Viet Nam, Myanmar strengthen cooperation in coconut development and processing

On November 7, in Yangon, Myanmar, a delegation led by Deputy Minister of Industry and Trade Phan Thi Thang attended the Viet Nam - Myanmar Business Networking Conference to Foster the Bilateral Trade and Investment Cooperation. This event was part of the 17th CLMV Economic Ministers’ Meeting 2025 held in Myanmar.

Deputy Minister of Industry and Trade Phan Thi Thang emphasized that Vietnam and Myanmar have complementary economic structures, creating numerous opportunities for deep, comprehensive, practical, and mutually beneficial cooperation in the years ahead. The two countries can strengthen links in sectors where they have shared strengths and demand, including high-tech agriculture, processing of agricultural, forestry, and aquatic products, and production of agricultural machinery and supplies; light industry, mineral exploitation, and infrastructure and logistics development; as well as e-commerce, digital transformation, tourism, workforce training, and healthcare services.

These areas of cooperation are well-aligned with the development priorities of both countries and simultaneously contribute to regional value chains, particularly as the ASEAN Economic Community continues to integrate more deeply and broadly.

Nonetheless, despite the positive momentum, trade and investment cooperation between Viet Nam and Myanmar still faces several challenges. These include complex and often unpredictable administrative and legal procedures, limitations on import licensing, difficulties in accessing foreign currency and international payment systems, an inconsistent logistics infrastructure, and a lack of transparent, timely market information. In addition, instability in certain border regions continues to disrupt the smooth flow of goods and trade.

Viet Nam hopes that the regulatory agencies of both sides will enhance coordination, remove obstacles for businesses, and create more favorable conditions for trade and investment cooperation, contributing to sustainable, inclusive, and balanced growth between the two economies.

At the conference, Mr. Cao Ba Dang Khoa, Vice President and Secretary General of the Viet Nam Coconut Association, introduced the potential and strengths of Viet Nam’s coconut industry, emphasizing its strategic role in regional agriculture. He noted that Viet Nam aims to position the Mekong Delta as a leading hub for the production and processing of coconut products in Asia.

According to Mr. Khoa, although the area under coconut cultivation in Viet Nam is relatively modest and often intercropped with fruit trees, productivity and value addition have steadily improved in recent years. In 2017, there were only 15 factories producing and exporting coconut products; by 2024, this number had surged to over 80, including 45 that specialized in deep processing. This expansion has contributed to the industry’s export turnover surpassing the one-billion-USD mark, reflecting both growing global demand and the sector’s modernization.

Beyond processed coconut products, Viet Nam also exports raw coconut materials and fresh coconuts, which has significantly increased domestic demand. To maintain production levels, some businesses have even had to import raw coconuts from other countries, highlighting the industry's rapid growth and evolving dynamics.

In Myanmar, coconuts are cultivated extensively in Shan and Mon States, covering over 5,000 hectares, with 2,800 hectares in the northern part of Shan State and 2,400 hectares in the southern region. Annual production ranges between 30,000 and 40,000 tons, with the peak harvest season occurring from July to September. The primary coconut varieties come from the Hsipaw region, and the majority of the output is consumed locally in the Mandalay and Yangon markets.

On this occasion, the Viet Nam Coconut Association (VCA) signed a Memorandum of Understanding with the Myanmar Coconut Production and Trading Association (MCPTA) to establish a joint action plan for the 2026–2030 period. The agreement sets the framework for close cooperation between the two associations, focusing on the exchange of expertise, technical training in coconut cultivation, care, and pest management, and the sharing of best practices in production and processing. 

At the same time, the Viet Nam Coconut Association also signed a cooperation agreement with the Myanmar Fruit, Flower and Vegetable Producers and Exporters Association (MFVP) to strengthen trade links and enhance the exchange of agricultural products and fruits between the two countries.