Cinnamon is a popular spice which is being used worldwide. However, its production is quite limited, contributing to its growing market demand. Vietnam has emerged as the top exporter of this exotic spice, and it is only because of Vietnam’s strategic cultivation practices, favorable climatic conditions, and robust trade policies that have collectively bolstered its position in the international market.
According to the Vietnam Pepper and Spice Association (VPSA), Vietnam exported 89,383 tons of cinnamon in 2023, achieving a total export turnover of 260.9 million USD. This represents a 14.6% increase in volume but a 10.7% decrease in value compared to 2022. In this blog, we will explore how Vietnam has emerged as a leading cinnamon exporter in the world.
Vietnam’s position among top 10 cinnamon exporters
Vietnam now is the world’s largest exporter of cinnamon but there are other major players also in this arena. In 2023, Vietnam exported cinnamon worth 260.9 million USD, and this trend was followed by China. There are some other key exporters also mainly Sri Lanka, Indonesia, and Netherlands.
Yearly progression of Vietnam’s cinnamon export
Cinnamon is a rare and multi-purpose spice which has significantly contributed to its growing demand. Vietnam cinnamon exports have been constantly growing from last five years, primarily because of its rarity. As per Volza data, in 2023 there has been an increase in volume but overall decrease in value.
Data Source: Volza
Who are the top buyers of cinnamon?
Do you know who is the largest importer of cinnamon? Not to your surprise, it is India! In 2023, the country remained the primary importer for Vietnamese cinnamon, accounting for 42.6% of total import share with 38,038 tonnes, marking a 14.0% increase from the previous year. The US market followed, representing 11.4% with 10,163 tonnes, showcasing an increase of 7.0%. Lastly, Bangladesh accounted for 6.2% with 5,564 tonnes, a significant increase of 32.1%.
(Source: ASEMconnect)
Cinnamon contribution in Vietnam economy
The booming cinnamon export has had a massive socio-economic impact in Vietnam. It has significantly contributed to rural development by providing a stable source of income for farmers. This has also increased the job creation in sectors such as processing, export import database management, packing and logistics, thereby enhancing the livelihoods of many Vietnamese families. There are many companies that are heavily investing in cinnamon processing, which is again pushing the employment generation.
Reasons behind this high production
Vietnam has a long history of cultivating cinnamon, particularly in the central and northern regions where the climate and soil conditions are ideal for growing high-quality cinnamon. The provinces of Yen Bai, Quang Ninh, and Thanh Hoa are quite popular for their high cinnamon plantations, primarily because of their tropical climate and rich, well-drained soils.
Apart from climatic conditions, the country focusses on strategic agricultural practices that emphasize sustainable farming and quality control. Farmers employ a combination of traditional methods and modern agricultural techniques to enhance cinnamon yield and quality. The use of organic farming practices has also gained traction, appealing to health-conscious consumers globally.
Moreover, the Vietnamese government has supported cinnamon farmers through various initiatives, including training programs, subsidies, and infrastructure development. The instant availability of exports and imports data has also streamlined the processing of connecting with cinnamon importers globally.
Final Words!
Vietnam’s emergence as a top cinnamon exporter is truly commendable because it highlights the country’s agricultural prowess along with the strategic vision. By leveraging its natural resources, and investing in sustainable practices, Vietnam has positioned itself as a key player in cinnamon exports.
If you are someone who is dealing in cinnamon import or export, then this is the right time to invest in this lucrative commodity. Through its robust import export data bank, Volza can help importers efficiently find the right suppliers and vice versa. The platform also offers contact details of companies, making it easier to connect with the buyers and suppliers directly. Also, the whole market research process to grow your cinnamon import or export business becomes smoother and more streamlined when you have access to the latest and accurate cinnamon trade data.
Connect with Volza today if you wish to grow your cinnamon business further!
