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  • Remove the "twist" for this sector

    Sep 18th, 2014

    <p></p><p>Despite that exports in the first eight months of the year has earned many positive results with a turnover of $ 1.2 billion, up 15% compared to 2013, but according to many businesses, industries it still faces major challenges from internal. According to the Vietnam Cashew Association (VINACAS), which currently has 338 branches clue processed and exported to more than 80 countries and territories. From exports of raw cashew nuts, cashew sector has gradually moved to the export of processed cashew kernels and make full use of domestic raw materials. Many processing plants have been expanded and upgraded to further increase processing capacity and raw cashew imports from African countries.</p> <p>There is a paradox according to reflect the many companies in the industry, the processing capacity of the plant but continuous increase acreage and production in countries that do not expand. A company representative Hoang Son 1 said that domestic production meets only 50% of the processing capacity, the rest is imported. In addition, while the export market is wide open for domestic consumption too low, leading to heavy reliance on export markets. When the import market volatility, it will be difficult industry. In particular, the situation where some farmers cut down trees to plant other crops achieve higher economic efficiency and output cause that decline. Related to this issue, said Dang Hoang Giang - Vice President VINACAS- said that to enhance the localization rate for this sector, the association is working with the Ministry of Agriculture and Rural Development launched the program "The value that Vietnam" to enhance demand to use cashews. In addition, the association also conducts construction of geographical indications for cashew in Binh Phuoc and Dong Nai to enhance the value of Vietnam cashew nuts. </p><p>Regarding the supply of raw materials, Mr. Jiang said that the area declined due to various reasons, the state requires a specific strategy planned for production assured people, avoid plants that run only immediate benefit. VINACAS is implementing a rehabilitation program that garden from now until 2017 in Binh Phuoc, Dong Nai. "When successful reformation of the old orchard, poor crop yields that will be improved and increased to 3 tons / ha. If replicate this model in other provinces, Vietnam will not worry about the lack of raw materials for export processing conditions "- Mr. Jiang said.<br></p><p></p>


    Source: Industry and Trade
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