Binh Thuan Province Sharpens Export Edge with Highly Competitive Products

Export activities in the central province of Binh Thuan grew robustly in 2005. The export revenue recorded stood at US$95 million in the year, an increase of 21.64 per cent against the same year period in 2004. This admirable achievement was the result of combined efforts by exporting enterprises in the province. The export commodity structure was also improved, with higher volumes of processed products and lower volume of crude materials.

The Ministry of Trade has recognised six companies in Binh Thuan Province as prestigious exporters, which will be introduced in trade promotion activities abroad, including Hoang Hau (Queen) Dragon Fruit Co., Ltd, Phuong Giang Co., Ltd, Dragon Fruit Cultivation and Export Co., Hai Nam Co., Ltd, Hai Thuan Co., Ltd and Phan Thiet Garment Export Joint Stock Co. In addition, the ministry also praised five other enterprises for their encouraging export achievements, including Hai Nam, Phuong Giang, Dragon Fruit Cultivation and Export Co, Fruit and Vegetable Co. Pte and Investment and Import-Export Co. These five firms received a total bonus of up to VND2.438 billon (US$152,375). 

By the end of 2005, Binh Thuan Province had more than 100 exporting enterprises and economic entities. They mainly export farm products, foodstuff, aquatic products, garments, vegetables and fruits. The production capacities of enterprises in the province has also been expanded. The refrigerating facility alone can store 2,400 tonnes, freeze 120 tonnes a day and process 30,000 tonnes of seafood a year. The province can also process 50 tonnes of dried seafood a day and preliminarily process 9,000-10,000 tonnes a year. Companies in the province also attach great importance to upgrading technologies. As a result, over half of Binh Thuan’s enterprises can export their products to difficult markets like Japan, the European Union (EU) and the United States. The current key exports of Binh Thuan are frozen seafood and dried fish. In particular, odourless fish sauces manufactured by AROMA have conquered the Japanese market, which spends some US$340,000-350,000 on average importing 230,000 litres of AROMA fish sauce a year. Of the farm produce, dragon fruit is the most outstanding. In 2005, Binh Thuan exported 22,000 tonnes of dragon fruit. In fact, the actual export volume is much higher because many were exported to other countries like China via other localities in the country such as Lang Son Province and Hanoi. The main market for Binh Thuan’s dragon fruit is Taiwan and minor markets are China and Asian nations.

 

However, its export achievement does not actually reflect the export capacity of Binh Thuan Province because some of its enterprises manufacture and process commodities for companies in other localities, like Ho Chi Minh City and Khanh Hoa Province, to export. Therefore, the export volume is possibly much higher than officially released figures. Even with dragon fruit, the above figure is probably equal to 40-50 per cent of total export volume.

 

Mr. Ngo Minh Hung, Director of Binh Thuan Provincial Department of Trade, said: the Provincial People’s Committee had issued the Programme for Export of Special Products until 2010, which will focus on developing key competitive exports, such as seafood, cashew nuts, dragon fruit and apparels. As for material markets, the province will encourage fishermen to make shifts in the aquaculture structure, invest in modern technologies and raise cash-earning species. Binh Thuan will organise a technical and service assistance system, supply materials, transfer harvesting technologies to farmers to secure the quality of materials. As for farm produce, Binh Thuan Province will set up plans for cultivation, development as well as processing of standardised cashew nuts and dragon fruit for export. Binh Thuan will also focus on developing forests to exploit such materials as bamboo and timber for fine arts handicraft export industries.

 

To boost exports in the coming time, the province is instructing relevant bodies to speed up projects that serve the export development plan. The major projects include ports, seafood processing zones and wholesales markets for seafood and farm produces. Processing enterprises are also encouraged to renew technologies to heighten the competitiveness and technological content for their products. In addition, the province will also boost trade promotion activities through trade ties and diplomatic relations through Vietnamese diplomats, commercial charge d’affaires and attachés overseas as well as through domestic trade promotion agencies. As regards exporting companies, the province will hold regular meetings and exchanges to seek solutions for export expansion and support them in having their products registered for origins and advertised, and assist them in developing product trademarks.