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Transcript of Doing Agri Business in Vietnam - The British Business ... · PDF file The important economic...

  • 16th February 2017

    Doing Agri Business in Vietnam

    Working alongside government to deliver on-demand trade services for UK companies

  • Tu Minh Thien

    Deputy Director,

    Agricultural Hi-Tech

    Park of Ho Chi Minh

    City

    • PhD in Ecomonics, University of Economics and Law – National University of Ho Chi Minh City – Vietnam

    • FulBright Economics Teaching Program in Vietnam

    • Deputy Director of Agricultural Hi - Tech Park of Ho Chi Minh City (AHTP)

    • former Delegate of People City Council (2011 – 2015)

    • Director of Investment and Trade Promotion Centre (ITPC) (2008 – 2011)

    • Ho Chi Minh city Center for Agricultural Consultancy and Support (HCACS), Director (2005 – 2008)

    Personal profile

  • HIGH-TECHNOLOGY IN AGRICULTURE IN VIETNAM

    Tu Minh Thien

    MANAGEMENT AUTHORITY

    HCMC HI-TECH AGRICULTURAL AREA

    Cell No. (+84)913 914 400

    Email: thientuminh@yahoo.com

  • Content

    1. HCMC’s Overview

    2. Goal for high-technology (hi-tech) agricultural areas (pursuant to Decision No. 176/QĐ-TTg dated 29/01/2010 by Governmental Prime Minister)

    3. An overview of technological and technical issues of hi-tech areas

    4. Development of domestic hi-tech areas

    5. How’s to do Agri business in VN?

  • • The biggest economic centre, culture, education, science and technology of Southern key economic zone.

    • Area: approximately 2,000 km2

    with 24 districts, accounting for 0.63% of the national area.

    • Population: around 8 million, accounting for 8.79% of the national population.

    • Weather: 2 seasons, the average annual temperature 27oC.

    HO CHI MINH CITY

    OVERVIEW

  • AN ECONOMIC HUB OF THE NATION

    • Contribute 21,6% to the national GDP, 1/3 national budget

    • Account for 28 % of total exports of goods, 1/2 of international tourists

    • 26% of the total number of FDI investment projects into Vietnam

  • HO CHI MINH’S CITY GDP STRUCTURE

  • Tan Son Nhat Airport

    The biggest airport of Vietnam

    350 Flights

  • HO CHI MINH CITY’S PORT SYSTEM AREA

    80

    2015 2020

    200

    Clearance capacity

    Unit: Million Tonnes (2015)

  • MEKONG DELTA

    TRANSPORTATION SYSTEM IN HO CHI MINH CITY

  • NATIONAL ECONOMIC HUB

    4000

    ha

  • Southern New Urban Area of the City

    Total

    natural

    area:

    7000 ha

    Multifunctio

    nal

    Complex

    Area Population Size:

    500.000 people

  • HO CHI MINH CITY COMMERCE

    >100 TRADE

    CENTRES

    >240 TRADITIONAL

    MARKETS

  • HO CHI MINH CITY TOURISM

    >5 million VISITORS

    • 1.402 HOTELS

    • 37.000 ROOMS

    • 92 HOTELS 3–5 *:

    11.409 ROOMS

  • HEALTH SYSTEM

    >103 HOSPITALS

    >40.000 MEDICAL STAFF

    >9.000 DOCTORS

  • ~75 UNIVERSITIES

    & COLLEGES

    ~700.000 STUDENTS & OVERSEAS

    STUDENTS

    HUMAN RESOURCE IN HO CHI MINH CITY

  • The important economic sector of Vietnam (accounting for 20% GDP, > 40% employment)

    Huge agricultural potentials

    Increasing demand domestically

    Chances of good growth Necessary for investing in and applying technology in cultivation, husbandry, aquaculture and forestry

    Food processing

    Investment in supporting industries: engineering, renewable energy, greenhouse

    Applying IT

    Management: production and supply chain, branding, etc

    Why VN?

  • 1. Goal of hi-tech agricultural areas (Decision 176)

    Goal:

    • Reaching for a comprehensive and modern agriculture with a large volume of production, which are productive, quality, effective, and highly competitive, with a 3.5% growth per year; ensuring national food security in short and long term.

  • Goal of hi-tech agricultural areas

    Objectives 2016 – 2020:

    Having Vietnamese agricultural technology equal to intermediate level in Asian region.

    Creating and producing 2-3 genetically modified plants, 2-3 aquaculture breeds by genetic engineering techniques and biotechnology , recognizing and producing 2-3 hybrid breeds with high productivity and quality for each type of basic plant, animal and aquaculture , and 2-3 new hi-tech processes in each sector;

  • Goal of hi-tech agricultural areas

    Objectives 2016 – 2020:

    • Developing comprehensively hi-tech agriculture, including hi-tech agricultural enterprises, hi-tech agricultural areas, and hi-tech agricultural production areas. By 2020, each province of the major economic area has 7-10 enterprises, 5- agricultural production areas, and each ecological area has 1-3 hi-tech agricultural areas.

  • Goal of hi-tech agricultural areas

    Objectives 2016 - 2020

    • Production value of hi-tech agriculture accounts for 30-35% of total agricultural production of the country

  • Decision No. 1895 dated 17/12/2012 by Prime Minister on approving the development program for hi-tech agriculture

    • Creating and producing 2-3 new breeds for each basic plant, animal, and aquaculture, which are productive, quality, and resilient; 3-4 innovative technologies in each sector; 3-4 advanced technological processes in each sector; 3-4 types of biological outputs; 3-4 types of feed, 2-3 kits, 2-3 types of vaccine, 2-3 types of new equipment and machinery for agricultural production.

  • Decision No. 1895 dated 17/12/2012 by Prime Minister on approving the development program for hi-tech agriculture

    • Production value of hi-tech agriculture accounts for 35% of total agricultural production of the country

    • Developing a system of 200 hi-tech agricultural enterprises in provinces of major economic zones, building 1-2 hi-tech agricultural zones in each agricultural area, and 2-3 hi-tech agricultural areas in each province of major economic zones.

  • Decision No. 1895 dated 17/12/2012 by Prime Minister on approving the development program for hi-tech agriculture

    • Developing a concentrated area for hi-tech agricultural production areas for one or some produce with high quality, productivity, and economic effectiveness.

    • Developing hi-tech services for agriculture, initially founding basic system of hi-tech services for agriculture.

  • 2. Overview of technologies and techniques in hi-tech

    agriculture

  • Applying hi-tech in agriculture

    In cultivation:

    • Applying biotechnology in biological production for agriculture and environment (micro-organism, algae, plants, fungi, etc)

    • Multiplication technology using tissue culture

    • Creating new breeds by gene mutation

    • Hybrid technology using molecular biology

  • Applying hi-tech in agriculture

    • Cultivation without soil: hydroponic, deepen and floating board technology, aeroponics, germination;

    • Using sprinklers with automatic or semi-automatic control systems;

    • Using greenhouses, PE film houses with automatic or semi- automatic control systems

  • Applying hi-tech in agriculture

    In husbandry

    • Embryo cutting technique and improving in vitro fertilization, and frozen embryo, sperm technologies

    • Modern husbandry with assembly line and automatic control system.

    • Producing and using biological products with natural origins to limit the use of antibiotics; producing vaccine

    • Producing biological outputs supporting metabolism such as enzym phytase, cellulase, protease … to use feeds effectively and limit environmental pollution

  • Applying hi-tech in agriculture

    In aquaculture

    • Applying biofloc, biological technology for water treatment, and disease prevention

    • Applying genetic and cell technologies in producing disease-free breeds which are resilient; producing unisexed and threefold breeds; coloring pet fish…

    • Producing and applying equipment and tools for prompt diagnosis of aquaculture diseases.

  • Applying hi-tech in agriculture • In management

    1. Applying ICT in market approach and value chain

    2. Applying ICT in boosting productivity of plants and animals

    3. Applying ICT in risk management

    4. Applying ICT in land management

    5. Applying ICT in improving food safety and origin tracking of agricultural products

  • 3. Current situation of domestic hi-tech agricultural areas

  • Planning

    • 29 hi-tech agricultural areas have been constructed and put into operation and some others are being planned at 12 cities/provinces of 07 economic regions

    • 07 areas have been operating in 07 cities/provinces

    • 22 areas are being planned at 13 cities/provinces

  • Basic functions as per Hi-tech Law

    • 12 areas are planned with 5 functions (research and application, experiment, demonstration, training, and production),

    • 14 areas are