Son
Nguyen
A view of a seminar held in Dong Thap Proviince on June 9 to explore ways to help farmers shift to doing agribusiness - PHOTO: THUY TRIEU |
HCMC – A seminar taking place today, June 9, in the
Mekong Delta province of Dong Thap dug deep into solutions to help farmers shift
to agribusiness for sustainable agricultural development, with several speakers
highlighting the urgent need to take the market-based approach, apply science
and technology, and promote farmer-business connectivity.
In his opening remarks at the seminar jointly
organized by Saigon Times Group and Dong Thap Province, Nguyen Van Duong,
chairman of the province, asserted the leadership’s strong determination to
switch to new agricultural models to maximize benefits for farmers.
Reviewing the province’s initial
restructuring in agriculture, Duong said farmers in Dong Thap have gradually
relinquished their age-old habit of household agricultural production to brace
for cooperation and connection, creating concentrated production zones for
certain groups of farm produce. The province has also implemented on a trial
basis new policies on land concentration to establish large-scale farming
regarding rice and fruit among others.
Such highlighted points in the chairman’s
presentation were doubled down by other speakers at the seminar.
Agricultural value chain
Pham Phu Ngoc Trai, chairman of consulting
firm GIBC, drew the attention of the audience to the agricultural value chain,
saying connectivity between farmers and businesses should ultimately lead to
strengthening the chain to help ensure sustainable development and raise
incomes of farmers. However, the agricultural value chain largely remains weak
as seen in numerous farm produce crises lately.
Trai observed that almost all links in
Vietnam’s agricultural value chain – from production and collection to
processing and selling, from supplies of inputs to supporting services like
financials and logistics – have been awash with flaws.
For the inputs for example, expenses are
still high with fluctuating prices of materials, let alone fertilizers and
pesticides being overly used, Trai said. In production as the next link in the
value chain, technology is not properly deployed, resulting in uneven quality
of farm produce and higher costs.
“Vietnam’s farm produce price is some 10%
higher than the average in other countries due to higher production costs,”
Trai said, citing examples of beef, chicken and sugar whose prices are much
higher than elsewhere in the world.
The GIBC chairman also pointed out numerous
other problems in the value chain, from high post-harvest losses and low added
value in processing under obsolete technology to high logistics costs.
Nguyen Hong Quang, board chairman of EcoFarm
as another speaker, also echoed Trai’s point on the value chain, saying many
issues remain to be addressed.
Quang noted that raising output is no longer
a major problem for farmers, but consumption of the products. He recalled the
vicious circle of high output versus depressed prices and the numerous rescue
programs, saying all evolving key issues of product quality, post-harvest
preservation and processing, logistics and consumption, which are primary
factors in the value chain.
Responding to market demand
Speaking at the seminar, Le Minh Hoan,
secretary of the province’s Party Committee, stressed that “shifting from
agricultural production to agribusiness is a very tough question but it is
imperative if we wish to have high-quality and sustainable agriculture.”
The farmer’s mindset of producing what he or
she wills has persisted for years and handed down from generation to
generation, without caring how the produce will be consumed, Hoan said. He
therefore called for radical change, from output-oriented production to
market-based development, meaning a strong connection between producers and
consumers, and in such relationship, the role of enterprises is of paramount
importance.
“Efficiency must be emphasized; output and
productivity can be reduced, but products must have high quality and high
prices, ensuring higher profits for farmers,” he said, stressing the connection
between farmers and enterprises must be placed on a stronger foundation.
The leader said the province would pursue
more efficient cooperation with enterprises to develop smart agriculture models
and organic agriculture alongside the development of particular value chains
for different types of farm produce. He added that processing and supporting
industries must be developed in close association with agribusiness.
Also regarding consumption, Vu Kim Hanh,
director of the Business Studies and Assistance Center (BSA), related how she
found Thailand enterprises faring during her recent trips to the neighboring
country. Those enterprises have managed to set up good distribution centers,
apply high tech, respond to market demand, and secure safety and quality of
products.
She therefore suggested Dong Thap Province
quickly set up two taskforces, with one charged with studying market trends and
the other with promoting trade at home and abroad.
Commenting on the role of enterprises in
agriculture, Pham Phu Ngoc Trai of GIBC noted that the corporate participation
in agriculture is still modest, so authorities need to bring out new policies
and incentives to call for their involvement.
The State should work with the business community
to map out consumption strategies for agricultural products in each stage to
minimize the imbalance between supply and demand, Trai said. Another aspect in
connectivity is that it should not be limited to a single locality, as “the
Mekong Delta is still lacking regionwide connectivity, which is not only a
pathway for restructuring but also for sustainable development.”
Nguyen Thanh My, chairman of Rynan
Technologies Vietnam, stressed the need to have the participation of strong
corporations in promoting the value chain.
The rice value chain will not see radical
changes by relying on farmers alone, as “such changes should be led by business
groups and enterprises which have strong economic capacities and which know how
to apply high-tech solutions… on the basis of the fourth industrial
revolution,” he said.
Economic diversity
Another topic that captured strong attention
at the seminar was how to foster economic diversity.
Nguyen Hong Quang of EcoFarm suggested that
Dong Thap set up different zones based on their strengths for the development
of ecotourism, organic agriculture, or flower farming.
He said Dong Thap’s Sadec City has been known
widely for its flower villages, but more efforts should be taken to turn it
into a tropical flower city with a strong brand name to attract visitors all
year round that can be compared to Dalat City in Lam Dong. Similar models can
also apply to promote Tay Island for organic products, and Tan Thuan Dong Islet
for high-tech agriculture and ecotourism, he said.
Quang projected that if the three zones could
be developed as envisioned, such areas will benefit not only farmers, but also
give rise to other sectors like tourism, trade, and education. To do so,
collaborative and concerted efforts are required from all stakeholders,
including authorities, enterprises, farmers, banks, and trade associations.
Stressing tourism as a high-potential sector,
Trai of GIBC said a good tourism strategy for the Mekong Delta region against
the context of climate change will substantially enhance the efficiency of the
agricultural value chain. “Restructuring agriculture combined with a tourism
development strategy will bring about good benefits for farmers of small-scale
production,” he said.
The seminar this morning also saw the
participation of representatives of successful cooperatives in the province.
They spoke about how co-op members shared information, connected with
enterprises, and developed tourism among others.
Tran Minh Hung, editor-in-chief of the Saigon Times Group as co-organizer
of the seminar, said one of the goals pursued by the news media group is how to
foster closer links between farmers, enterprises and policy makers. “With
regards to the Mekong Delta, we are always willing to accompany the region in
the process of its development, with specific activities to include a series of
seminars on business startups in Can Tho City recently, the seminar in Dong
Thap on agribusiness today, and another on the real estate sector in Kien Giang
Province in the coming time.”
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Times Daily 9-6-2018:
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