The Advantages of the Mekong River Delta are not Fully Exploited

The Advantages of the Mekong River Delta are not Fully Exploited

On 12 December, the conference on "Promoting Investment in Developing Food Value Chains in the Mekong River Delta” was held in Can Tho.

Investment in Vietnam - According to Mr. Vu Ba Phu, Director of the Ministry of Industry and Trade's Department of Trade Promotion (VIETRADE) said that the Mekong Delta has 13 provinces and cities, which are particularly important in economic development strategy, Security and Defense. Over the past years, trade promotion activities of the Mekong Delta have been paid attention, thereby creating conditions for development breakthroughs. However, these activities are still not proved its effectiveness. For example, the link and efficiency is not high, postharvest preservation and value added content for agricultural products are still low.

Up to November 2017, the Mekong Delta attracted 1,411 foreign direct investment (FDI) projects with a total registered capital of over US$ 20 billion. Of these, 65% are invested by form of 100 % foreign capital, the rest are joint ventures, BOT and BT contracts, and business cooperation. There are 51 investment countries, of which Malaysia, Korea and Taiwan, Japan, England are the countries invested more than US$ 2 billion. However, until now the attraction of FDI in the Mekong Delta ranked lowest in the country. In the first 6 months of 2017, provinces and cities in the new region attracted 66 additional FDI projects with a total registered capital of US$ 1.7 billion.

According to Phu, in the 2017-2020 period, the Mekong Delta still has much potential for investment and exploitation. There are still large un-exploited areas in Dong Tap Muoi, Long Xuyen Quadrangle, Hau River and Ca Mau Cape. Pham Thai Binh, General Director of the Can Tho city-based Trung An Hi-Tech Farming JSC, said that our rice production and export have changed significantly since the implementation of the large sample field, but not met the damand. There are 200 member enteprises of the Food Association but not truly connected and quality rice is poor because of pesticide residue.

According to Binh, there must be a chain of production in order to have a safe value chain. The Mekong Delta is very rich and potential. Currently, rice in the Mekong Delta is not sufficient for sale, the situation of the supply does not meet the damand. A product value chain always followed by production one, and then to value chain, of course.

Nguyễn Phương Lâm, deputy director of VCCI Cần Thơ, said that the food industry is given priority by the Government to develop from now until 2025, with a vision to 2035. Government pays special attention to sustainable Mekong Delta development. On the other hand, the area of natural land is quite large, transport infrastructure is improving, the demand for food in the country and the world is increasing.


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