The export competitiveness of Vietnam tuna industry in the global market: Evidence from revealed comparative advantage and constant market share of harmonized system code 6-digit products

Abstract

Export competitiveness is essential to a country's global success. In this study, we assess the competitiveness of Vietnam's Tuna industry compared to its major competitors (Ecuador, Indonesia, Taipei – China, and Thailand) in the most significant world tuna-importing regions (ASEAN, Japan, the Middle East, the EU, and US) at four detailed industry codes, namely fresh or chilled tuna (0302:31, 32, 33, 34, 35, 35, 36, 39), frozen tuna (0303:41, 42, 43, 44, 45, 46, 49), filets (0304-87), and preserved tuna (1604:14). The analysis is based on the secondary data from the International Trade Centre database (Trade Map/COMTRADE) and the UNCTAD stat database in period 2007-2019, using the RCA (Revealed Comparative Advantage) and the CMS (Constant Market Share) analysises. The RCA reveals that Vietnam's competitiveness in exporting 0302 tuna declined significantly after 2012, especially in the US and Japanese markets, while competitors like Ecuador and Taipei (China) capitalized on the market. The CMS shows that although the competitiveness effect had different values in each market, it tended to remain the same. For Tuna 0303: The RCA value declined significantly across all markets, especially evident in the Middle East; meanwhile, competitors like Ecuador held a significant advantage in key markets like the EU. Results from CMS show that the demand for Vietnam's tuna 0303 decreased. Besides, for the commodity composition effect, from period I-II, its value increased sharply, but when entering period III, it started to decrease. The market distribution effect fluctuates strongly. For Tuna 0304: The RCA reveals that Vietnam dominated the export of 0304 tuna in all markets, with a consistently high RCA value. The standard world growth effect value increased considerably. Vietnam's market distribution and competitiveness affect positive growth in all markets except the ASEAN. For the prepared or preserved tuna product (1604), its comparative advantage in the US, Japan, EU, and Middle East markets was average and tended to decrease. Only in the ASEAN market did Vietnam have a relatively high comparative advantage. In general, a comparison with crucial competitors shows that Vietnam's level of competitiveness is similar due to the influence of resources, market demand, and technological capacity, but Vietnam holds a competitive edge in tuna exports in key markets. An investment policy is being implemented to assist fishermen, including procuring novel, high-capacity vessels outfitted with fishing equipment and facilities designed to enhance quality preservation. Furthermore, ongoing endeavors are to enhance fish consumption and foster collaborations between the fishing sector and fishermen. In addition, there is a focus on enhancing fisheries logistics services to reduce expenses before exporting to global markets.