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VRA conducts pilot project to enlarge rubber plantation area
Ho Xuan Hung, the Deputy Minister of Agriculture and Rural Development and the Chairman of the Viet Nam Rubber Association, spoke to Dau Tu (The Investment Review) about the rubber industry.
How are the Ministry of the Agriculture and Rural Development (MARD) and the Viet Nam Rubber Association (VRA) planning to develop 700,000ha of rubber by 2015?
Currently, there are about 500,000ha used for the rubber industry nationwide. The south-east region is assessed to be a relatively stable place for rubber planting, the central highlands are on the right track and the newly-established rubber cultivation areas in north-west region, including Dien Bien, Lai Chau and Son La provinces are also showing the desired effects.
Formerly, we have never tried to grow rubber trees in the north-west region. A pilot project was carried out in Lai Chau Province in 2006 and the result showed that rubber trees are likely to develop here. In 2008, VRA began its first cultivation on this land with a total area of 50,000ha.
MARD and VRA are considering the conditions of the soil and climate of the regions. We’re also finishing a comprehensive scheme which we will propose to the Prime Minister by the end of this year. At the same time, the VRA is enlarging land funds for the rubber industry in the central provinces, including Thanh Hoa, Nghe An and Ha Tinh. Rubber cultivation has become a fulfilling career for local residents in these provinces, so it’s easy to get agreement and contributions from them.
The development programme will be carried out by both the VRA and local farmers. No-one is allowed to conduct the programme themselves.
How strong is the connection between the VRA and local farmers?
We are conducting a pilot project in small plantations in Thanh Hoa Province based on a combination of farmers who’ve contributed their land, labourers and the VRA who invest the necessary capital, provide the latest technologies and distribute the finished products. With this development model, there’s no need to revoke the land use right from farmers and they will keep 60 per cent of the profit from their own land for every crop harvest. I think it’s an ideal model as it avoids eminent domain, compensation and other complex processes. If this project is successful, the VRA will officially report to the Government and chalk out a specific development plan.
In the north-west region, all farmers get monthly salaries as workers and their land will become their stock in the company.
VRA’s fund for investment and development can afford to re-cultivate and grow new crops on a 50,000ha area in the period of 2008-09 without asking for bank loans. We’ll supply financial support in these rubber growing areas if necessary.
The VRA has postponed other projects deemed unnecessary so as to focus finances on rubber development.
It is said that the type of rubber found in Viet Nam lacks quality and is likely to fail to develop in these new areas. What’s your opinion?
VRA’s latest research shows that our variety is a high-yield, bringing 1.8-2 tonnes per hectare on average, 0.4 tonne higher than the average variety found elsewhere in the world. We’ll apply the method of growing rubber trees in high density to double the production of wood in the upcoming crops.
VNN
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