HADICO: A Year of Overcoming Difficulties

Phan Minh Nguyet, Chairman of the Board of Members and General Director of HADICO, said, in 2012, HADICO not only had to overcome difficulties caused by the government’s tightened fiscal and monetary policies aimed to curb inflation, but also had to cope with natural disasters and epidemics. However, with the constant effort of all staff, the company surmounted all difficulties to maintain production and business activities and improve living standards of the staff. Most products of HADICO gained development in the year, especially seed rice, vegetable seeds, vegetables, cash crops, livestock, poultry and chickens.

 

The company gradually expanded its market share of agricultural products in Hanoi and neighbouring provinces. Its total capital increased 4 per cent from VND750 billion in 2011 to VND780 billion in 2012, while working capital added VND200 billion to production and business activities. The firm paid VND31.43 billion to the State Budget, up 12.52 per cent from a year ago.

 

Assigned to manage and use 4,451.18 hectares of land in Hanoi, Hoa Binh and Bac Ninh, the company has effectively used it, with average annual output value of VND180 million per hectare ha.

 

Under the guidance of Hanoi authority on the deployment of agricultural development projects, in the past year, HADICO completed the construction of tissue culture house, fertiliser production plant, and operating office for the project of applying high-tech to production and preservation of flowers in Tay Tuu. Currently, the company is urgently building internal roads and installing greenhouses.

 

The firm is carrying out an organic vegetable production, processing, preserving and consumption project in Dan Phuong, and a water morning glory production project in Sen Chieu commune, Phuc Tho district.

 

For cattle slaughtering and processing projects like Quang Lang - Tri Thuy in Phu Xuyen district, the company is actively preparing land compensation, site clearance, design, and cost estimation. To ensure supply for cattle and poultry slaughterhouses, HADICO has deployed a series of projects to upgrade its farms, like Thanh Hung, Son Dong, Song Da, Co Dong and Tam Thien Mau. However, General Director Nguyet said that to ensure the good operation of slaughterhouses and food processing facilities, the company proposed the city government to subject the company’s projects to the coverage of Decision 77/2009/QD-UBND of Municipal People’s Committee.

 

Another success of HADICO in 2012 was its research on and transfer of scientific and technical progress in agricultural production. For instance, the firm joined in Huba turkey breeding development project in Hanoi; coordinated to create high-quality rice lines at Yen Khe and Thuong Tin seeding enterprises; purchased exclusive right to the production and commercialisation of HDT8 rice variety; cooperated to research and select the Thu Do 1 rice variety; and cultivated 20 ha of super-pure rice, 6 ha climbing beans, and tended 3.5 ha of conserved plants. The company continued preserving and tending botanical gardens, applying VietGAP standards to vegetable quality management and ISO 9001:2000 standards to product quality management system. To date, the company has conducted dozens of scientific research projects to apply to production process. For example, it applied hi-tech application model to production, preservation and disease prevention of vegetables, flowers and fruit trees; maintained and developed genetic sources of specialty oranges, grapefruits, livestock and poultry.

In 2013, HADICO aims to achieve total output value of VND780.99 billion, an increase of 6.41 per cent over 2012 and revenue of VND841.72 billion, up 8.03 per cent; pay VND35.77 billion to the State Budget, up 16.84 per cent, and pay average monthly employee wage of VND4.6 million. The company also targets to raise the average output value from VND200 to VND220 million per ha.

The transformation into a holding company has created an opportunity for HADICO to effectively utilise its resources, with specific focus given to three main areas of agriculture, service and construction. General Director Phan Minh Nguyet said agriculture remains an important backbone of the economy, given the global and domestic economic slowdown. For this reason, HADICO determines agricultural investment as an important task and a top priority, aiming to become a mainstay agriculture business in the capital city to regulate and stabilise inputs for agricultural production in case of natural disasters and epidemics, ensure the output market for farmers, and manage and control product quality.

 

In the service sector, HADICO continues promoting the effective operation and training of the Hanoi Vocational College of Technology and Economics by joint training and order-based training. In 2013, the company registered to enrol 650 students in line with the National Target Programme on employment and vocational training for poor people and farmers whose land was reclaimed in rural areas. The company will also actively participate in economic cooperation forums between Vietnam and other countries to approach and expand export markets to Northeast Asia, Japan and South Korea. It will make HADICO the name of safe products.