Tuesday, 07/10/2008 07:32

Dong Nai farmers cry foul over fertiliser woes

Farmers in some parts of the southern province of Dong Nai have stopped using Vedagro, a brand of organic fertiliser supplied by monosodium glutamate manufacturer Vedan.

They suspect it has caused the failure of cassava for the last year.

Many farmers in the communes of Long Duc 1, Long Duc 2 and Tam Phuoc in Long Thanh District allege the failure was due to the long-term impact Vedagro has on the land.

They were all using it for seven years and got good yields. Many said they used to earn an average of VND10 million a year from a hectare of cassava.

A sales agent in Tam Phuoc Commune, who declined to be named, said no cassava farmer had bought Vedagro in the last five months. The agent, who had sold the fertiliser for nine years, said he used to sell 8,000 to 9,000 tonnes of Vedagro per crop.

"It withered most herbs and plants but nourished cassava well," he said. "Fed with Vedagro, cassava grew well and produced big bulbs."

Dong Nai farmers also used to apply the fertiliser to cashew and cajeput trees.

Nguyen Van Hieu, owner of a 10-ha farm in Long Duc 1 Commune, said he had chosen Vedagro because it was cheaper than other fertilisers.

Nguyen Khac Toa, chairman of the Phuoc Binh Commune People’s Committee in Long Thanh District, was quoted by Sai Gon Tiep Thi (Sai Gon Marketing) newspaper, as saying, "In our commune, when it rained, Vedagro was washed into breeding ponds, killing large numbers of fish."

Last year in Long Thanh District, leaves on cassava trees turned yellow as if sprayed with toxins. Farmers lost the entire crop.

Some farmers who believed they had not used enough fertiliser used more Vedagro, but to no avail. Their plants produced just some tiny bulbs.

Officials from the provincial agricultural promotion centre sent to Long Thanh District carried out inspections and later asked farmers to use a different fertiliser for the next crop. But this did not result in a better crop either.

It is likely to take time for authorities to identify the cause of the soil’s sudden infertility after centuries of supporting crops. But pending their investigation, it is the farmers who suffer.

Ministry wants higher tax

The Ministry of Agriculture and Rural Development has recommended higher import tariffs on livestock products and animal feed to protect the domestic industry.

It wants the rate on fresh and frozen pork to be raised from the current 20 per cent to 25 per cent and 29 per cent, and on poultry and eggs from 12 per cent to 40 per cent.

On poultry legs and wings it wants 20 per cent instead of 12 per cent, and on buffalo meat and beef, 15 per cent instead of 12 per cent.

Prof. Nguyen Dang Vang of the ministry’s Livestock Breeding Institute said the import of 118,000 tonnes of livestock and poultry this year were to blame for the difficulties farmers faced.

Decreased tariffs had helped boost the imports, he said.

The Government cut the taxes on this group of goods sooner than stipulated by the country’s WTO commitments. Viet Nam does not have to cut the tariff on beef to 14 per cent until 2012, but it has already slashed the rate to 12 per cent. It has to cut the tariff on fresh and frozen pork to 25 per cent, but it has reduced it to 20 per cent.

Prof Dr Le Hong Man, deputy chairman of the Viet Nam Poultry Livestock Association said the tax hikes, if approved, would rescue the animal husbandry sector.

Retail oil prices still same

Though oil prices have fallen to below US$100 per barrel, retail prices in Viet Nam remain unchanged.

A92 petrol still costs VND17,000 (US$1.03) per litre, which means importers earn a profit of VND2,500 on every litre they import now.

Vuong Thai Dung, deputy director general of the Viet Nam National Petroleum Corporation (Petrolimex), said any reduction in prices would be considered when global prices remain down for 20 days.

Importers estimate they have made a cumulative loss of nearly VND3 trillion ($181.8 million) since the beginning of this year.

Nguyen Thanh Huong, deputy director of the Ministry of Finance’s Price Management Department, said enterprises had not sought to lower retail prices yet since they were still selling petroleum imported at high prices last month.

Vuong Dinh Dung, director of the Military Petroleum Company, said the companies were waiting to liquidate their old stocks before reducing prices.

The Price Management Department estimated it would take importers six months to offset their accumulated losses of VND3 trillion if they make a profit of VND1,500 per litre.

Huong said the tax on oil imports was now 5 per cent and the rate would be adjusted periodically based on global price movements.

VNN

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