Domestic trade promotion programme: waiting for more distributors

Thua Thien – Hue province has many agricultural villages and they are capable of supplying enough foods and flowers for Hue City and neighbouring provinces. However, local agricultural products are still locked by limited categories, popularity and competitiveness.

Accessing urban zones

Harvesting more than 1.5 million tonnes of vegetables each year, Quang Thanh commune in Quang Dien district is the largest producer of commercial vegetables in Thua Thien – Hue province. With growing sales for restaurants, hotels, supermarkets and consumers in Hue, Quang Thanh vegetables are standing in front of a big chance to deepen its roots in urban zones.

Three years ago, farmers decided to quit old farming practices to adopt new ones with higher possibility of commerciality and quality.

After Hoa Chau Safe Vegetable Purchasing & Processing Company was set up in Quang Thanh district, refresh vegetables are purchased at fields to ensure the premium quality. The company helps pervade the popularity of Quang Thanh vegetables. Each day, the locality sells more than 5 tonnes of fresh vegetables.

As the first farmer in Thua Thien – Hue to shift low-valued vegetables into upmarket products, Mr Nguyen Dinh Dinh – owner of Hoa Chau Safe Vegetable Purchasing & Processing Company – said: “To guarantee business prestige, we always remind farmers of following agricultural code of conducts and never using chemicals, growth stimulants and pesticides for short-term benefits.” At present, Hoa Chau has signed contracts to supply fresh vegetables to many restaurants and supermarkets in Hue.

“The sales of vegetables at Big C – Hue are very quick, estimated at several tonnes a day. To date, we have succeeded in popularity activities. We need to do more to boost efficiency, stabilise prices and expand markets,” Mr Dinh said.

Also according to Mr Dinh, Big C – Hue supermarket will provide a space for Quang Thanh to introduce and sell its products and will help the locality to sell its products in other provinces.

Selling mushrooms outside Thua Thien – Hue

“Mushrooms have become a poverty reliever for 630 households in Phu Luong commune in recent years. Nonetheless, to ensure the sustainable development and stable output of mushrooms, Phu Luong must build up a mushroom processing complex and sell products to enterprises,” said Mr Do Ngoc Lo, Secretary of Party Committee of Phu Luong commune, Phu Vang district.

Phu Luong is the largest producer of mushrooms in Thua Thien – Hue province with an annual output of more than 6,000 tonnes. Phu Luong Agriculture Co-operative No. 1 has registered trademarks for Linh Chi mushroom and other types. Apart from 630 mushroom households, the co-operative employs some 30 local labourers who are paid VND1 to 1.2 million per month.

Revenues from mushrooms reached VND6 billion a year. Phu Luong mushrooms have reached out to Hue, Da Nang and Hanoi but the scale is not as large as expected to ensure stability.

When the supply is excessive, merchants force farmers to sell at dirty low prices. If we had local processing facilities, farmers should not suffer such a disadvantage,” said Nguyen Chuc, a local farmer.

Mr Do Ngoc Lo said the stable market for Phu Luong mushrooms remains a hard work to be done. To develop and seek stable markets, Phu Luong commune is investing machines to process mushrooms, improve product quality and send products to outside markets.

Tags: Vietnam retail market