Expert prompts to lure large firms to change Vietnam’s agricultural picture

Dr. Tran Dinh Thien, head of Vietnam Economic Institute, said that only businesses with large potentials would be able to change the picture of Vietnamese agriculture at a workshop on new rural development in Hanoi this morning.
According to Mr. Thien, it would be difficult for small and medium enterprises to apply science and technologies in agriculture.
At the conference, Mr. Ngo Tat Thang, deputy head of the Central New Rural Coordination Office under the Ministry of Agriculture and Rural Development, said that after seven years of the program’s implementation, the country has 2,835 communes recognized to meet new rural standards accounting for 31.96 percent.
In addition, 41 districts in 24 provinces and cities have been recognized new rural areas by the Prime Minister.
The fact of agricultural and new rural development has affirmed the large role of businesses who provided VND20,408 billion ($898 million) for the program in the first five year phase. Still the amount accounts for only 4.9 percent of total funds which has been raised for the program.
The number of businesses investing in agriculture and new rural development reached less than 1 percent of the total number of 4,080 companies in 2016. Of these, 96 percent are medium and small scaled.
Mr. Nguyen Van Tien, head of the Agriculture and Rural Department under the Central Economic Committee, said that although new policies have been issued to lure businesses to the field, there are many barriers in land and unsuitable credit policies.
Delegates at the meeting said that new rural development is a right policy but it will not be efficient without businesses’ attendance.

By VAN PHUC – Translated by Hai Mien

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