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Mekong Delta fruits granted Global Gap facing trouble
In recent years, farmers in the Mekong Delta have rushed to build trade names for their fruits under Global Good Agricultural Practices (Global Gap) standards, as meeting those standards is considered a “passport” for entrance into the world market. However, their plans have been stymied by a shortage of funds and low buying prices.
Half past dead
Pioneers of the movement to meet Global Gap standards were Tien Giang Province’s My Hoa Nam Roi pomelos, Tien Giang Province’s Vinh Kim Lo Ren star apples, rice from My Thanh Nam, and Ben Tre Province’s Cho Lach rambutan.
Fruit growers have also been racing to attach the Global Gap brand to other specialties such as the Hoa Loc mango, green-skin pomelo, honey orange, Dimocarpus longan, and Phu Quoc pepper.
It must provide farmers great pleasure when both the quality and export value of their products improves, proving that they are clear-headed in applying agricultural techniques while meeting market demands.
However, after earning Global Gap certificates, fruit growers have failed to expand production sufficiently to meet the supply demands of export.
For instance, Vinh Kim Lo Ren Star Apple Cooperative and My Hoa Nam Roi Pomelo Cooperative were granted Global Gap certificates three years ago but they have failed to expand their cultivation areas to raise fruit produce and have had to refuse big orders from importers.
Four years after obtaining their “passport”, they exported just over 10 tons of fruits.
My Hoa Nam Roi Pomelo Cooperative has 1,300 hectares of farm, but only 24 hectares of which have been used to grow grapefruits that meet Global Gap standards, and the area has not been enlarged for over two years.
Some members of the cooperative have ceased growing the Global Gap-granted fruit.
Farmer Sau Hon of Ben Tre Province’s Cho Lach District has spent money applying Global Gap process to grow 6.4 hectares of rambutan successfully.
After the success, he proposed that local administrators call upon other farmers to grow rambutan according to Global Gap process to create competition in terms of quality, quantity and price for this specialty.
However, though nearly one year later, the province has not been able to expand rambutan farmland that meets Global Gap standards.
Reasons
Farmers are not interested in growing fruits that meet Global Gap standards because buying prices are lower than expected.
They said cooperatives do not buy products granted Global Gap certificates at agreed upon prices and sometimes only pay prices associated with products of lower quality.
In addition, many cooperatives have not been able to develop further due to limitations in their capacity.
Though Vinh Kim Lo Ren Star Apple Cooperative is equipped with cold storage units and packing mills that meet standards for export to the US, it has yet been able to sign contracts directly with US importers.
All of its exports have been conducted via intermediaries in Ho Chi Minh City.
The cooperative’s Chairman Nguyen Van Ngan said, “Abilities of the cooperative’s staff are limited, especially they cannot speak foreign languages. Therefore, it’s difficult for the cooperative to approach foreign buyers.”
Tran Van Sang, Chairman of My Hoa Nam Roi Pomelo Cooperative, said, “After granted the Global Gap certificate, the cooperative hasn’t been able to shore up investment that would expand the cultivation area.”
“The cooperative has neither the funds nor the property to be used as pledge for loans,” he said.
Mr. Sang said the cooperative does not have an official office so go-betweens have signed and executed all export contracts.
Due to the shortage of funds, the cooperative has yet to acquire cold storage units to store their pomelo, forcing them to bargain away the product at low prices, he added.
The cooperative's 26 households received the Global Gap certificate in September 2008. However the Global GAP certificate was valid for only one year and must be renewed.
The cooperative failed to apply for certificate renewal due to a shortage of money needed to carry out the necessary procedures.
Fortunately, the World Bank has pledged to help the cooperative cover bureaucratic expenses to apply, which will allow them to renew its certificate for their Nam Roi Pomelo.
The cooperative will also receive US$300,000 to expand the Nam Roi pomelo cultivation area in accordance with Global Good standards.
Binh Dai – Hoang Chuong
sggp
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