Ms. Nguyen Thu Thuy, Deputy Director of the Export Support Center, Trade Promotion Department (Ministry of Industry and Trade), said that the EU is Vietnam's second largest cashew nut export market, accounting for 23% of the total cashew nut export volume. and 22% of the total industry value in 2021. OPPORTUNITY WHEN IMPORT TAX INTO EU GET 0% According to estimates, Vietnam's cashew exports to the EU in 2021 will reach 130 thousand tons, up 16.5% in volume over the same period last year. The growth of cashew nut exports to the EU contributed significantly to the overall growth of the industry. In the EU region, Vietnamese cashew nuts are exported to many Western European countries such as Germany, Netherlands, France, Belgium, especially the Netherlands and Germany. This is the country with the focal point of importing important things from Vietnam for re-export. For Eastern Europe, Vietnamese cashew nuts are present in many countries such as Russia, Poland, Romania, Ukraine... Before the EVFTA came into effect, the tariff rate of cashews entering the EU was about 7-12%. Therefore, the implementation of the EVFTA has brought great expectations to the cashew industry. Dang Hoang Giang, General Secretary of the Vietnam Cashew Association, also said that the EU region plays an important role in Vietnam's cashew industry even during the Covid period. Only 27 EU countries (including the UK) contributed nearly 24% of Vietnam's cashew export market share in 2021. The total export turnover of cashew nuts to the EU in 2021 will reach over 867 million USD out of the total 3.75 billion USD of the whole industry. Export results in 2021 have helped Vietnam surpass India to become the world's leading cashew nut exporter for 15 consecutive years since 2006. The Netherlands is the EU's largest cashew nut importer from Vietnam, with a market share of approximately 60%. Germany ranked second with 47% market share. Britain accounted for 40.6%, France 48%, Spain 37.5%. “Thus, up to now, Vietnam accounts for over 80% of the export market share of the world cashew industry. This is also a key export product of Vietnam's agricultural products with a turnover above vegetables, rice, pepper... for many years," emphasized Mr. Giang. According to experts, exporting cashew to the EU has many advantages. First of all, Ms. Thuy said that EU consumers focus on healthy products, products with alternative proteins (plant-based), sustainability and waste minimization... so this is a product. suitable. In addition, the tax rate for cashew imports from Vietnam into the EU will be reduced to 0% immediately after the EVFTA agreement takes effect from August 1, 2020. Before this agreement came into force, the tariff rate of cashew nuts in the EU was from 7-12%. Therefore, the implementation of the EVFTA has brought great expectations to the cashew industry. Another advantage, according to Mr. Giang, is that the EU is a large, stable consumer market with high consumption demand and affordability. In addition, the human resources of the cashew industry in Vietnam are experienced in processing cashew kernels, with modern technology and processing equipment, with a capacity of about 500,000 tons of kernels per year... In addition, one of the strengths is the ability to meet product requirements, the quality requirements of foreign markets such as organic, which are being well met. AVOID LOSSING MARKET SHARE WHEN CONFIDENTIAL ON SALE However, due to the Russia-Ukraine conflict, Vietnam's cashew exports are facing the risk of supply chain disruptions due to trade tensions, escalating geopolitics, rising freight rates, etc., creating difficulties. for export activities. In addition, the industry's capacity is still limited with deeply processed products, especially roasted and spiced things according to the tastes of European consumers. European countries have increasingly strict and high requirements for food quality and safety… To qualify as organic, cashews must be grown and produced according to EU organic standards. Growing and processing facilities must be audited by a licensed European certification body such as the sustainability certification scheme Fairtrade and Rainforest. Vietnam's cashew businesses are still limited in marketing, grasping the tastes and consumption trends of customers, especially roasted and fried customers and products sold in supermarkets and convenience stores. We are still weak in brand promotion, communication, and e-commerce. Lack of information about customers and partners as well as trends of the European market. Despite great support from the Ministry of Industry and Trade and Vietnamese trade agencies in foreign countries over the past time, Vietnamese cashew businesses are still "hungry" for market information, customers and partners. The initiative of the association, the business is still not high… In particular, Mr. Giang said that the area for cultivation and cultivation of cashew is small, difficult to expand, and cannot meet the local source of raw materials. Therefore, every year we still have to import a large amount of raw cashew nuts from abroad. The organic cashew growing area is still small, while the organic and organic cashew market has not yet met the increased demand of the EU and the UK. The cashew industry has over 3,000 processing facilities, but the number of factories that meet the high standards of the EU market is still low… Therefore, according to Mr. Giang, the cashew industry urgently needs information support, market forecasts, and consumption trends of the European market from foreign representative agencies. Support trade with cashew industry of other countries. Mr. Vu Anh Son, Vietnam Trade Counselor in France, said that organic products are very popular in Europe in general. To qualify as organic, cashews must be grown and produced according to EU organic standards. Growing and processing facilities must be audited by a licensed European certification body such as the sustainability certification scheme Fairtrade and Rainforest. 90% of cashews in Europe are snacks, roasted with salt and 10% used as raw materials for processing. We have the opportunity to export to the final segment in Europe through the end distribution channels, retailers, food service units, food processing industry... but it requires Vietnamese enterprises. It is necessary to improve a lot, which is marketing capacity, product quality... Businesses need to quickly invest in quality to distribute products to consumers, then the added value will be high, avoiding losing market share when focusing on the wholesale segment, without knowing the product. Where do you go, where do you go…