Many Vietnam Agro Firms Work At Loss: Ministry

A number of state-owned enterprises in an agricultural sector are working inefficiency, according to the Ministry of Agriculture and Rural Development (MARD).

 

In 2009, Vietnam Sericulture Corp. (VISERI) was reported to lose VND61 billion (US$3.2 million), Salt Corp lost VND15 billion (US$785,000) and Vietnam Coffee Corp. lost VND420 million (US$22 million).

 

The 2009’s combined pretax profit of all state-owned corps in agricultural sector were VND5.36 trillion (US$280.6 million) on revenues of VND79.361 trillion (US$4.155 billion), and most profitable were Vietnam Northern Food Corporation (Vinafood 1), Vietnam Southern Food Corp. (Vinafood 2) and Vietnam Rubber Group.

 

In its March’s regular meeting, Vietnam’s government urged the MARD to restructure all its ineffective state-owned enterprises. Earlier, Prime Minister Nguyen Tan Dung agreed to merge Salt Corporation and Northern Food Corporation (Vinafood 1). (Saigon Economic Times)