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  • Minister of Agriculture and Rural Development: Vietnam exports more than 50% of cashew nut production in the world, why we only manage more than 30% of raw materials?

    Oct 3rd, 2017

    <p>The minister asked whether the cashew tree industry was not attractive or did we know how to make cashew nuts attractive?</p> <p>This morning, the Ministry of Agriculture and Rural Development (MARD) and PAN Group organized a workshop on &quot;Sustainable development of the global value chain&quot;. This workshop was organized to propose solutions to strengthen linkages between enterprises and farmers, to apply science and technology, to improve the sectoral planning and regional planning, to implement the project on agro-forestry restructuring. has been approved by the Prime Minister so that the cashew industry will maintain its position as one of the key export sectors with the target of exporting USD 3 billion by 2020.</p> <p>Speaking at the meeting, Minister of Agriculture and Rural Development Nguyen Xuan Cuong highly appreciated the development of Vietnam&#39;s cashew industry in the recent time, but the cashew industry still has many challenges. The government, businesses, farmers to make a worthy investment for cashew.According to the Minister, after 30 years of renovation, Vietnam&#39;s agriculture has shifted from a food importer to a country that has exported agro-forestry and fishery products with export turnover in 2016 amounting to over $ 30 billion in which we 10 items exported over $ 1 billion.</p> <p>With our own cashew industry, in 1988 we exported our first shipment. From zero, after 28 years, we are proud of becoming the world&#39;s largest cashew nut producer with over 50% of our production, USD $ 2.8 billion in cashew nut exports this year. We will finish $ 3.2-3.3 billion.In the development of the cashew sector, we are proud of the area, yield and processing technology of cashew nuts, 46 enterprises have matured in the process, the cashew industry has also brought economic value For special people in disadvantaged areas and mountainous areas, the export value of $ 3 billion also helps balance foreign currency. However, after the results reached Minister said that the industry has many challenges, even the threat to the cashew industry.</p> <p>Production is reduced, production efficiency is low, income from cashew is low, low added value, many areas are degraded or converted to other crops such as rubber, coffee, pepper ... higher economic returns, or switch to non-agricultural uses ... are the challenges the industry is facing.According to the Minister, the demand of the world&#39;s cashew industry continues to increase but supply does not meet the demand. The minister questioned why a country producing more than 50% of raw cashew nut processing that is currently dependent on more than 60% of imported raw materials? Previously, when small scale production, we have been able to actively source raw materials but nowadays it is more than 30% active. In the last 10 years, the cashew area has been decreasing from 1.1 tons / ha to 0.75 tons / ha, the cashew nut industry is not attractive or we do not know how to make cashew trees. become attractive? This is a big question. This issue, according to the minister, is linked to the climate change picture. Therefore, if not well organized, without the participation of the Government, businesses and people, the risk of being present in the cashew industry.</p> <p>General Director of PAN Group Nguyen Khac Hai said at the conference that to solve difficulties and survive, first is to solve the story input materials and output products.For input materials, Vietnam should be proactive in re-farming. Total area of ​​Binh Phuoc is 180,000 ha, 80% is grown from seeds, not through breeding, low productivity. The percentage of old trees is 30%, equivalent to 60,000 ha. So we have to find a way to re-farm how farmers and other actors are involved in re-farming.The economic benefit is that if the farmers re-grow, the payback will be increased from 1.4 tons to 2.4 tons / ha, income doubles, from 35 million VND to 1 year. VND 76.4 million / ha.According to Hai, the cost of re-cultivation for 1ha, initial investment and production costs for the first year fell to 30 million. Total cost of re-cultivation for re-cultivation of Binh Phuong raw material is 246 million dollars. This is a small number of farmers, if the re-farming, the first 3-4 years when trees have no fruit, farmers will not have income from re-cultivation.</p> <p>As a result, the PAP reforestation program of the PAN combined with the farmers indicated that in accordance with the oil slick traces. At present, 30% of the old material area, replenished from these trees, and gradually rolling, thus replenishing the whole country for 20 years.According to Hai, to make re-farming, need capital, human resources from society. In particular, it is difficult for a participating enterprise, but if there is a consensus from another enterprise, the other link, namely the farmer, the government, the WB, will find the source of funding to cover the cost of re original soup.Industry seminars today include four parties from the Ministry of Agriculture, enterprises, IFC, associations of commodities and cooperatives, farmers to offer solutions to increase the area and productivity of cashew , bringing the Vietnam cashew industry into deep processing chain to increase value added for cashew nuts, maintaining its position as the main export item of Vietnam with the export value of more than $ 3 billion per year.</p>


    Source: Newspaper Companion
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