Vietnam’s Star Anise Exports in 2023

Vietnam exported 9,822 tons of star anise, valued at over USD 47 million, marking a 9,5% drop in volume and a 20,6% decline in value compared to the prior year. Despite this decline, India remained the top importer, purchasing 6,246 tons.

Overall, the country’s star anise exports generated USD 83 million from 16,136 tons in 2023, with India accounting for 57% of the market.

The Unique Nature of Star Anise

As a globally sought-after spice, star anise is predominantly cultivated in Vietnam and China, making it relatively rare. This spice grows on medium-sized trees, standing 2 to 6 meters tall, with distinctive diamond-shaped leaves. The trees flower twice annually, in June and September, with fruits ripening in either September or April.

Star anise trees begin yielding fruit after five years, with each hectare generating up to USD 16,000 annually by the tenth year. Remarkably, these trees can produce for decades, ensuring long-term yields.

Lang Son Province: The Star Anise Hub

Lang Son province leads Vietnam’s star anise cultivation, with over 43,370 hectares dedicated to growing this spice. Around 28,000 hectares consistently yield between 7,500 and 16,000 tons of dried star anise annually, contributing 70% of the nation’s production.

Opportunities and Challenges for Spice Exports

Vietnam ranks as the second-largest global exporter of star anise, a major component of its spice industry. In 2023, spice exports exceeded USD 1,4 billion, with a target of USD 2 billion set for 2025. Experts suggest that Vietnam has substantial growth potential in this sector.

However, climate concerns could impact yields in 2024, with El Nino expected to affect cinnamon and anise crops. Regions vulnerable to climate change may see reduced harvests, potentially driving up prices.

Conclusion: Planning Ahead

The global demand for star anise remains strong, especially in markets like India. Buyers should consider securing supplies now, as weather challenges could lead to price increases. For investors, this presents an opportunity to monitor the market closely.





Click here to reach our trading platfrom CMBroker