Vietnam to raise its cotton imports from Australia

 Vietnam is a very niche cotton market. Currently, the Vietnam is the 4th largest cotton exporter in the world. Whereas, it is the 3rd largest cotton importer globally. Vietnam had done some remarkable amount of cotton imports over the years.

In the financial year 2022, around 1393 thousand metric tons worth of cotton imports were recorded. Over the years, Vietnam's cotton imports has declined significantly. According to the historical Vietnam import data reports, there was 1444 thousand metric tonnes during 2021 while it was 1589 thousand metric tonnes imports were recorded 1589 thousand metric tonnes in 2020.

Due to low demand of apparel and textiles in the global market, Vietnam's cotton imports declined by 5% in the financial year 2023. It was 6.3 million barrels  during 2023. As per Vietnam customs data reports, China, Bangladesh, Vietnam, Pakistan and Turkey were major markets for Vietnam's cotton imports.

Brazil has emerged as the top destination for Vietnam's cotton imports. According to Vietnam import export data reports, around 117 million dollars worth cotton imports from Brazil were recorded during the first four months of FY 2023. Brazil export data suggests that Vietnam contributed around 20% of Brazil's total cotton exports.

On the other hand, Vietnam's apparel and textiles exports to Brazil reached 79 million dollars with over 4% share of total Brazilian apparel imports. Currently, China is the leading textile exporter to Brazil. According to the China export data reports, China contributes around 55% share of Brazil's total cotton exports. Vietnam has potential to overtake China in terms of cotton exports to Brazil.

Australia has also emerged as the top market for Vietnam's cotton imports. Vietnam has now become the leading importer of Australian cotton. Our Vietnam import export data reports around 1.2 billion dollars Australian cotton were imported by Vietnam in FY 2022. Whereas in 2021, Australia has exported over 615 million dollars while it was 54 million dollars in 2020. Amid ban imposed on Australian cotton exports by China, Vietnam has emerged as the major cottor importer from Australia.

In terms of cotton exports, Vietnam did significant amount of cotton exports. According to the Vietnam export data reports, around 4 billion dollars cotton exports were recorded from Vietnam during 2022.

Currently, Vietnam exports most of its cotton to China. Global trends suggests that China covers over 50% of Vietnam's total cotton exports. Whereas, other major markets for Vietnam cotton exports were South Africa, Taiwan, Bangladesh, Indonesia, Cambodia, Kuwait and South Korea. China, South Korea and Taiwan has emerged as the growing markets for Vietnam's cotton exports.

Vietnam has a huge market base in garment industry. Experts forecasts that the garments exports from Vietnam could reach 48 billion dollars by the end of 2023. The Vietnamese government has taken adequate measures to expand their garments exports in European market. Vietnam offers cheap labor, diversified products and quality textiles materials. This could take them to leading garment exporter in the future.

Through Vietnam trade data platform, textile companies from Vietnam can discover verified garment, raw cotton buyers from global market and boost their exports.