Vietnam’s Minister of Agriculture and Environment, Do Duc Duy, commenced a trade mission to the United States this week, leading a delegation of nearly 50 representatives from Vietnamese government agencies, businesses, and agricultural associations. The mission’s first stop was Iowa, where significant agricultural trade agreements were signed, marking a substantial step in strengthening Vietnam-US agricultural ties.
During the visit, five memoranda of understanding (MoUs) were signed between Vietnamese agribusinesses and US counterparts, focusing on the import of key agricultural commodities such as corn, soybean meal, and distiller’s dried grains with solubles (DDGS). The total value of these agreements is approximately USD800 million over three years, a significant increase from the USD44 million worth of agricultural exports Iowa sent to Vietnam in 2024.
Notably, Khai Anh Binh Thuan Company agreed to import one million tons of soybean meal from Ag Processing Inc (AGP), valued at approximately USD380-390 million, and 900,000 tons of corn and wheat from United Grain, worth around USD250 million. Additionally, Viet Nhat Nutrition Technology Company signed a contract with POET Group to import 100,000 tons each of DDGS and soybean meal, totalling an estimated USD60-70 million.
Minister Duy emphasised the complementary nature of the Vietnamese and US agricultural sectors, stating, “Vietnam has become one of the world’s leading agricultural exporters, contributing positively to global food security. We are constantly expanding our processing capacity, improving quality for sustainable agricultural development in Vietnam. Therefore, Vietnam and the United States can completely complement each other, jointly develop bilateral, stable and long-term agricultural supply chains.”
The delegation’s visit also included discussions on expanding the use of ethanol in Vietnam. Iowa Corn Promotion Board President Ralph Lents highlighted Vietnam’s exploration of expanding its E5 RON92 mandate to all grades of gasoline, potentially increasing ethanol demand by 200 million gallons. This move aligns with Iowa’s interests, as the state is a leading producer of corn, a primary feedstock for ethanol production.
This trade mission reflects Vietnam’s broader strategy to diversify its agricultural imports and strengthen bilateral trade relations with the United States. As reported by the Vietnam News Agency, Vietnamese enterprises have, since 2020, signed 18 MoUs to purchase US agricultural, forestry, and seafood products, totalling USD6 billion, with USD3 billion already disbursed.
The delegation’s next stops include Ohio and Washington, DC, where further discussions and agreements are anticipated to continue bolstering Vietnam-US agricultural cooperation. 