the vicious cycle of “planting–cutting down–planting again,” provincial agriculture leaders highlight the need for a well-coordinated, long-term strategy. Priority should be placed on safe production that meets VietGAP and GlobalGAP certification standards, enabling farmers to satisfy the stringent requirements of official export markets. Equally important are training and technical support, which help increase yields, ensure uniform quality, and reduce farmers’ dependence on traders.

Another crucial measure is to reorganise production through stronger value chain linkages. Farmers gain access to contract farming arrangements with companies by joining cooperatives or producer groups, ensuring more stable outlets. Initial models have proven effective, with cooperative members selling dragon fruit at prices 10–15% higher than the open market.

Developing processing capacity is also vital. Most dragon fruit is now consumed fresh, putting huge pressure on the market during peak harvest periods. Establishing factories to produce juice, dried fruit, or frozen products would extend shelf life and expand consumption channels.

Equally important is building a brand and widening official export markets. Tay Ninh enjoys favourable soil and climate for dragon fruit, but whether the crop can “fly further” depends heavily on traceability, geographical indication, and trade promotion efforts.

Deputy Director of the provincial Department of Agriculture and Environment, Dinh Thi Phuong Khanh, affirmed that dragon fruit remains a key crop for many localities. For it to grow sustainably, Tay Ninh cannot rely solely on China but must expand into potential markets such as South Korea, Japan, and the EU. The province will support enterprises and cooperatives in forging long-term contracts, while encouraging farmers to adopt the necessary production standards for export.

Ensuring dragon fruit’s long-term foothold in Tay Ninh requires farmers' efforts and the support of authorities, businesses, and cooperative organisations. With rational planning, high-tech application, processing investment, and broader market access, the “bumper harvest, plunging prices” dilemma can gradually be overcome—delivering stable incomes for farmers and contributing to the province’s sustainable growth./.

By Thanh Tung – Translated by Tuong Vinh