Danish programme to assist fruit, vegetable exporters to compete

HCM CITY — A long-term vision and willingness to take risks are necessary for the vegetable and fruit industry to prosper in the global market, according to a project advisor for a Danish-funded programme.

The programme, the Global Competitiveness Facility for Vietnamese Enterprises, is funded by the Danish International Development Agency and will enter its second phase in 2011-13.

Speaking at a seminar in HCM City yesterday, Amarnath Reddy, project senior advisor, said the programme was to help export companies in target provinces with business services, new technology and access to new markets. New business models would also be developed.

The programme is expected to support 80 projects with an average grant of VNÐ2 billion (US$105,263) per project.

Priority sectors are agriculture and agro-processing, fisheries, aquaculture, handicrafts and tourism. Sectors with participation of female business owners and producers will take top priority.

The companies had to have strong managerial and human resource capacities as well as financial capacity, Reddy said, adding that the grants would be ineffective without those qualities.

A willingness to learn from international best practices would help them achieve good results in the programme, he added.

Le Van Cuong, director of Da Lat GAP Co Ltd, said his company had received financial support so it could get international certificates such as Global Good Agricultural Practices (GlobalGAP) and Hazard Analysis Critical Control Points (HACCP).

The project helped the company to access new cultivation techniques to produce products that meet the strict requirements of foreign markets.

The company also received project support to build its trademark. As a result, it has increased prices and lured more customers.

Nguyen Van Ky, general secretary of Viet Nam Vegetable and Fruit Association, said vegetable and fruit businesses are mostly small – and medium-sized. The biggest challenge businesses face is competing internationally.

The association has organised trade promotions to offer companies market surveys and updated market information.

Reddy said the industry had not controlled the quantity and quality of products, which had led to unstable price and sources.

They have also not invested in advanced technologies for cultivation and processing, and as a result, cannot meet demand or maintain a good reputation.

In addition, the coordination between business and farmers is still weak.

Cuong also said that domestic businesses had paid little attention to acquiring international standard certificates. — VNS

by http://vietnamnews.vnagency.com.vn/