With an export turnover reaching nearly US$300 million annually, Vietnam has become the leading exporter of cinnamon globally, heard a seminar held in Hanoi on November 15.

In his opening speech, Trieu Van Luc, deputy director of the Forestry Department, noted Vietnam is the third largest producer of cinnamon in the world, with its cinnamon output accounting for 17% of the global market share.

Last year saw the country rake in about US$300 million from shipping cinnamon to foreign markets, he added.  

However, Luc pointed out that the industry has encountered limitations in terms of value chain linkages, cultivation, processing, and preservation techniques, leading to a general shortage of high-quality cinnamon products.

Aside from traditional markets such as the United States, India, China, and Japan, local exporters are working hard to meet the requirements set out by the EU Deforestation-free Regulation (EUDR) in order to make further inroads into the market.

Hoang Thi Lien, president of the Vietnam Pepper and Spice Association (VPSA), outlined that the industry has faced a shortage of advanced technology and capital sources.

Although there has been a number of foreign-invested enterprises injecting money into modern cinnamon processing factories, this is still not enough compared to the potential of the entire Vietnamese cinnamon industry, Lien stressed.

Meanwhile, Jan Gilhuis, senior program manager of the Sustainable Spice Initiative (SSI), said that Vietnamese cinnamon has been an extremely important raw material source for SSI members.

He revealed that SSI is committed to accompanying the group of public-private partnership to contribute to the sustainable development of the Vietnamese cinnamon industry moving forward.

VOV