VIETNAM’S AGRICULTURE POTENTIAL TO ENTER KUWAIT’S MARKET
VIETNAM – THE WORLD’S PANTRY
2017 was a successful year for Vietnam. It was the first year Vietnam reached the $200 billion in exporting. Within this, agriculture industry enjoyed good growth with $25,8 billion and contributed 8 product lines that reached $1 billion each. Many of the sub-industries within agriculture of Vietnam increased in growth such as aquatic products reached $8, 32 billion, increased 18%; fruits and vegetables reached $3,5 billion, increased 42,5%; cashew nuts reached 3,52 USD, increased 23,8%.
AREAS WITH GREAT AGRICULTURE ADVANTAGES OF VIETNAM
The Mekong Delta is considered a young delta area with great resources of 4 million hectors of agricultural lands and a population of 18 million.
Agriculture is of course Mekong Delta’s greatest potential with rich lands and enjoys 60% of Vietnam’s fresh water traveling through.
Notably, 90% of Vietnam’s rice exportation are a based from this young area; 100% cat fish exportation are also from here’ shrimp exporting is 70%, fruit exporting ranges 40-50%… Mekong delta is also famous for its abundant varieties of fruits. The well regarded sweet Cat Chu mangoes, Hoa Loc mangoes, dragon fruits, king oranges…
Long An – the specialized lemons area of Vietnam export over 1000 tons of lemons every month. This is the biggest lemons farming plain of South East Asia to export to the Middle East market within recent years.
The Mekong Delta Area also has advantages with processing products with the benefits of large access to the ocean, green technology (recycle, solar energy) which makes this a perfect place to develop agriculture.
This is also the business interactive center, bridging Vietnam market with other ASEAN countries and creates favorable resources in development of ecotourism.
The Potential of Central Highlands
The Central Highlands is one of the 6 biggest economy regions of Vietnam with vast potentials to invest in agriculture, processing industry, green energy and tourism. The Central Highlands consist of 5 provinces: Kon Tum, Gia Lai, Dak Lak, Dak Nong and Lam Dong with an accumulative area of 54,474 Kilo meters square, which is 16,8% of Vietnam’s natural land mass. The East of Central Highlands shared the border with Attapeu (Laos) and Ratanakiri and Mondulkiri of Cambodia. The highland of Kon Tum is 500 meters high, highland Kon Plong, Kon Ha Nung, Pleiku, are all 800 meters high. Highland M’Drak, high land Buon Ma Thuot are both 500 meter in height. Highland Mo Nong ranges from 800 to 1000 meter in height. Highland Lam Vien is 1500 meter high, and highland Di Linh is from900 to 1000 meter high.
The red basalt soil at the height of 500 meter to 600 meter from sea level of the Central Highlands is very suitable for industrial crops such as coffee beans, coco, pepper, and straw berry. Here are also great for farming fruits such as South African banana, passion fruit… The area of red basalt is thick and wavy along with the differences in heights of Buon Ma Thuot, Pleiky, Dak Nong, Kon Tum, with accumulative size of 1 million hectares. This attribute is very suitable for coffee, tea, pepper, cashews and ginger. There are also “ferralsols” (a type of yellow and red soil) with 1,8 hectares in quantity. This soil is less in nutrition when compare to red basalt soil but it is more moisturized thus making it a great soil for some certain plants. Furthermore, there are also grey soil on the hills on the Eastern South and within the valleys, alluvial soil by the river banks suitable for growing crops. Still, coffee remains the most important source of income for the Central Highlands. This is also where Vietnam reserves its natural forests with abundant of natural resources and rare minerals that have never been extracted. The beautiful scenery of the layers of mountains also poses potential for tourism.
Rare herbs such as ginseng, atichoke and many other Eastern medicine herbs are able to be farmed here. Especially, Kontum district is one of only two places that can develop ginsengs with the highest medical and nutritional values in the world, the Ngoc Linh ginsengs, which is 34 times more valuable in nutrients than Korean ginsengs.
Vietnam is heading toward advanced agricultural products with high returns, easy and safe to use:
Many firms in Vietnam are committed to provide the highest quality, delicious and safe agricultural products to the most difficult markets in the World. For fruits, we have taken full advantage of the rich soils on our Highlands and paired with advanced technology creating a closed circuit that enable us to create high quality products: Pure fruit powders, Condensed fruit syrups and dried fruits. Each and every one of these product lines preserve up to 95% of the original tastes and nutritional values making them extremely safe. These products are tested and approved by the most difficult food safety legislation when exporting to foreign countries. Beside fresh fruits and traditional vegetables being favored by consumers around the World, we hope that our high quality, easy to transport and well preserved packaged consumer goods exported from Vietnam can satisfy our foreign friends. This is a way to share the hard work of farmers to more and more international consumers.
Potential of products to export to the Middle East:
The United Arab Emirates:
In 2017, the total import and export value between Vietnam and the UAE increased again, reaching $5,59 billion, that is 26% higher than 2016. Vietnam exported to UAE reached $5,03 billion, increasing 0.6% and import $561 million, increasing 24,7%.
The causes of increasing export values are mainly the two products with highest turnover: mobile phones ($3,9 billion), computer and information technology hardware ( $292 million) have increased again after the fall of 2016.
Import and export to the decrease when demands for importation of agricultural products of multiple countries in the region as Vietnamese products are now being highly contested by competitors from China, India and Pakistan… But the market for vegetables still reached $36 million, a high growth for Vietnamese veggies products are favored by the market for their high and stable quality.
KUWAIT is the first nation to sign the Economic Gulf Cooperate Council States (GCC) free trade agreement, and is the first Middle Eastern nation to establish relation with Vietnam since 1975. Vietnam expresses appreciation to Kuwait being a wholehearted friend who supported us through the hardest years in our history.
Until now, economic collaboration between our two nations is growing strong. Kuwait is one of our biggest economic partners in the region with turnover from both side reaching $700 million from 2011 to 2014. Within that, Vietnam mainly imported oil, chemicals and exported to Kuwait our agricultural and technology products. Economic investment of Kuwait since 1979 until now for Vietnam has reached $160 million to develop 13 projects to develop rural infrastructure.
Vietnam and Kuwait are two actively developing countries, who can support each other, with huge potential for cooperating demands. Vietnamese Government encourages our partners Kuwait to strengthen business relation with Vietnam, especially in the industries of infrastructure, investment, labor, tourism and agriculture…
The result of the last 40 years is our valuable asset for the two nations to push relation to a new height, effectively collaborate for the benefits of our national citizens, for peace and prosperity in the regions of South East Asia and Middle East as well as the World. With the current potential, determination from leaders and people of the two nations supported by great cultures and traditions, our mutual goals and beliefs will be made.
NGUYEN HUU TRI