Hopes high for agriculture

The Ministry of Agriculture and Rural Development (MARD) last week forecast agricultural exports would earn $28.5 billion in 2013 compared to the $27.54 billion record last year. This would include $15.3 billion, $6.7 billion  and $5 billion respectively from from agricultural, aquatic and wooden export earnings, the MARD said.

Such key export earners as rice, coffee, rubber and cashew are expected to grow significantly from 2012 to $3.9 billion, $3 billion, $3 billion and $1.7 billion respectively this year.

The sector is also forecast to generate a trade surplus of $10.7 billion this year, up from last year’s $10.6 billion. It also targets to grow 3 per cent in 2013, from 2012’s 2.72 per cent. “These targets must be fulfilled at any price,” said MARD Minister Cao Duc Phat.

However, exporters said they had been feeling the pinch from difficulties locally and overseas.
“We cannot make any forecast about aquatic product exports for 2013 due to too many difficulties.

Seafood exporters will find it very difficult to fulfill their export target in 2013,” said Truong Dinh Hoe, general secretary of the  Vietnam Association for Seafood Exporters and Producers.

Lam Ngoc Hai, vice director of Saigon-Mekong Fishery Company in southern Tra Vinh province said the company incurred a 5 per cent reduction in tra and basa fish exports in 2012, against the previous year, due to a lack of capital to buy materials. Currently, the company could not sign big export contract for 2013’s early months.

Le Minh Chau, vice general director of Vietnam Rubber Group (VRG), said a drop in rubber export prices has prompted VRG to forecast VND30 trillion ($1.4 billion) in revenue and after-tax profit of VND6 trillion ($28.84 million). Such a return would only match 2012’s target.

Pham Van Bay, general secretary of Vietnam Food Association, said Vietnam would face a tough 2013 in rice exports, taking into account comparative conditions.

Earlier, in 2012’s year-end meeting with the MARD, Deputy Prime Minister Hoang Trung Hai said these official targets might be achievable if the sector made stronger efforts, especially when Vietnam’s agricultural importers were hit by economic woes.

“The sector continues to be the economy’s mainstay. It has been playing a crucial role in macroeconomic stabilisation,” Hai said.  

Stabilised food prices have been credited as an important factor in curtailing inflation in 2012, according to the General Statistics Department figures.

Prime Minister Nguyen Tan Dung last week said in his New Year message that this year the government would prioritise granting credit and incentives for the sector, farmers and rural areas, viewing it as a key for economic stability.