High logistics costs make Vietnam’s produce less competitive

December 27, 2023

HCMC – High logistics costs have put Vietnam’s agricultural sector at a disadvantage over regional countries, according to insights from a conference organized by the Ministry of Agriculture and Rural Development. Vietnam’s logistics costs are 6% higher than Thailand’s, 12% higher than Malaysia’s, and a staggering 300% higher than Singapore’s. The country’s agricultural logistics sector is also marred by inadequate infrastructure and limited service capacity. In seafood, 12% of production costs are consumed by logistics, while the timber industry bears a 23% cost burden. A significant 30% of rice production costs are attributed to logistics, impacting farmers’ incomes and food security.

The source of this news is from The Saigon Times