Twenty-six businesses in Vietnam have registered to invest 5 trillion VND ($221 million) in farming and production of Ngoc Linh ginseng in the Nam Tra My district of the central province of Quang Nam and Kon Tum Province.

Haversting Ngoc Linh ginseng

The first phase will be carried out from 2015 to 2020. About two million seedlings will be planted on 200 hectares of land and the infrastructure will be built and upgraded. 

From 2025, the farm land will be expanded to 30,000 hectares. Vietnam aims to produce 500-1,000 tonnes of ginseng per year, making it the world’s second largest ginseng grower.

Routes to the ginseng farms in Quang Nam Province's Nam Tra My District and Kon Tum Province's Tu Mo Rong District will be upgraded for better transportation. 

Research centre and tourism complex along Ngoc Linh Mountain in both Quang Nam and Kon Tum provinces will be built. 

The geographical indication of Ngoc Linh for ginseng root products is registered in five communes in Quang Nam and Kon Tum provinces.

Professor Nguyen Ngoc Lung from the Research Institute for Sustainable Forest Management and Forest Certification said Ngoc Linh ginseng were special because they grow on the mountain's peak. However, it's not easy to grow the ginseng en mass at locations over 2,500m.

"The ginseng grows slowly at high altitude," he said. "The solution is that we grow a small number of ginseng and it has to be managed by specialised bodies. South Korea has detailed plans for their ginseng and outlets for their products. We have only just started and must be careful."

Dinh Van Thu, chairman of Quang Nam Province said the high investment of VND9trn will be disbursed until 2030 and 80-90% will come from private sector. Companies are invited to invest in pharmaceuticals, essential oils, drinks and cosmetics.

Thu wants to get support from the government for investment in infrastructure and favourable policies for the investors. "This is a long-term project and investors will join when there are good policies and mechanism," he said. 

Talking with VNExpress, Le Tri Thanh, vice chairman of Quang Nam Province said they wanted to make ginseng a key product to drive the local economic development and erase poverty for ethnic people in mountainous areas.

The chairman of the district, Ho Quang Buu, said that six enterprises have joined a survey on growing Ngoc Linh ginseng, while 20 others will invest in pharmaceuticals, essential oils and cosmetics, as well as tonic drinks and capsules from ginseng.

So far, the district has developed 27 farms in three communes, with over 800,000 saplings of ginseng and herbs for local farmers.

Nam Tra My and two other districts in Kon Tum province – Tu Mo Rong and Dak Glei – are designated areas for mass development of the ginseng in mountainous farms at 1.400m to 2,600m above sea level, according to Buu.

Earlier this year, the district introduced its first Ngoc Linh ginseng and medical herbs centre as a major source of seed and saplings.

In 2016, the Ministry of Science and Technology’s Intellectual Property Agency recognised the Geographical Indication (GI) of Ngoc Linh for ginseng root products in Quang Nam and Kon Tum provinces.

The district itself also signed a Memorandum of Understanding (MoU) on tourism, agriculture, conservation and the development of Ngoc Linh ginseng with Hamyang County in the Republic of Korea (RoK) two years ago.

The district will host the first Ngoc Linh Ginseng Festival – part of cultural events of the sixth Quang Nam Heritage Festival – from June 13 to 16.

Ginseng was first found on Ngoc Linh Mountain on the border between the Central Highlands Kon Tum province and Quang Nam in the late 1960s.

Dantri/VNA