| Vietnam's Tea Industry Plans to Raise Exports to US$61 MLN
- Asia Pulse
HANOI, Feb 14 Asia Pulse - As the world's ninth largest tea producer, Vietnam is trying to raise its tea export value this year to US$61 million, some US$5 million more than last year, by expanding its total tea acreage to 90,000ha and its prodution to 125,000 tonnes, including 50,000 tonnes for export.
The tea industry plans to consolidate its traditional overseas customers including Russia and other countries in the Commonwealth of Independent States, and Pakistan.
It will also increase tea export to other foreign markets with estimated 25,000 tonnes to the Middle East, around 15,000 tonnes to Europe and Asia; and up to 8,000 tonnes to Africa and America.
With 2,600ha of tea plantation, the Vietnam Tea Corporation [VTC] alone exported 24,000 tonnes last year, some 400 tonnes more than 1999, earning an export turnover of US$32 million.
The corporation has achieved an average annual per-hectare yield of 7.5 tonnes from its crops and currently exports to 40 foreign markets in Asia, the Middle East, the EU and Africa. To build on this success, it plans to set up a totally Vietnamese-owned import company in Russia.
According to VTC General Director Nguyen Kim Trong, the industry faced many difficulties last year with low tea prices on the world market falling even further. However, thanks to better technology, the country has managed to retain its local and foreign market share.
For the domestic market, the corporation will continue to produce traditional products, such as Thai Nguyen, Tung Hac, Thanh Long and Tan Cong teas, while adding high-quality tea bags brands like linh chi (ganoderma lucidum), tam that (Pseudo-ginseng), ginseng, Tea Vina, Linh Son and Bao Tho tea to compete head-on with Lipton and Dilmah brands.
Tran Phu tea company, located in the north-western mountainous area has become famous within the industry for its industrialisation programme.
The company has planned many plantations and helped producers apply advanced scientific methods to intensify cultivation. As a result plantations in the region can produce up to 9 tonnes per hectare, with some achieving 15 tonnes.
Meanwhile, Long Phu tea company is the biggest in the northern province of Ha Tay and neighbouring Hoa Binh, and purchases around 800 tonnes of fresh tea annually. There are more than 850 households growing around 300ha of tea, with an average capacity between 7 and 13 tonnes per hectare. Many of these households earn up to VND20 million each a year from the crops.
The company has also planted tea in remote areas and encouraged ethnic minorities such as the Thai and H'mong in the northern mountainous province of Son La's Moc Chau District to farm the crops. This is an area where local residents once relied solely upon opium, rice and corn crops.
Thanks to the Moc Chau tea company around 200 local households have now planted 180ha of tea with a strain imported from Japan and Taiwan. The company expects to expand crops by more than 600ha over the next five years.
In the Phu Tho Province, the Phu Ben Joint-venture company last year spent over US$2 million buying tea from local residents and has also planted around 200ha of tea strains imported from Japan, India, Taiwan and China.
The company has upgraded technology in the Phu Tho and Ha Hoa tea factories and now produces 2,800 tonnes of black tea for export each year. In 2000, the company exported 3,230 tonnes of tea, 15.3 per cent more than 1999.
Vietnam currently has about 100 tea workshops processing 70 per cent of tea crops and over 1,200 individual handicraft processors.
Meanwhile, VTC plans to establish two 300,000ha areas for high quality tea in Son La Province's Moc Chau district and the Tam Duong District of Lai Chau Province. It expects to harvest 15 tonnes of fresh tea per hectare from areas, to produce 2,000 tonnes of tea worth up to US$3,000 per tonne and create 1,500 jobs.
VNA
Asia Pulse
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