Ia Sao Coffee Co. Contributing to Socio-economic Stability in Border Areas

With favourable conditions of stable prices of coffee in the international market, the company’s business activities have been good since 2004. Despite unfavourable climatic conditions in 2005, the company still maintained a necessary of material volume for processing and export. The company operates in an area stretching from Ia Grai district to Dak Doa district and Yen The ward, Pleiku city. The company has processing and export establishments in Ho Chi Minh City with total 2,726 workers.

In 2005, thanks to technological application efforts, the company’s coffee yield reached 11.3 tonnes of fresh coffee fruit per hectare. Also, the company collected 7,000 tonnes more material from workers’ households, bringing its total output to over 12,000 tonnes. Its revenues reached VND 183 billion and its export value was put at US$10 million. The company earned a post-tax profit of VND 5 billion. As a result, the company can ensure stable incomes for its cadres and workers with VND 700,000 per person per month, on average.

 

Alongside efforts to boost its production and business activities, the company has become an exemplary enterprise in implementing social policies. As its production and business activities combine with local labourers, in recent years, the company has made donations to ethnic minority people, contributing VND 40 million to the programme on gratitude display and contributing VND 1 billion to the budget.

 

In the coming years, the company will continue to implement a lump sum programme with its workers, observing the Decree 135 by the Government. It will build a large coffee processing plant, developing its collection network, renewing technology, improving skills for its workers, and gradually expanding its business on the domestic market and export strategies. With its existing advantages, the Ia Sao Coffee Company has contributed to socio-economic development and stability in the border areas.