Preventing Foreign Traders from Distorting Market

10:07:19 AM | 4/10/2014

Recently, foreign merchants are reported to appear in some localities to buy agricultural, forest and aquatic products (even strange ones) in a more complicated development which upsets the society, adversely affects political security, economic stability and social order and safety.
 
Creating price fevers, then disappear
In 2013, many Chinese dealers flocked into Nghe An province to purchase golden chicken fern or woolly fern (Cibotium barometz). Earlier, many other localities also reported that merchants from the neighbouring country scoured abnormal products like sparrows, dried coconut leaves and leeches. They used their money to coin price fevers of these peculiar products by offering higher and higher prices. Then, they sold back to local dealers who were striving to buy such items to sell to them for a margin, and disappeared without any trait.
 
Not long ago, Chinese traders announced to buy leeches, thus causing a very high fever and driving the price up to VND1 million a kilogram. Many people rushed to catch leeches. But after only a short time, they disappeared, leaving behind tonnes of leeches that they sold back to local people at high prices. And, leeches become worthless and people did not know how to deal with them. In other locality, farmers even spray defoliants to collect dried cashew leaves to sell to Chinese vendors with little knowing that this would reduce the next crops.
 
Mr Pham Tu Phuong, Deputy Director of Department of Industry and Trade and Director of Market Management Department, Vinh Long province, said Chinese traders are buying sweet potato leaves without any limit to volume purchased.
 
In early 2014, in some provinces and cities like Thua Thien Hue, Da Nang, Binh Dinh, Ca Mau, Tra Vinh, Ben Tre and Kien Giang, foreign traders massively bought seafood. Shrimps were purchased extraordinarily regardless of size and weight for export to China. This has affected export shrimp processing companies in the region and will harm shrimp farmers in the long run.
 
Timely prevention
To timely prevent the illegal procurement of agricultural, forest and aquatic products by foreign individuals and organisations (including Chinese) on the territory of Vietnam in 2014 and effectuate regulations on foreign traders in Vietnam, on March 12, 2014, the Ministry of Industry and Trade issued the Official Dispatch No. 1910/BCT-TTTN on information, dissemination, monitoring and examination of commodity purchasing activities of foreigners in Vietnam to Departments of Industry and Trade of all provinces and cities in the country.
 
After the Ministry of Industry and Trade coordinated with relevant agencies to inspect, control and inform legal regulations on commodity purchase and sale of foreign merchants, fraudulent commercial activities have been kept in check. Besides, illegal trade, based on tourist flows, has also been prevented by local governments in recent times.
 
Local authorities have also informed the people of bad effects of picking baby potato leaves or catching leeches for sale among others.
 
Huong Giang