In the span of 11 months in 2022, Korea experienced a significant surge in cassava imports, reaching 276.1 thousand tons valued at US$92.84 million. This marked a remarkable 49.1% increase in volume and an impressive 73.9% increase in value compared to the same period in 2021. Among the countries supplying cassava to Korea during this period, Thailand, Vietnam, and the Philippines emerged as the top three.
During the same 11-month period in 2022, Vietnam emerged as the second-largest supplier of cassava to South Korea, providing 118.15 thousand tons valued at $49.84 million. This represented a substantial 42.6% increase in volume and an impressive 62.9% increase in value compared to the same period in 2021. Vietnam’s market share in Korea’s cassava imports accounted for 42.8%, which showed a slight decline from the 44.8% share recorded in the first 11 months of 2021.
Tapioca Starch Imports
According to the statistics from the Korean Customs, Korea witnessed a significant upswing in tapioca starch imports during the 11-month period of 2022. The total imports amounted to 31.64 thousand tons valued at $17.75 million, showcasing an extraordinary 168% increase in volume and an astounding 199.2% increase in value compared to the same period in 2021. Among the three main markets supplying tapioca starch to Korea during this period were Thailand, Vietnam, and Indonesia.
Vietnam, in particular, stood out as the second-largest market for tapioca starch imports into Korea during the 11-month period of 2022. Vietnam supplied 3.48 thousand tons valued at $2.03 million, representing a notable 39.6% increase in volume and a substantial 53.6% increase in value compared to the same period in 2021. However, Vietnam’s market share in Korea’s tapioca starch imports accounted for only 11% during the first 11 months of 2022, indicating a sharp decrease from the 21.1% share recorded during the same period in 2021. In contrast, Thailand’s market share in Korea’s tapioca imports experienced a significant boost, rising to 89% from 78.8% in the same period in 2021.
Market Trends and Challenges
The statistics clearly indicate that Korea’s demand for cassava and tapioca starch is on a steady upward trajectory, as the country ramps up its imports of these products. Despite the increased volume and value of imports from Vietnam, the market share of Vietnam’s cassava and tapioca starch in Korea’s total imports has been steadily declining since the beginning of 2022. This decline can be attributed to fierce competition from similar products originating from Thailand.
To effectively penetrate and thrive in the Korean market, Vietnam’s cassava and cassava product processing factories need to embrace innovation and diversification. By developing a wider range of cassava products, Vietnam can cater to the evolving preferences of Korean consumers and enhance its competitive edge.
In conclusion, the rising demand for cassava and tapioca starch in Korea presents both opportunities and challenges for Vietnam. By adapting to market trends and investing in product development, Vietnam can strengthen its position as a key player in the Korean market, ensuring long-term success in the cassava and tapioca starch trade.