Bac Giang develops domestic market to limit damage for farm produce

The Ministry of Agriculture and Rural Development (MARD) on April 9, 2020 issued document to alarm the difficulty for export of various farm produce via the Vietnamese – Chinese border gates. Accordingly, Chinese side strictly controls the trucks and Chinese agents in charge of clearing the custom procedure entering the isolated area in Vietnam for transaction. 

Hung Thao Trading, Import and Export Company Limited buys mango at the orchard in Tien Giang province.

Also, the Chinese partners prohibit the drivers coming from the Covid-19 hit provinces in Vietnam to enter China from March 30, 2020; strictly manage the border gates and paths, temporarily close several border gates and paths from April 3, 2020; restrict and shorten the time of custom clearance at the border gate and sub-border gates; reinforce the management over the carriages and drivers passing the border from April 7, 2020.

The restriction of custom clearance has caused severe damage for the exported farm produce in Bac Giang province.

Dinh Van Hung, Chief Executive Officer at Hung Thao Trading, Import and Export Company Limited (Hung Thao Co.,Ltd) in Luc Ngan district said: “We could not proceed the custom clearance for hundred of tonnes of mango that our company bought from the farmers in Dong Thap and Tien Giang provinces at Lang Son border gate. Then huge quantity were rotten, causing severe loss of dozens of billions VND. To recover the difficulties, Hung Thao Co.,Ltd transported 15 trucks (equivalent to 300 tonnes of fruits) to Lao Cai border gate and sell at domestic markets such as Hanoi, Ha Giang and Hai Phong”.

Hung shared though it is really hard to export mango, the enterprise still buys the products because they inked the contract with the growers previously. Now Hung Thao Co.,Ltd is negotiating with several fruit trading points in the country to seek more selling stores, distribute the agricultural products for export at several border gates.

Amid the situation, Director of Department of Agriculture and Rural Development (DARD) Duong Thanh Tung said the DARD requested the districts and city to inform the enterprise, producers and processing facilities of farm produce for export to China to ensure a smooth export of farm produce without any congestion of commodities and carriages as well as avoid the loss. After that the firms can actively make the production plan and orient the export enterprises to exploit the domestic markets.

Besides, the DARD guided the competent agencies to coordinate and enhance the supervision, strictly handle the bad behaviour of profiteer, pricing pressure, trade fraud and violation on food safety.

Particularly, the businesses which are specialized at importing and exporting farm produce to Chinese market should temporarily suspend transporting the farm produce, especially fresh fruits to Lang Son area to avoid the stuck of commodities at the border gates and reduce the unexpected damage.

As schedule, Phuc Hoa early ripen lychee (Tan Yen district) will be harvested on May 20.

Regarding the lychee, now it is time for fruit bearing period and expected to harvest early ripen lychee on May 20 and main season lychee on June 10. Amid the complicated development of Covid-19 pandemic, several tradesmen forecast a difficult consumption.

The DARD should continue close monitor of the pandemic situation, instruction for production adjustment and recommendation so that the farm produce can be smoothly exported to China basing on the guidance from the MARD.

Besides, the DARD should coordinate with the Department of Industry and Trade to enhance the trade promotion activities and focus on exploiting domestic market.