return icon Vietnamnet.vn

Farm export deadlock at border gates: long-term solution needed

Preliminary treatment centers and cold storage warehouses along the border and systematic logistics chains are both needed, experts said.

{keywords}

 

Any change in import policy from China is enough to create goods export congestion at border gates.

Nguyen Quoc Toan from the Ministry of Agriculture and Rural Development (MARD), reporting that more than 4,000 containers of goods are stuck at border gates in Lang Son, said it’s necessary to set up preliminary treatment and cold storage warehouses in areas along the border. Such warehouses are not available in both provinces.

The cold storage warehouses need to connect transport infrastructure so as to minimize logistics costs. One container of goods cannot move from Binh Thuan to Mong Cai as the value of farm produce would be lost on the way.

Meanwhile, Quang Ninh has a deep-water port in Hai Ha, so goods can be carried from the south to the north on waterways to minimize transport costs. Large farm produce centers such as Mekong Delta can also exploit the local canal network.

Before the goods distribution gets stuck at border gates, a deadlock was seen in the Mekong Delta during lockdown days, when the pandemic reached its peak.

An Giang Deputy Chair Tran Anh Thu said the supply chain disruption was serious from June to September 2021. Farm produce could not be sold and their prices dropped dramatically. Meanwhile, HCMC residents couldn’t buy farm produce and had to pay more for food.

As for the retail network, Nguyen Anh Duc, CEO of Saigon Co-op said there are two types of disruption. First, disruption in every locality. Goods cannot go from one locality to another, from HCMC to the Mekong Delta, from one province to the adjacent province.

Second, disruption because of the absence of some links in a chain. For example, when rice supply was abundant in An Giang, producers did not have packaging to pack the rice.

The congestion at border gates will lead to price fluctuations of agricultural products in localities in the near future. So there should be intervention to stabilize the market.

Deep processing, clear strategy

Dong Thap in the south has mango and Son La in the north also has. Vietnam has diverse farm produce, but it needs to decide how to use the produce to optimize the value chain, which products should be used for processing and which products to dining tables.

Toan said MPI and MARD have included in draft resolutions for Can Tho City the establishment of a logistics, farm produce processing and preservation complex for the entire Mekong Delta. The plan will be submitted to the NA Standing Committee for approval.

Dong Thap Chair Pham Thien Nghia agreed that Mekong Delta needs cold warehouses to store goods and an integrated center of production, logistics and distribution. There should be favorable conditions in the area, including seaports, processing industry and workforce.

IME Vietnam’s CEO Do Hoa said two strategies are needed. The first is supply chains for export. The second is supply chains for the domestic market. The aim of each supply chain will determine how logistics should be designed.

The roads to Mekong Delta are always full of traffic, which are used for both cargo and passengers. The products from Mekong Delta are mostly raw materials, and are cumbersome. It’s not competitive to transport farm produce by land. There should be a specific logistics system for farm produce.

The export chain needs to be designed in a way to serve connections with seaports. Meanwhile, domestic consumption chains need to be designed to connect material growing areas in Mekong Delta provinces with the market in HCM City.

In developed countries, artificial intelligence (AI) is applied in logistics, and used to calculate vehicle density, average speed, load and demands in every area so as to decide where major distribution centers should be set up. 

Tran Chung

When Vietnam has to import farm produce

When Vietnam has to import farm produce

Vietnam’s farm produce import turnover reached record highs in 2021. The country for the first time saw high exports of rice, cashew and pepper.

Congestion at border gates, seaports stalls transport of farm exports

Congestion at border gates, seaports stalls transport of farm exports

Farm exports experienced a tough year in 2021 due to continued congestion at border gates. Despite this, agricultural produce still reached export turnover of $47 billion for the year.

MORE NEWS

VN manages to control public debt

Viet Nam managed to control public debt within a safe level with gradually slowing year-on-year increases. However, according to the Ministry of Finance, the economy was severely hit by the COVID-19 pandemic in the past three years.

Hanoi needs to combine green growth with urban development

The capital Hanoi is focusing on urban development towards green and sustainable growth and building a smart and modern city.

Phu Yen man makes unique plates from sea grape leaves

Nguyen Van Tuyen, a 38-year-old man from Phu Yen, has successfully designed and produced environmentally-friendly plates made from the leaves of sea grape, a tropical tree.

Bad vendors put e-commerce at risk

Smuggled, counterfeit and low-quality products have begun to spread rapidly on e-commerce platforms as the absence of physical product touch in online shopping puts buyers at a disadvantage.

Thai Nguyen listed among top 6 best places globally to enjoy tea

Marking International Tea Day, travel website Booking.com has unveiled a list of the top six must-visit destinations around the world for travelers to dive into the historical and cultural values of tea, with Thai Nguyen featured in the list.

SEA Games men’s football final tickets stir black market

Tickets for the final of the men’s football at the ongoing SEA Games 31 are being offered for sale at shockingly high prices of up to VND8 million (USD348) each.

31ST SEA GAMES: UPDATES MAY 21

SEA Games 31: Thai weightlifter conquers men’s 67kg class

Doll collection created in honour of Mother Goddess worshipping

Inspired by Mother Goddess worshipping - a UNESCO Intangible Cultural Heritage - designer Van Anh Scarlet created a collection of figurative dolls based on the ritual, called the “Painting of the Four Palaces”.

Try some typical Muong grub

The Mường ethnic people living in Hòa Bình, Thanh Hóa or Phú Thọ share the same origin and almost the same way of living in harmony with nature.

VN food exporters turn focus to domestic market

Vietnamese are tending to consume foods of clear origin and high quality after the COVID-19 pandemic, causing many export-oriented food brands to turn their attention to the domestic market.

Stormy time for HOSE: network pending, leader disciplined

In 2021, the HCM City Stock Exchange (HOSE) reported a 21-year high profit. However, it was also the year when many problems occurred.

Facebook to register, declare and pay foreign contractor tax in Vietnam

Meta, the parent company of Facebook, on the occasion of the signing of a memorandum of understanding with the National Innovation Center (NIC), made the tax payment commitment.

Prime Minister’s ‘3-in-1’ business trip to the US

The business trip to the US of Prime Minister Pham Minh Chinh has brought important bilateral and multilateral results, according to Deputy Minister of Foreign Affairs Ha Kim Ngoc.

Corporate bond issuance drops sharply after arrest of Tan Hoang Minh chair

After the cancelation of nine corporate bond issuances of three companies related to Tan Hoang Minh, the volume of private offerings fell sharply by 33 percent to VND30 trillion in April.

Why the stock market sell-off when VN’s economy is strong?

Vietnam’s benchmark VN-Index sold off 11 per cent last week and was down 21 per cent in the year to date at the end of last week after being nearly flat until March end.
back_to_top