Nmb foundation for agricultural development

The Ministry of Agriculture and Rural Development (MARD), on the morning of April 28, held the national conference on promoting the processing and development of the agricultural market in 2021 in Can Tho City, with the attendance of Mr. Le Minh Hoan, Minister of Agriculture and Rural Development, Mr. Huynh Thanh Dat, Minister of Science and Technology, leaders of localities, and 150 enterprises operating in the agricultural sector.

According to Dr. Nguyen Quoc Toan, Director of Agro Processing and Market Development Authority under the MARD, currently, there are over 7,500 industrial-scale agricultural, forestry, and fishery processing enterprises, engaged with import-export activities, and tens of thousands of small processing establishments and households.

At the conference, the presentation reports have given many solutions to promote processing and develop the agricultural market. Noticeably, according to FAO statistics, nearly half (45 percent) of the world’s agricultural output is wasted on the way to consumers.

The main cause is pests or poor storage conditions, causing farm produce to rot or lose weight. In the past one or two decades, Vietnam’s agriculture has grown strongly, but the biggest shortcoming is still the high rate of post-harvest loss, low value of agricultural products, and potential risks of food safety.

Therefore, promoting the development of the industry of preserving and processing agricultural, forestry, and aquatic products in the context of the industrial revolution is an inevitable trend.

Associate Professor – Doctor Pham Anh Tuan from the Vietnam Institute of Agricultural Engineering and Post-Harvest Technology said that the State needs to support investment in infrastructure development synchronously with the planning of market-oriented agricultural production areas, consistent with the characteristics and comparative advantages of regions, creating the environment to attract enterprises to invest in high-tech agricultural production and logistics system.

On the other hand, it is necessary to have a specific policy mechanism to attract large enterprises and FDI enterprises to invest in technologies in the field of agro-forestry-fishery processing as the hub connecting producers and distributors by the value chain.

According to the Minister of Science and Technology Huynh Thanh Dat, the Ministry of Science and Technology will further promote activities to support the protection and exploitation of industrial property rights for agricultural products. Up to now, the National Office of Intellectual Property of Vietnam has protected 81 inventions and useful solutions, 101 geographical indications, 646 certification trademarks, and 1,407 collective trademarks for Vietnamese agricultural products. The ministry will continue to perfect mechanisms and policies on traceability, build a national portal on traceability, perfect the system of national technical regulations and standards for agricultural products.

The ministry expects to continue to have strong companionship and support from the MARD and localities, as well as the active response and participation of scientists, research institutes, and universities, which are the subjects of research activities, and enterprises, which are the driving force for development and the center of research and innovation activities, said Minister of Science and Technology Huynh Thanh Dat.

The agri-food industry has been maintaining high resistance to the Covid-19 pandemic, with the potential to boost economic recovery. It posted a growth of 4 percent in 2020, equivalent to a gross domestic product (GDP) contribution of US$3.7 billion.

Phnom Penh (VNA) – Cambodia earned 2.09 billion USD from exporting agricultural products in the first quarter 2021, said Minister of Agriculture, Forestry and Fisheries Veng Sakhon .

The Khmer Times cited Sakhon as saying that his ministry has promoted and helped diversify the sector by assisting it to switch from traditional methods of farming to more modern methods suited for the wider international market.

The ministry has been busy preparing measures to open the marketplace for domestic agriculture, he said, mentioning the recent approval by the General Administration of Customs of China for the shipment of Cambodia’s fresh mangoes to China.

The free-trade agreement (FTA) with China and the soon to be ratified FTA with the Republic of Korea are signs that trade volume will increase in the sector and open up even more opportunities for exports, the official added.

Last year, China committed to the importation of 500,000 tonnes of “quality” mangoes from Cambodia.

In 2020, Cambodia exported 945,274 tonnes of fresh mangoes worth approximately 473.2 million USD to the European Union, the Republic of Korea, Thailand, and Vietnam.

The Asian Development Bank (ADB) forecast that the country’s agricultural sector will grow by 1.3 percent in 2021 and 1.2 percent in 2022. It was impacted by last year’s floods but will rebound with growth in aquaculture and an increase in exports to the Chinese market./.

VNA

Many enterprises are exploiting well

According to regulations, to export food and processed agricultural products to Muslim countries, enterprises will have to comply with regulations, production, and processing processes of agricultural and food products that meet Halal food standards and must receive a Halal certificate.

Meeting these requirements, at present, some Vietnamese enterprises have been promoting the export of their products to Halal markets, such as Vinamilk, Nestlé Vietnam, and Minh Phu Seafood.

A representative of Minh Phu Seafood Corporation said that the company exports shrimp products to the Islamic market, with each export up to 12 containers.

At its peak, the company can export up to 15 containers per month, about 300 tons. Products for this market account for an average of 3-5 percent of the company’s export structure. The representative of this company also said that to successfully export to the Muslim market, Minh Phu must ensure that neither its products nor shrimp feed contains protein from pork.

Ms. Le Thi Thanh Mai, Inter Market Supply Manager at Nestlé Vietnam, said that the Halal food market has great potential and is growing day by day. Nestlé Vietnam has successfully exported thousands of tons of products to consumers in the markets of the Philippines, Indonesia, Malaysia, and the United Arab Emirates (UAE).

With a total estimated population of 400 million people, of which the majority are Muslims, this is one of the market groups that Nestlé sees as potential and will continue to boost exports. The company serves consumers in the aforesaid markets with some product lines, such as oyster sauce, Maggi dipping sauce, Milo powder, Nescafe instant coffee powder, and Nescafe Dolce Gusto instant coffee tablet.

Need to ensure standards

According to the Ministry of Agriculture and Rural Development, the Halal food market is considered to be extremely potential, with a population of about 2 billion people worldwide. With the current food production and processing capability of Vietnam, this is a great opportunity. The potential of market development for this market of Vietnam will be more and more open when enterprises ensure good implementation of Halal’s standards. To enter this market, enterprises need to have a certain understanding of the Muslim culture, customs, tastes, and beliefs.

To receive Halal certification, first of all, the raw materials, additives, and chemicals used to produce those products must be proven by reliable invoices and records that clearly state the ingredients. Alcohol is not allowed to use in any way directly in the products. Animal-derived ingredients are required to have Halal certification. Especially, the entire production line of Halal products must be separated from non-Halal products. For enterprises with production lines related to pork on the premises of their factories, they must completely separate those production lines from the Halal product line and must have Muslim people (one person per shift) to participate in the production management of Halal products.

Although the Halal food market has such principles, according to the MoIT, enterprises still have to promote marketing and market research, quickly update changes and new consumption trends consumers in these markets. Ms. Le Thi Thanh Mai shared that each import market will have a different Halal certification unit. For instance, the Indonesian market requires Halal MUI certification, which can take enterprises months for preparation and be assessed, appraised, and certified by the competent authorities of Indonesia.