Although the current harvest season is nearing its end, sweet potato prices remain low at between 6,000 and 8,000 VND ($0.23-$0.31) per kilogram. At those prices, only farms achieving yields of around 30 tons per hectare are able to break even, while growers renting farmland risk financial losses.
Local officials and businesses say recurring price declines are largely driven by uncoordinated cultivation and simultaneous harvesting, which flood the market with fresh produce while demand weakens.
Mr. Đỗ Văn Năm, Director of Phu Thien Safe Agricultural Cooperative in Chư A Thai commune, said farmers often expand planting areas rapidly when prices rise, but production remains spontaneous and poorly connected to businesses or long-term market demand.
During the latest peak harvest period, organizations and individuals helped farmers sell sweet potatoes, though most products were still distributed in fresh form.
Ms. Lê Thị Lan, Director of Nalee Vietnam Joint Stock Company in Bien Ho commune, said the company has purchased around 70 tons of fresh sweet potatoes from local farmers this season for sale through the TikTok platform. While volumes remain limited, she described the use of e-commerce channels as a positive step for local agricultural consumption.
Lan said processed products such as dried sweet potatoes offer greater stability because they can be stored longer and generate significantly higher added value than fresh produce, which is heavily affected by seasonal price swings.
Demand for processed sweet potato products, including noodles, vermicelli, cakes, chewy and crispy dried sweet potatoes, and snack products, has been increasing as consumers seek more natural, convenient and health-oriented foods.
At Truong Gia Food Co., Ltd. in An Nhon Nam ward, the company has expanded beyond its purple sweet potato wine products to develop purple sweet potato noodles and rice vermicelli.
Ms. Trương Thị Xuân Hòa, the company’s director, said sweet potatoes have strong potential to become nutritious processed foods suited to modern consumer preferences.
She said processing sweet potatoes into noodles and cakes not only extends shelf life but also creates distinctive colors and flavors that appeal to consumers looking for clean and natural products.
“The company is also working to build a product chain from purple sweet potatoes, connecting it with the story of local raw material areas and regional identity, so that sweet potatoes are not only found in traditional markets but also present in modern processed products with the potential to expand into new markets,” Hòa said.
Gia Lai currently cultivates between 5,500 and 5,600 hectares of sweet potatoes annually, producing an estimated 87,800 to 90,000 tons. Major growing areas are concentrated in Phu Thien, Chư A Thai and nearby localities.
However, most production remains fragmented and small-scale, with limited coordination between farmers, cooperatives and businesses, leaving market outlets unstable and heavily dependent on traditional fresh produce sales.
Mr. Mai Ngọc Quý, Head of the Economic Office of Phu Thien commune, said the recent sharp drop in sweet potato prices has directly affected local incomes. In addition to oversupply and rising transportation costs, some traders have exploited market fluctuations to force prices lower, further increasing pressure on growers.
According to Lan, Nalee Vietnam Joint Stock Company has surveyed major sweet potato growing areas in Phu Thien and Chư A Thai to develop more deeply processed products. The company is currently focusing on crispy sweet potato sticks using local raw materials and has proposed establishing local processing chains to reduce transportation costs, raise product value and secure stable supplies.
Industry participants say processed agricultural products with packaging, branding and regional identity can command significantly higher value than raw produce alone, while also helping farmers access more stable and diversified markets.
They believe expanding processing capacity and strengthening linkages between farmers, cooperatives and businesses could help reduce the cycle of oversupply and falling prices that has repeatedly affected Gia Lai’s sweet potato sector.