Tightening control over purchase of agricultural products for export (08/8)
08/08/2012 - 9 Lượt xem
In
this case, minister Vu Huy Hoang spoke about foreign traders who are
not officially present in Vietnam. These traders do not have any
certified rights to export Vietnamese products according to Vietnamese
law and Vietnam's market-opening
commitments. This means these traders do illegal business by buying
Vietnamese agricultural and aquatic products for sale in their home
countries or export to another country to make a profit.
Minister
Vu Huy Hoang acknowledged that the business of these traders has just a
few positive impacts such as helping Vietnamese farmers sell their
products quickly, especially high-output
agricultural products which are harvested within a short period of
time, and creating jobs and incomes for workers. Meanwhile, he
indicated lots of adverse impacts of this form of business.
Specifically, it can break the plans that were made for material
production and processing industry development, make the market
unstable, harm the environment, stimulate speculation and force prices
down causing losses for producers, affect the political and social
security in Vietnamese localities.
Reality
shows that many farm owners in some areas appear grateful to foreign
traders for providing them with capital, breeds, seeds and even
planting/breeding techniques and buying their products. Some farmers
said it is foreign traders who have improved their lives. But in many
cases, farmers have fallen into destitution as foreign traders
unilaterally terminated contracts or suppressed the price. Such cases
have happened with agricultural products such as coconut, watermelon,
pineapple, aromatic banana and purple sweet potato.
Moreover, the illegal stay of many foreign traders in Vietnam has also had an adverse impact on social security in the country.
The
situation has spread nationwide for many years due to two basic
reasons. Firstly, credit institutions for the past many years have
almost ignored their obligation to provide farmers with loan capital.
Farmers receive very little support when buying breeds, seeds and other
materials that are essential for cultivation and animal husbandry.
Secondly, market surveillance activities in general and control over
agricultural product exports remain ineffective.
Five years have passed since the Government promulgated Decree 90/2007/ND-CP
dated May 31, 2007 regarding the import, export rights of foreign
traders having no commercial presence in Vietnam. So far, however, no
circular has been released to guide the implementation of this
important decree - a legal document that was promulgated as soon as Vietnam joined the World Trade Organization (WTO).
It's
time for Vietnam to tighten control over the purchase of domestic
agricultural and aquatic products for export. The Ministry of Industry
and Trade is accelerating the preparation of two documents: 1) plan for
renovation of trade in agricultural products for the purpose of
modernizing and developing agriculture in an effective and sustainable
manner; 2) draft circular guiding the implementation of Decree
90/2007/ND-CP.
In the near future, the ministry will organize meetings in the north,
the south and Tay Nguyen (Central Highlands) with the aim to
disseminate the laws and regulations relating to the operations of
foreign traders in Vietnam.
Vietnam's
comparative advantages for agricultural development are valuable assets
of the country. These advantages help improve Vietnam's position in
global value chains. For this reason, the National Assembly recently
released a specific resolution aimed at increasing investment in
agricultural development in the coming period. From now to the end of
2012, according to the Ministry of Finance, commercial banks will
provide agricultural and fishery businesses with loans totaling more
than VND20 trillion to help them invest in expanding production and
making products for export. The management of the purchase of
agricultural and aquatic products for export will be improved.
Hopefully, these efforts will bring farmers sustainable benefits./.
Source: VEN
Source: VEN
