Expanded sales for longan growers as they venture into new markets

Hung Yen Longan Cooperatives Embrace Modernisation and Expansion

In Hung Yen Province, longan cooperatives are making significant strides in diversifying their sales strategies and expanding their operations. With a focus on certification, processing, and strong branding, these cooperatives are positioning themselves for success both domestically and internationally.

The province is home to an impressive 992 cooperatives, with 25 specialising in longan cultivation and representing around 313 members. One of the leading cultivation areas is Tân Hưng Commune, which boasts 330 hectares under longan cultivation, producing approximately 10,000 tonnes annually.

Many cooperatives in Tân Hưng Commune have transitioned from traditional farming to VietGAP-certified and organic production, prioritising safe and clean fruit to meet both domestic and export standards. This shift has resulted in a 20-25% increase in yield compared to last year's longan crop in Hung Yen Province.

Looking ahead, Hung Yen expects to harvest over 50,000 tonnes of longan in 2025, with more than 60% meeting VietGAP and organic standards. This bountiful harvest will facilitate exports to demanding markets such as the US, EU, Japan, China, ASEAN, and Middle Eastern countries. The fruit will be available not only through domestic supermarkets like Vinmart, BigC, Aeon, and Co.opmart, but also on e-commerce platforms, reflecting the quick adaptation of producers to market trends.

Cooperatives are also expanding into value-added processing, producing dried longan, honey, cassava starch, and other products to increase shelf life and profitability. This diversification has enabled households to earn between VND200-500 million annually on average, with some households reaching as much as VND500 million. Many products have received geographical indication certification and recognition under the One Commune One Product (OCOP) programme, enhancing their reputation and market positioning.

Recent initiatives include trade promotion conferences where multiple sales contracts were signed, aiming to expand longan distribution channels at home and abroad. The involvement of retail groups like Central Retail Vietnam is crucial for telling the Hung Yen longan story to consumers and increasing visibility in major supermarket chains nationwide.

Local authorities in Hung Yen Province are prioritising the development of a sustainable value chain for longan production, processing, and distribution. The province is increasing efforts to expand sales networks for its longan harvest, with a focus on enhancing the product value and solidifying the reputation of Hung Yen longan in both domestic and export markets.

In summary, Hung Yen’s longan cooperatives are focusing on expanding production area and output with quality control via VietGAP and organic certification, deepening processing and value addition to extend shelf life and product variety, broadening domestic and international market access through trade agreements and retail partnerships, building a sustainable, traceable value chain backed by geographical indication and OCOP recognition, adapting to consumer trends by using e-commerce and social media for promotion, and prioritising the development of a sustainable value chain for longan production, processing, and distribution.

To bolster their business and lifestyle offerings, Hung Yen longan cooperatives are employing AI and data analytics to predict market trends, ensuring their food-and-drink products, including dried longan and honey, remain competitive and desirable to customers.
As part of their home-and-garden line, these cooperatives are also venturing into value-added processing, manufacturing cassava starch, and other products to enhance the shelf life and profitability of their longan cultivation, benefiting both the local economy and the households involved.
With the growing expansion of their operations and sales strategies, Hung Yen longan cooperatives are making strides in diversifying their trade partnerships, targeting not only traditional markets like the US, EU, Japan, China, ASEAN, and Middle Eastern countries, but also establishing alliances with AI-enabled business platforms for increased awareness and online trade opportunities.