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Vietnam's agricultural production growth slows (29/7)
29/07/2016 - 15 Lượt xem
Vietnam for the first time witnessed negative growth rate in agricultural production in the first six months of the year.
According to MARD, the growth rate of
agriculture, forestry and fishery decreased by 0.18 percent, or VND397.4
trillion.
This was attributed to the low winter-spring
crop’s output, with just 19.4 million, a sharp fall compared with last year.
Dang Kim Son, former head of the Institute
for Agriculture & Rural Development Policies, commented that the growth
rate of agriculture has shown signs of decline in the last few years.
Meanwhile, the severe drought in the central
region and the saline intrusion in Mekong River Delta led to a much lower crop
yield and a shrinking aquaculture area.
There have been signs of an agricultural
growth slowdown in recent years, which experts warned about eight years ago.
“The cultivation land scale in Vietnam is the
smallest in the region. Farmers don’t know how to organize production.
Agricultural businesses are small and weak. They don’t cooperate with each
other and join forces with farmers,” he explained.
He went on to say that tinvestment in
agriculture is small, just accounting for 5 percent of total investment
capital.
“This is really unreasonable and unfair for
agriculture, the sector which makes up 18-20 percent of the country’s GDP,
provides 50 percent of jobs and creates 25 percent of export turnover,” he said, adding that
agriculture is the only branch with an excess of exports over imports.
Agricultural production remains unchanged
after 30 years of doi moi (renovation). The only new things are some kinds of
machines imported from China and Japan.
Meanwhile, farmers still have to struggle to
maintain their lives and organize production.
According to Pham Tat Thang, a senior
researcher of the Trade Institute, Vietnam wants to export more farm produce to
the world market, but it still keeps small-scale organization.
Large-scale production has been organized by
TH True Milk, Hoang Anh Gia Lai and Vingroup, conglomerates with powerful
financial capability. However, that has been applied only in some projects and
by some enterprises, not throughout the country.
Pham Tat Thang, a senior researcher at the
Trade Research Institute under the Ministry of Industry and Trade, in an
interview to Hai Quan, said agriculture has been the mainstay in stabilising
the national economy. But in the past few years, some negative factors have
seriously affected the sector’s development, particularly climate change,
including the serious salt intrusion in the Mekong Delta and epidemics in
animal husbandry.
