Food & Agriculture Update: Thai Government Combats Rice Glut

Food & Agriculture Update | February 5, 2015
Authors: Sunita Kapoor, Hai Pham, Robert Hutton
 
LOOKING AHEAD
 
 
 
THE COUNCIL'S TAKE
 
 
  • On January 23, Thailand’s Parliament voted 190 to 18 to impeach former Prime Minister Yingluck Shinawatra over her role in the government’s contentious rice subsidy scheme. According to Thailand’s Finance Ministry, rice subsidy programs have cost the country about US$20 billion since 2004, with over 75% of the losses incurred under the Yingluck administration. At the program’s height in 2011, Yingluck’s Pheu Thai Party (PTP) offered farmers up to US$458 per ton of un-milled rice, with no limit on pledged amounts. The grain was then warehoused in a bid to drive up global prices and boost domestic spending and income. While the scheme handed the PTP a sweeping electoral victory due to support from Thailand’s agrarian north and northeast, it proved fiscally disastrous. Instead of rising, global rice prices fell when India returned to the export market after a long absence, and the PTP began running low on funds to support the subsidy programs. The military-led government pledged to end the country’s “culture of subsidies,” and now says it will cut rice production and sell the country’s 17.8 million ton stockpile to drive up prices. Like the civilian governments that preceded it, however, the military confronts a practice that has become an indelible part of Thai politics. General-turned-Prime Minister Prayuth Chan-Ocha has been compelled to implement populist agricultural policies of his own. If the Thai government persists in subsidizing noncompetitive industries, they will become wholly dependent on government handouts, and it will become increasingly difficult for the country to effect economic reform. In the interim, the government’s plan will likely contribute to lower food costs throughout the region, as well as a decline in the domestic use of fertilizer.
     
  • Myanmar’s Food and Drug Administration announced its plans to redraft and update the 1997 National Food Law (NFL). The government wants the redraft to reflect better safety and quality control standards for food, as the current procedures and policies of the law are either outdated or irrelevant. In the announcement, the Director General of the Food and Drug Administration, Myint Han stated, “we are planning to redraft the NFL in February. We expect more systematic procedures for safety and quality control from the new law.” In its current form, the NFL lacks an enforcement mechanism, which makes it difficult to pursue legal action against food manufacturers who do not comply with safety standards.
 
IN THIS UPDATE
 
 
Cambodia
CNRP calls for government intervention in agriculture
US-chain Hooters eyes Cambodia

Indonesia
Local food franchises optimistic amid foreign chain competition
Govt to seek lower duties on fishery products
Minimart Booze Ban to Be Enforced From Mid-April, Trade Ministry Says
Indonesian government to build 10 new sugar factories
RI bans some apples from US
Susi defends transshipment ban, set to issue guidelines
Jakarta to Work With Regulator, Market Operator to End Sales of Hazardous Items
Brazilian Meats Processor BRF Looks to Expand in Asia
Wilmar Opens Palm Oil Supply Chain to Scrutiny
State Enterprise to Import Japanese Wagyu Beef
Indonesia sees higher agricultural output in 2015
Indonesia food and beverage exports seen up 15-20 pct this year-Investor Daily

Malaysia
MOA To Aims To Increase Agricultural Yield By 10 Per Cent This Year
Agriculture Minister Told To Resign Over Racist Remark
Reduce food prices now, traders told
Malaysia imposes new citrus import protocols
US Gala, Granny Smith apples now barred from Malaysia
Flood aftermath may see Malaysian palm output drop again in January
Pitas Shrimp Park needs EIA
Agrofood disaster relief fund needs more allocation, says Ismail Sabri
Zero duty for CPO likely to be extended

Myanmar
Farmers counting on inventory credit
Burma to redraft food manufacturing laws
WTO pushes for compliance in agriculture
Building agricultural sector key for Myanmar development: OECD
Land-use policy to benefit farmers in land disputes
Nine firms to begin exporting rice to China
Food Safety Committee Steps Up to the Plate

Philippines
Credit Key to Agriculture
Agriculture emerges from slump
Govt alerts ports against US apples
Philippines plans to bring in up to 500,000 tons rice
Agriculture-related investments boost Davao del Norte
DA lists priorities for agribusiness in 2015
Sugar agency opposes 10% tax on soft drinks
Gov’t, private sector urged to invest more in the food sector

Singapore
Hygiene lapses by food operators taken ‘very seriously’: Vivian Balakrishnan
New subsidy scheme for food operators using healthier ingredients

Thailand
Rice prices in Thailand, Vietnam fall
F&N, Nestle extend dairy brand licence for 22 years
Thai Union looks to net more seafood tie-ups
Thai Junta to Cut Rice Crop to Combat Glut as Reserves Sold
F&N to invest RM32.89m to expand in Thailand
Pizza Hut aims to more than double Thai outlets in 5 years
Rice production seen at 27.1m tonnes
Fair deal for rice farmers
Oil price drop pulls crop prices down
Smuggled carcasses, meat destroyed
Thailand off-season rice crop to fall 30 pct on yr as drought hits
Government urged to boost farm product prices
Crop zoning has both supporters and detractors

Vietnam
Vietnam provides WEF with experience in agricultural development, food security
Efficient rice farming to curb emissions
Vietnam to export 240,000 tons of rice to Malaysia
Vietnam’s Shrimp King Courts Foreign Investors to Expand
Foreign firms hold beverage aces
IT companies transforming outdated farm sector
No listeria-tainted apples imported into Vietnam: watchdog
Wave of bankruptcy of seafood producers
U.S. donors offer $150,000 to improve gender equality, education for Vietnam's rural children
Cocoa growth fails expectations
Ministry steps in on dairy dispute
Vietnam’s reliance on imports in agriculture leaves less profit for farmers
Vietnam launches Zero Hunger Challenge
VN aims to increase rice exports
Farming sector to ramp up exports in new year
Sugar, poultry egg imports to rise in 2015
Vietnam needs to develop a national rice brand
Coffee growers in Vietnam curb sales as production drops
Agricultural privatization to be sped up
Indonesian firm to invest US$40 million in Vietnam’s food industry
Vietnamese veggies, seafood contribute to 2014 trade surplus
Seafood exports forecast to top $8b mark in 2015
Better standards help lift fruit, vegetable exports
 
ARTICLE CLIPS
 
 
Cambodia

CNRP calls for government intervention in agriculture The Phnom Penh Post 29th Jan 2015
The opposition Cambodia National Rescue Party has called on the government to intervene in the softening prices of Cambodian agricultural commodities. In a letter passed to Prime Minister Hun Sen on Tuesday, via National Assembly president Heng Samrin, a group of opposition lawmakers has raised concerns over the impact falling prices of products such as rice, rubber and mung beans are having on the livelihoods of Cambodian farmers. “The fall of prices of Cambodian commodities at this time is due to lower price offers from middlemen without any ministry intervening,” the letter said. “This issue is making farmers lose out and is seriously affecting people’s living condition,” the letter continues. The letter said that prices fetched for local products were notably lower than in recent years and were less than that of prices paid for the same products in neighbouring countries.

US-chain Hooters eyes Cambodia PPP 23rd Jan 2015
Hot on the heels of its success in Thailand, American restaurant chain Hooters says it will expand its presence throughout Southeast Asia, including Cambodia. Hooters, an Atlanta-based restaurant chain known largely for its chicken wings and scantily clad female waitresses, says its Thailand-based franchisee Destination Resorts Co is committing to “broad-based expansion” across Asia. “The moment the doors opened to Hooters Phuket we realised the tremendous opportunity to greatly broaden our efforts to develop the Hooters brand across Asia,” said Gary Murray, CEO of Destination Resorts Co, in a statement. The franchisee has its eyes on almost every ASEAN country, from Cambodia, Myanmar, and Laos to the conservative, majority-Muslim, nations of Indonesia and Malaysia. Destination Resorts Co, which set up a Hooters in Phuket’s Patong town just under a year ago, says it will now “dedicate significant capital” to expand, beginning with Thailand and then moving on to Hong Kong and the Philippines. But for the Hooters’ brand, success in Cambodia is far from a sure bet. Mike Chenda Im, the owner of popular American-style burger joint Mike’s Burger House in Phnom Penh, said Cambodia’s conservative culture could prove to be a hurdle. “Last time I heard, the wife of the prime minister was against wearing shorts, and at Hooters, they gotta wear really short shorts,” he said. “Guys are going to like that, but I think in Thailand, they’re more open.” Ministry of Commerce spokesman Ken Ratha did not respond to a request for comment.

Indonesia

Local food franchises optimistic amid foreign chain competition The Jakarta Post 3rd Feb 2015
Local food chains are maintaining a positive outlook for their businesses amid the plans of a handful of food franchises from neighboring countries to cash in on the Indonesian market ahead of the ASEAN Economic Community (AEC), which is slated to begin at the end of this year. Indonesian food chains Kebab Baba Rafi, Es Teler 77 and Amazy are among local food franchisors that are giving positive signals for foreign franchises to enter the country, saying that competition was normal and that the open market would also help them to expand overseas. The Philippines’ restaurant chain Jollibee Foods Corp. (JFC) and Malaysian retail conglomerate Texchem Resources Bhd. are among those confirmed to open restaurants — burger and Japanese food — in Indonesia.

Govt to seek lower duties on fishery products The Jakarta Post 29th Jan 2015
The Trade Ministry will request that some major trading partners lower import duties for several Indonesian fishery products in a bid to set more competitive prices to help the country achieve its target of tripling exports by 2019. Trade Minister Rachmat Gobel said Tuesday that his office would bring up this issue in a series of negotiations with Japan and the European Union (EU). The 7 percent import duty on Indonesian fishery products was a concern raised during recent bilateral talks between the trade minister and his Japanese counterpart Economic, Trade and Industry Minister Yoichi Miyazawa on an economic partnership agreement sealed by both countries.

Minimart Booze Ban to Be Enforced From Mid-April, Trade Ministry Says Jakarta Globe 28th Jan 2015
A new regulation which bans beers and pre-mixed drinks from being sold in the country’s ubiquitous minimarts will be enforced three months from mid-April, Trade Minister Rachmat Gobel said in a press conference on Wednesday. Gobel said according to the regulation he signed on Jan. 16, the government will ban the sale of beverages with an alcohol content up to 5 percent level, including beers and pre-mixed drinks, in mini-markets, such as Indomaret, Alfamart, Circle K and 7-11. The minimarts have been given a grace period of three months from when the regulation was signed, effectively outlawing the sales from April 16. “The trade ministry issued this regulation to ensure the future of our youth,” said Rachmat, whose family controls Gobel Group, a conglomerate with a variety of businesses spanning from manufacturing, logistics, trading, hospitality to industrial catering.

Indonesian government to build 10 new sugar factories ANTARA 28th Jan 2015
The agriculture ministry would build 10 new sugar factories to reduce imports of raw sugar and to create self sufficiency in the supply of the commodity. "We already have 350,000 hectares of lands in Kalimantan and Sulawesi, where we will open sugar plantations and built sugar mills," Agriculture Minister Amran Sulaiman said on January 28.

RI bans some apples from US The Jakarta Post 27th Jan 2015
Indonesia banned the import of two types of apples from California, the US, on Monday, as they allegedly contained harmful Listeria bacteria. The apples — Gala and Granny Smith — distributed by Bidart Bros. of Bakersfield’s packing house, have triggered a Listeria outbreak across 11 states in the US that killed three and caused illness in 28 people.

Susi defends transshipment ban, set to issue guidelines The Jakarta Post 27th Jan 2015
Maritime Affairs and Fisheries Minister Susi Pudjiastuti has defended a ministerial regulation on the banning of transshipment, despite protests from the business community and the House of Representatives. While Ministerial Regulation No. 57/2014 aims to curb illegal, unreported and unregulated (IUU) fishing, the rules are a severe blow for local fishermen. The minister said she would issue guidelines that would allow local fishermen to keep practicing transshipment and bring their catches from fishing sites to a public landing port with verification authority. She emphasized that local business players would have to be willing to be verified and have their vessels recorded by the Maritime Affairs and Fisheries Ministry in exchange for being able to continue the practice.

Jakarta to Work With Regulator, Market Operator to End Sales of Hazardous Items Jakarta Globe 27th Jan 2015
The Jakarta administration plans to sign an agreement with the Food and Drug Monitoring Agency, or BPOM, and city-run market operator PD Pasar Jaya to tackle the sale of products with hazardous ingredients. “If a vendor at a market is found selling items containing dangerous chemicals, they will be kicked out of the market,” Jakarta Governor Basuki Tjahaja Purnama said at City Hall on Tuesday, as quoted by Detik.com. “We also will withdraw a factory’s permit if it’s found to be using dangerous chemicals in the production process,” he added. Basuki said the move was part of city administration’s bid to curb the sale of food, beverages and cosmetics that contain hazardous or toxic chemicals.

Brazilian Meats Processor BRF Looks to Expand in Asia Reuters 23rd Jan 2015
Brazil's BRF SA, the world's biggest chicken exporter, aims to expand further into Asia by building on a recent Indonesian joint venture with more partnerships and acquisitions, Marcos Jank, BRF's Head of Corporate Affairs said. He singled out China, Indonesia, India, Malaysia and Thailand as potential markets.

Wilmar Opens Palm Oil Supply Chain to Scrutiny The Jakarta Globe 22nd Jan 2015
Wilmar International Ltd., the world’s largest palm oil processor, opened its supply chains to outside scrutiny on Thursday in what environmentalists called an unprecedented step to help safeguard tropical forests. Singapore-based Wilmar said it would give outsiders, from customers to environmentalists worried about deforestation, access to online maps showing where it buys palm oil at more than 800 mills in Indonesia and Malaysia.

State Enterprise to Import Japanese Wagyu Beef TEMPO 21st Jan 2015
Indonesia is re-importing Japanese wagyu beef after having ceased it for 13 years. The beef will be supplied by one of the suppliers in Japan and two Indonesian importers—one of them a state-owned company.

Indonesia sees higher agricultural output in 2015 Reuters 21st Jan 2015
Indonesia expects unmilled rice production to rise to 73.4 million tonnes this year, from an estimated 70.61 million tonnes in 2014, the agriculture minister told parliament on Wednesday. The minister Amran Sulaiman expects rice output to reach 82.09 million tonnes by 2019. He sees corn production this year at 20.33 million tonnes, compared to 19.13 million tonnes estimated for last year. Soybean output will reach 1.27 million tonnes, versus 0.92 million projected for last year, while sugar production would be at 2.97 million tonnes versus an estimated 2.63 million tonnes for 2014, Sulaiman said.

Indonesia food and beverage exports seen up 15-20 pct this year-Investor Daily Reuters 18th Jan 2015
The Indonesian food and beverage association (Gapmmi) sees exports of food and beverage products rising 15 to 20 percent this year to $5.75-$6 billion, compared with exports of $5 billion last year, as the global economy continues to recover, Investor Daily reported, quoting Chairman Adhi Lukman.

Malaysia

MOA To Aims To Increase Agricultural Yield By 10 Per Cent This Year Bermana 26th Jan 2015
The Agriculture and Agro-based Industry Ministry (MOA) is to focus on raising agricultural, livestock and fisheries yields by at least 10 per cent this year. Minister Datuk Seri Ismail Sabri Yaakob said this would increase the incomes of those involved in the industry, and would reduce the dependence on imported food and foodstuff. He said the country now imported food and foodstuff worth around RM30 billion per year, and the amount would likely rise due to the weakening of the ringgit compared to the US dollar.

Agriculture Minister Told To Resign Over Racist Remark The Malaysian Reserve 3rd Feb 2015
The minister of Agriculture and Agro-based Industries had been pressured by an Opposition leader to resign following his statement asking Malays to boycott Chinese businesses, a remark that was not taken lightly and considered racist by many. DAP deputy secretary-general Ngeh Koo Ham who was labeled as 'anti-Islam' by the minister Datuk Seri Ismail Sabri Yaakob said that he (Ismail) needs to be sacked from the government for uttering racial remarks by asking Malays to boycott Chinese businesses. In a press statement today, the Beruas MP also revealed that Ismail's allegation of him having shares in the OldTown White Coffee chain was only a lie adding that he had never owned any shares in the coffee franchise. Ngeh who himself had been in the centre of racial controversies before added that the coffee chain had an outstanding Malay shareholders. “The minister should at least get his facts right. I never have any shares in the company and furthermore the company has outstanding Malay shareholders. He should be sacked from the government and is a threat to the nation as he was willing to lie to avoid owning up to what he said. I cannot see how these shareholders can be ‘Chinese’ as described by Datuk Seri Ismail Sabri Yaakob," Ngeh said in a press statement. Ismail in his Facebook post urged Malay consumers to boycott Chinese traders who refused to lower down the prices of goods.

Reduce food prices now, traders told The Star 2nd Feb 2015
Operators of restaurants and food outlets should reduce their prices, now that fuel costs have dropped considerably, says Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Hasan Malek. He said the retail price of RON95, for example, had gone down by almost 56 sen from the end of last year, to RM1.70 per litre. Since yesterday, the price of diesel had also dropped to RM1.70 while RON97 is now being sold at RM2.00. Hasan said it was about time that food outlet operators, traders involved in the food supply business and other players in the industry provide the best deals for the people.

Malaysia imposes new citrus import protocols Customs Today 26th Jan 2015
Shipments of citrus to Malaysia will now have to comply with phytosanitary requirements following amendments to citrus import protocols as of 1 January 2015. The Malaysian Department of Agriculture (DOA) has introduced new regulations, changing Malaysia from a non-protocol state for fruit exports, in order to step up protection against fruit fly and citrus greening. The new protocols affect shipments from leading citrus exporters to Malaysia including the US, South Africa, Egypt and Australia. Other nations affected are Argentina, China, Spain, Turkey, France, India, Taiwan, Vietnam, Cyprus, Italy and Thailand. All other citrus exporters will need to submit an application for import approval by the DOA.

US Gala, Granny Smith apples now barred from Malaysia The Star 17th Jan 2015
The Ministry of Agriculture and Agro-based Industry has barred the entry of Gala and Granny Smith apples from the United States into Malaysia. According to Agriculture and Agro-based Industry Minister Datuk Seri Ismail Sabri Yaakob, this is because the apples are suspected to be contaminated with listeriosis bacteria. He said the restriction was imposed by the Department of Malaysian Quarantine Inspection Services (Maqis) after the Ministry received a notice on the contamination two days ago. "We received a US Food and Drug Administration notice informing us about the contamination and it is understood that it has caused three deaths in the US and Canada," said Ismail Sabri.

Flood aftermath may see Malaysian palm output drop again in January The Malaysian Insider 14th Jan 2015
Palm oil output in Malaysia may fall further this month as the aftermath of monsoon flooding takes its toll on yields that are already low for seasonal reasons, while growers East Malaysia were now braced for the monsoon, which has shifted to that region. Malaysia's weather office forecast better conditions over the peninsular region in the coming week, dispelling fears of a fresh wave of flooding in the coastal states of Kelantan, Terengganu and Pahang, which were hardest hit by last month's rain. "There is no monsoon surge expected over the next seven days. In general, the weather is getting better and more sunny in Peninsular Malaysia," said Ambun Dindang from the Malaysian Meteorological Department.

Pitas Shrimp Park needs EIA The Star 12th Jan 2015
Environmentalists are pressing for an Environmental Impact Assessment (EIA) before the Pitas Shrimp Park project at a mangrove swamp area in northern Sabah proceeds. “As far as we are aware, this project has not had its EIA approved,” Sabah Environmental Protection Association (SEPA) president Lanash Thanda claimed. Previous news reports said park, which is also known as the Pitas Aquaculture project, will be Malaysia’s largest prawn farm. In a statement yesterday, Thanda said Sabah’s environmental laws, put in place to safeguard the environment, had been disregarded. The law was clear that there should be no development activities until EIA was approved, she said.

Agrofood disaster relief fund needs more allocation, says Ismail Sabri The Sun Daily 7th Jan 2015
The Agriculture and Agro-based Industry Ministry will apply for additional allocation from the Finance Ministry for its Agrofood Disaster Relief Fund to help farmers and breeders who suffered losses due to flood. Its minister, Datuk Seri Ismail Sabri Yaakob, said the fund, which was set up last year with an initial allocation of RM50 million was insufficient to help those farmers and breeders. "If it was normal flood, the amount is probably sufficient, but for this kind of massive flood, the amount should be doubled, or tripled," he told reporters after launching the ministry's post-flood mission, involving 2,900 volunteers, to help victims in the flood-hit states.

Zero duty for CPO likely to be extended The Star 5th Jan 2015
Palm oil refiners facing a margin squeeze from the recent imposition of the zero crude palm oil (CPO) export tax are bracing for an extension of the zero duty, which is expected to remain up till next month. This is because the threshold price of RM2,250 per tonne for CPO to be taxed is not likely to be breached in the coming months, according to industry experts. Palm Oil Refiners Association of Malaysia (Poram) chief executive officer Mohammad Jaaffar Ahmad told StarBiz that many palm oil refiners were experiencing negative margins, especially “when the zero CPO export duty was declared in Malaysia and Indonesia.” Currently, the differential price of refined, bleached and deodorised (RBD) palm olein over CPO is around RM70 per tonne on average.

Myanmar

Farmers counting on inventory credit Myanmar Times 2nd Feb 2015
Prices in staple crops traditionally vary significantly through the year. Rice, for instance, generally bottoms out in price after the main harvest in November and December, then gradually climbs through the year. Farmers would like to sell their produce at the highest prices possible, but face a number of barriers keeping them from storing the crops until the price is right. Many are forced to sell earlier than they would like as they need to raise capital immediately after harvest in order to pay for debts used to finance the crop. Some non-government organisations are looking to alleviate this problem through inventory credit systems. It will allow farmers to take out a loan from an organisation such as LIFT Myanmar for up to four months with the crops as collateral. The aim, officials say, is to use the fresh capital to pay off the short-term debt while still allowing the farmer to hang on to rice to sell at the optimal time of the year.

Burma to redraft food manufacturing laws Democratic Voice of Burma 26th Jan 2015
The Burmese Ministry of Health’s Food and Drug Administration (FDA) has revealed a plan to re-draft the 1997 National Food Law (NFL), bringing it up to date. The 1997 law, adopted by the State Law and Order Restoration Council in 1997, will be re-written to ensure better safety and quality control of food, drugs and cosmetic products as it is outdated and irrelevant in its current form, according to Dr Myint Han, the FDA director-general. “We are planning to re-draft the NFL in February. We expect more systematic procedures for safety and quality control from the new law,” he said.

WTO pushes for compliance in agriculture The Nation 26th Jan 2015
Myanmar has been urged to focus on six areas, including agriculture, to enable it to become a member of the World Trade Organisation. Among the six areas of priorities that the Myanmar government has been advised to focus on are assistance to formulate regulations; intellectual property regulations; strengthening trade statistics; assistance in completing new legislation on customs valuation and competition policy; and education and awareness activities for consumer protection, according to Willy Alfaro, director of WTO's trade policies review division. Alfaro said that the organisation had included agriculture as an area of notification to the WTO as many members want to know the practices of Myanmar in the agriculture sector. "Our secretariat will send experts next month to guide Myanmar authorities on how to approach these elements," added Alfaro.

Building agricultural sector key for Myanmar development: OECD Thuraswiss 23rd Jan 2015
The Organisation for Economic Cooperation and Development (OECD) has said that Myanmar could further boost its economy by improving its agricultural industry. The Paris -based economic organisation, in its second volume of the Multi -Dimensional Review of Myanmar, said that the country has poor rural infrastructure, insufficient government departments to promote exports, poor farmer skills and low access to finance, all factors that are holding back the agricultural industry. The report said that just 2.5 percent of loans in Myanmar are in the rural sector, despite the fact that the sector accounts for 30 percent of its gross domestic product and employs more than two -thirds of the population. The report also said that the manufacturing industry in Myanmar is held back by corruption, lack of technology and access to land and office space. The report suggested that Myanmar focuses on resolving land rights issues, improving infrastructure and reforming financial systems to “create the right conditions for the wider economy to flourish.”

Land-use policy to benefit farmers in land disputes Myanmar Times 23rd Jan 2015
Existing land disputes will be settled according to a new land-use policy if they are still unresovled by the time a panned National Land Use Law is enacted, according to an official involved in the land reform process. The policy and law will give farmers a better chance of securing the return of their land, he said. The government released a draft of its national land-use policy in October 2014. It is likely to be approved by cabinet in the first half of this year and will be followed by a land-use law, which will base on the policy. The policy, which generally gives stronger land-use rights to smallholder farmers, states that the new law will take precedence over existing land-related legislation.

Nine firms to begin exporting rice to China Thuraswiss 22nd Jan 2015
The Myanmar Rice Federation (MRF) has selected nine local companies who will be allowed to begin exporting rice to China later this year, with plans to allow more companies in the future. U Ye Min Aung, general secretary of the MRF, said that the companies will begin exporting to China at the end of February, but that he expects China to purchase most of the rice from Myanmar between April, May and June, when rice purchasing in China is at its peak. The nine companies allowed to export the product are Myanmar Agribusiness Public Corporation (MAPCO), Myanmar Rice Mill, Golden Land East Asia, Bayintnaung Business Group, Ayeyar Pathein, FRP, Shan (North) SPRDC, MRDC and Rakhine Rice and Paddy, according to a local report. Ye Min Aung said that larger companies will be allowed to export initially, with smaller firms being granted permission later on. Last year, China restricted the amount of rice that could be imported from Myanmar in an attempt to increase the quality of paddy coming out of the country. Myanmar’s rice trade relies heavily on its northern neighbour and the MRF has been in discussions with China for some time to commence trading again

Food Safety Committee Steps Up to the Plate Myanmar Business Today 20th Jan 2015
Myanmar consumers can now send complaints to the Consumer Protection Central Committee if they face problems regarding harmful or immediate negative effects from food products, the committee said. Although the committee has not yet received any complaints, it will look into any claim that arises and deal with those responsible if enough evidence is found, U Win Tint, director of the consumer dispute resolution team told Myanmar Business Today. “Consumers can send complaints if they are not satisfied but they need to provide accurate information such as the time and place of purchase or consuming the product and also the price. If the evidence is sound, actions will follow,” said U Win Tint. After the passing of the Consumer Protection Law in March last year, central committees for consumer dispute resolution have been established in every state and region, he added.

Philippines

Credit Key to Agriculture Inquirer 27th Jan 2015
One of the keys to agricultural development is accessible credit. This was the conclusion arrived at last Jan. 17 of the 10 leaders elected and identified by 200 stakeholders at the AF2025 Conference held on Feb. 10-11, 2011. These leaders are composed of four secretaries from three presidential administrations and six heads of major agriculture and agribusiness organizations. Of the total loans given by the banks in 2013, only 1.9 percent went to farmers and fisherfolk. Because production is more risky than processing and agribusiness, less than 1 percent of this amount went to production.

Agriculture emerges from slump Business World 21st Jan 2015
Better than expected food grain output helped the agriculture sector emerge from a third-quarter slump to a nearly 2% annual growth in 2014, but the last-minute gains might not have been sufficient enough to boost the country’s overall economy at a pace the government had hoped. The Philippine Statistics Authority -- Bureau of Agricultural Statistics (PSA-BAS) reported yesterday that farm output rose 4.48% for the October to December period, recovering from the 2.7% contraction recorded in the third quarter when the country was battered by fierce winds and floods from storms Glenda and Luis.

Govt alerts ports against US apples Manila Standard Today 29th Jan 2015
The Bureau of Plant Industry, an attached agency of the Agriculture Department, said it has intensified measures to prevent the entry of Granny apples contaminated with Listerosis bacteria from the US. The bureau said it alerted all ports of entry in the country to closely monitor the possible entry of the products. The Trade Department, two weeks ago, called for the recall of the shipment from California apple packer Bidart Bros. to the Philippines, after an advisory by the US Food and Drugs Administration alerted the Philippine government of such shipment. The US FDA said exposure to the bacteria might cause Listeriosis, a rare but serious illness that could cause death. It can also cause flu-like symptoms, diarrhea and meningitis.

Philippines plans to bring in up to 500,000 tons rice Business World 27th Jan 2015
The Philippines plans to import up to 500,000 tons of rice for deliveries starting in March to boost its stockpiles ahead of the lean harvest season, government and trade sources said. The state grains procurement agency, National Food Authority (NFA), wants the shipments to arrive in two batches of 200,000 tons and one for 100,000 tons, to be completed by May, a government official with knowledge of the plan told Reuters.

Agriculture-related investments boost Davao del Norte Business World 27th Jan 2015
Industries supporting the agricultural export sector and urban development projects are bringing in some P12 billion worth of investment into Davao del Norte, according to data from the Department of Trade and Industry’s (DTI) provincial office. Romeo L. Castañaga, DTI’s officer-in-charge provincial director, said four of the projects were given incentives, including two private ports, a shopping mall and a housing project. The biggest of these ventures is the P5.724-billion seaport and container yard being developed in the capital Tagum City by Hijo International Port Services, Inc., a firm controlled by International Container Terminal Services, Inc. in partnership with Hijo Resources Corp.

DA lists priorities for agribusiness in 2015 Business World 27th Jan 2015
The Department of Agriculture (DA) has outlined its initiatives for growing the agribusiness sector, focused on improving quality standards to help make Philippine products more competitive. In a statement yesterday, the agency said another priority is to create an efficient business environment to help local farmers increase their earnings. In developing the sector, the DA also cited the need to encourage foreign businessmen to set their sights on the Philippines.

Sugar agency opposes 10% tax on soft drinks Philippine Star 24th Jan 2015
Government agencies are not speaking with one voice on a bill pending in the House of Representatives seeking a 10-percent tax on soft drinks and other sugar-sweetened beverages, including juices and so-called energy boosters. While the Department of Health (DOH) has supported the bill of Nueva Ecija Rep. Estrelita Suansing, the Sugar Regulatory Administration (SRA) has opposed it. In a position paper submitted to the House ways and means committee chaired by Marikina Rep. Romero Federico Quimbo, SRA Administrator Maria Regina Bautista-Martin said the proposed tax “will negatively affect incomes of sugarcane farmers and hamper development plans in the sugar industry.” She said it is most likely that the tax would be passed on to sugar farmers. “Most of our farmers have small farms...Any sugarcane farmer who is raising productivity and improving efficiency to better compete against imported sugar and sugar-containing products and against sugar substitutes like high fructose corn syrup cannot afford to shoulder either directly or indirectly any new tax measure,” she said. She added that the soft drinks industry accounts for six percent of total national demand for sugar.

Gov’t, private sector urged to invest more in the food sector Manila Bulletin 22nd Jan 2015
The Philippine Institute of Development Studies (PIDS) has urged the government and the private sector to work together to generate more investments in the food sector so as to increase the capacity to produce more food. PIDS President Gilberto Llanto stressed the role of government in creating an enabling policy and regulatory environment to encourage investments from the private sector...Rice and corn are the country’s staple crops and the main sources of income of the majority of small farmers. Rice self-sufficiency remains a contentious issue in the country. Three years ago, the government launched the Food Staples Sufficiency Program (FSSP) where food self-sufficiency is envisioned as a scenario where domestic requirements for food, seeds, processing, and feeds are met through local production

Singapore

Hygiene lapses by food operators taken ‘very seriously’: Vivian Balakrishnan Channel NewsAsia 20th Jan 2015
The National Environment Agency (NEA) takes lapses in hygiene by food retail outlets “very seriously”, and will take strict enforcement action against errant operators, Minister for the Environment and Water Resources Dr Vivian Balakrishnan said on Monday (Jan 19). In a written answer to Parliamentary questions from MPs Lee Bee Wah and Patrick Tay Teck Guan about the case of a boy who died after consuming food from a food stall last year, Dr Balakrishnan detailed the actions taken against the stall. According to Dr Balakrishnan, NEA was notified of the episode on Jan 24, 2014, and conducted an inspection of the food stall jointly with the Ministry of Health on the same day. For public health safety, the stall’s licence was suspended on the day.

New subsidy scheme for food operators using healthier ingredients Channel NewsAsia 19th Jan 2015
The Health Promotion Board (HPB) has introduced a subsidy scheme for food suppliers selling healthy food to stalls aimed at improving the quality of Singaporeans' diet. Announcing the scheme, HPB said it hopes to increase the availability of healthier meals and encourage consumers to reduce their intake of saturated fats and to opt for whole-grain products. The Healthier Ingredient Subsidy scheme will enable food ingredient suppliers and their distributors to sell healthier oil and whole-grain products at a price comparable to that of regular ingredients. HPB is first focusing on the quality of oil used, by encouraging the use of healthier oil with a saturated fat level of not higher than 35 per cent. Regular oil consists of 45-50 per cent saturated fat but is widely used because it is cheaper than healthier oil.

Thailand

Rice prices in Thailand, Vietnam fall Business Recorder 25th Jan 2015
Rice prices in Thailand and Vietnam fell this week under rising supply pressure, with the Thai government planning a major tender next week and Vietnam set to harvest its main crop from late February, traders said on Wednesday. Thailand, which last year toppled India to regain its position as the world's largest rice exporter, will harvest its off-season crop in March, also pressuring prices. Thai benchmark 5-percent broken rice stood at $405-$416 a tonne free-on-board (FOB) on Wednesday, with the old grain from government stocks standing at $405 a tonne and new-crop grain at $416, against the $410-$420 range in place since November. A team has been put together to ensure off-season rice prices do not fall lower than they did last year, Commerce Minister Chatchai Sarikalya said on Wednesday, adding that he would consider introducing new measures to help farmers if prices plunge.

F&N, Nestle extend dairy brand licence for 22 years The Nation 23rd Jan 2015
Malaysia-based Fraser & Neave (F&N) Holdings and its dairy subsidiaries have renewed for 22 years the licence for Nestle's liquid-milk brands, making Thailand a production hub for Asean and China. Under the agreement, F&N will continue to manufacture and distribute Carnation, Bear Brand, Bear Brand Gold, Ideal Milk and Milkmaid in Singapore, Thailand, Malaysia, Brunei and Laos, until 2037. The new deal is also to secure business expansion over the next two decades as well as to enter emerging markets such as Myanmar, China, Cambodia, and Laos.

Thai Union looks to net more seafood tie-ups FT 1st Feb 2015
Thai Union Frozen Products plans to reel in more western seafood brands in the latest phase of the expanding global voyage of the Southeast Asian country’s ambitious consumer industries. The Bangkok-based shrimp-to-smoked salmon group aims to woo more company owners who want out of the fragmented US and European processed fish markets, where it snapped up companies spread from the California coast to the fiords of Norway during an acquisition spree last year.

Thai Junta to Cut Rice Crop to Combat Glut as Reserves Sold Bloomberg 1st Feb 2015
Thailand, the world’s biggest rice exporter, plans to cut production to reduce a local surplus and boost prices, complementing a drive by the government to sell record stockpiles that are clogging warehouses nationwide. Rough-rice output may be cut to 33.73 million metric tons by 2016-2017, down from an average of 35.11 million over the past six years, according to Apichart Pongsrihadulchai, vice farm minister. Growers will be encouraged with incentives including soft loans to shift from rice to sugar cane or to mixed farming with livestock, Apichart said in an interview. Thai authorities, led by military-leader-turned-prime minister Prayuth Chan-Ocha, are grappling with the legacy of the previous government’s rice-buying policy. Yingluck Shinawatra’s administration paid rice growers guaranteed, above-market prices for their crop, spurring increased production and the buildup of the country’s biggest ever stockpiles.

F&N to invest RM32.89m to expand in Thailand Malay Mail Online 20th Jan 2015
Fraser & Neave Holdings Bhd (F&N) has set aside 300 million baht (RM32.89 million) in capital expenditure (capex) to support the double-digit revenue growth of its Thai dairy division.

Pizza Hut aims to more than double Thai outlets in 5 years The Nation 17th Jan 2015
Pizza Hut in Thailand has set a five-year strategy to more than double the number of its restaurants and to achieve annual double-digit growth in revenue. "We want to more than double the number of our Pizza Hut stores in Thailand in the next five years. We will invest more than half a billion baht in our five-year expansion," said Sabina Rizvi the new general manager for Pizza Hut Thailand, adding that about 70 per cent of the expansion would be in delivery outlets.

Fair deal for rice farmers Bangkok Post 15th Jan 2015
BAAC president says new scheme is better at helping small operators. While a fierce debate is raging over whether the government's rice subsidy is more effective than the rice-pledging policy initiated by the Yingluck Shinawatra administration, at least the cash giveaways have proved a better method of passing on subsidies to needy farmers. About 60% of the government's 40-billion-baht handout has been given to farmers in the Northeast and upper North who are poorer than those in other regions.

Oil price drop pulls crop prices down The Nation 14th Jan 2015
THE BANK for Agriculture and Agricultural Cooperatives (BAAC) is ready to help the government extend up to Bt200 billion this year to help farmers whose crop prices, especially for rubber and palm oil, have been weakened further by the sharp fall in crude-oil prices. Meanwhile, the bank says its special savings bonds that went on sale yesterday had been well received by investors, increasing the likelihood of a second bond issue.

Smuggled carcasses, meat destroyed MCOT 13th Jan 2015
The Department of Livestock Development burnt 85 tons of smuggled carcasses and meat to control diseases and maintain the standard of Thai imports and exports. The destruction took place on January 12 at a livestock department facity in Pathum Thani's Bang Kradi sub-district. Government agencies including the Department of Livestock Development and the Customs Department seized the smuggled goods during November and December last year. They consisted of 13 tons of pig kidneys from the Netherlands, 23 tons of liver from South Korea and 49 tons of inner organs of cows from India.

Thailand off-season rice crop to fall 30 pct on yr as drought hits Reuters 8th Jan 2015
Drought will cut major rice exporter Thailand's 2015 off-season crop by over 30 percent, according to the latest report from the Office of Agricultural Economics. Thailand is one of the world's top three rice exporters but the smaller harvest is unlikely to have a big impact on global prices, which are under pressure from still large stockpiles in Thailand and bumper output in rival exporters India and Vietnam. The expected decline in production, however, could provide a floor under the local market RI-THBKN5-P1, where prices slid 5 percent in the last quarter.

Government urged to boost farm product prices Bangkok Post 7th Jan 2015
Business leaders are urging the government to introduce a scheme for the agriculture sector aimed at boosting farm product prices to increase the purchasing power of a vast part of the population. The Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) suggested at its first monthly meeting that the farm sector urgently needs government assistance. Supant Mongkolsuthree, chairman of the Federation of Thai Industries, which is a member of the committee, said the immediate task the government needs to tackle in the first three months of this year is the sluggish trend of farm product prices.

Crop zoning has both supporters and detractors The Nation 6th Jan 2015
Zoning may not be a perfect answer for the agricultural revolution as hard and soft infrastructure needs to be prepared to support the supply chain, while market demand varies in each area. However, zoning could be done on a voluntary basis if each area could support the planting, production and distribution of a particular crop effectively. Zoning became one of the hot topics this past year after the prices of rice and rubber tumbled because of oversupply. There were discussions on the pros and cons of the zoning policy, since it could totally change the country's agricultural trend in the future.

Vietnam

Vietnam provides WEF with experience in agricultural development, food security Tuoi Tre News 26th Jan 2015
A Vietnamese delegation, led by Deputy Prime Minister Pham Binh Minh, shared the country’s experience in sustainable agricultural development and protection of food security at a dialogue on Global Agenda for Food Security, a part of the recent 2015 World Economic Forum (WEF 2015) in Switzerland. During the two-day WEF that closed last Friday, the delegation talked about experience in implementing the “New Vision for Agriculture” initiative through public-private partnership to call for businesses’ investment in agriculture, according to the Vietnam News Agency.

Efficient rice farming to curb emissions VietNamNet 25th Jan 2015
New water- and cost-efficient farming techniques will allow Viet Nam to reduce greenhouse gas emissions in wet rice production by 15 to 20 per cent by 2020, said Mai Van Trinh, director of the Ministry of Agriculture and Rural Development's Institute for Agricultural Environment. Trinh spoke at a conference held on Jan 24 on the first phase of the Project on Reduced CH4 Emissions in Wet Rice Cultivation in Viet Nam. Trinh's institute and the Manila-based International Rice Research Institute held the event on Friday, Jan 23, in Ha Noi.

Vietnam to export 240,000 tons of rice to Malaysia Thanh Nien News 3rd Feb 2015
Vietnam will sell 240,000 tons of five-percent-broken rice to Malaysia, local media reported Tuesday. The rice will begin arriving in April, according to Lam Anh Tuan, director of Thinh Phat Company. The firm, based in the Mekong Delta province of Ben Tre, is one of many that will help fill the contract. Tuan told Thoi Bao Kinh Te Saigon Online that the recent deal would prove more lucrative than prior foreign contracts, but declined to disclose specific numbers. Oryza, an international journal on rice science, cited unidentified Vietnamese exporters as estimating that the deal was struck at around US$385 per ton. Vietnam’s five-percent broken rice price hit roughly $360 per ton toward the end of last week, compared to $405 per ton being paid for Thai rice, $400 per ton being paid for Indian rice, $415 per ton for Burmese rice, and $360 per ton for Pakistani rice, according to Oryza.

Vietnam’s Shrimp King Courts Foreign Investors to Expand Bloomberg 28th Jan 2015
Minh Phu Seafood Corp., which sells black tiger shrimp to Costco Wholesale Corp. and Wal-Mart Stores Inc., will seek to sell half of itself to foreign strategic investors to help fund overseas expansion. Vietnam’s largest seafood exporter by value aims to complete the stake sales this year after it gets approval to delist from the Ho Chi Minh City Stock Exchange this quarter, Chief Executive Officer Le Van Quang said in an interview. The company forecasts net income will jump 55 percent to 1.416 trillion dong ($66 million) this year, with sales reaching $1 billion, mainly from exports, he said. “We’re looking for strategic foreign investors to help maximize our advantages and potential as our goal is to become a global shrimp company by 2020,” Quang, dubbed the “king of shrimp” by local media, said in an interview Jan. 24 in the Mekong delta province of Hau Giang.

Foreign firms hold beverage aces Viet Nam News 28th Jan 2015
The domestic beverage market has seen fierce competition as nearly half the market share last year belonged to foreign firms. Chairman of the Tan Hiep Phat Beverage Group Tran Quy Thanh told a conference, held in Ha Noi last week to review the sector's business results and launch tasks for 2015, that the market shares of Vietnamese beverage enterprises have fallen after periods of strong development. Thanh added that domestic businesses faced challenges in the market mechanism and international integration. "The non-alcohol beverage sector has seen yearly double-digit growth rate of 13 per cent in the 2011-14 period. The growth is expected to be 20 per cent in the 2015-19 period," he said. Statistics from the Viet Nam Beverage Association showed that last year, the market was worth VND77.5 trillion (US$3.64 billion), posting a nine per cent year-on-year increase.

IT companies transforming outdated farm sector Nikkei Asian Review 24th Jan 2015
Information technology companies in this country are launching agriculture support services to help farmers increase their crop yields by streamlining and modernizing the country's old-fashioned farming methods. Of Vietnam's population of some 90 million, 68% were farmers as of 2013. In 2014, the value of the country's agricultural production reached 617 trillion dong ($28.8 billion), up 2.9% on the year. The Vietnamese government this year plans to review its master plan for promoting agriculture and is believed to include the modernization of agriculture and fisheries as a major issue.

No listeria-tainted apples imported into Vietnam: watchdog Tuoi Tre News 22nd Jan 2015
No contaminated apples or caramel apples being recalled in the U.S. have been found in Vietnam so far, the Vietnam Food Administration (VFA) said Wednesday...The products have poisoned or killed several people in the U.S. over the last month. The announcement was released as an update of another VFA post on Tuesday, which said the administration would order a recall if the tainted apples have been imported into Vietnam. The move came after the Vietnamese watchdog was warned about the contaminated products by the International Food Safety Authorities Network (INFOSAN). INFOSAN said four companies in the U.S. have recalled the contaminated fruits after the bacterium listeria monocytogenes, which causes listeriosis, was found in apples processed at a facility in Shafter, California.

Wave of bankruptcy of seafood producers VietnamNet 22nd Jan 2015
Many seafood processing companies in southwestern provinces of Vietnam have gone bankrupt, resulting in the instability of the largest aquaculture area of the country. In late 2014, many more bosses of seafood processing firms in the region were arrested for investigations of "swindling appropriate assets"...Ms. Truong Thi Le Khanh, Chair of Vinh Hoan Seafood, one of the 10 richest people in the stock market, said that easy credit had hurt the catfish industry in particular and seafood sector in general. The overheated development of the seafood processing sector and the anticipation of price increases encouraged many firms to borrow bank loans to breed and process fish for export. When the market was in a state of oversupply and export markets were in trouble, they failed to pay debts and interest.

U.S. donors offer $150,000 to improve gender equality, education for Vietnam's rural children Tuoitre News 17th Jan 2015
The U.S. group Monsanto and the US.-based Room to Read has announced a cooperation program worth VND3.2 billion (roughly US$150,000) to improve education and gender equality for children of farmers in Vietnam. The Monsanto group is a giant in the agriculture business while Room to Read is an international non-government organization operating in the field of offering education support. The joint program of the two organizations is expected to help improve the ability and love of reading among students at the elementary level through the establishment of libraries and book publishers.

Cocoa growth fails expectations Viet Nam News 16th Jan 2015
Agricultural officials, farmers and business executives discussed the state of the cocoa industry and measures needed to further expansion at a seminar held in HCM City on Jan 15. Dinh Hai Lam, cocoa development manager at Mars Incorporated, said the development of the cocoa industry had not reached expectations, and that its expansion had occurred mostly due to the support of non-government organisations (NGOs) and projects involved in eliminating hunger and reducing poverty.

Ministry steps in on dairy dispute Viet Nam News 16th Jan 2015
The Ministry of Agriculture and Rural Development (MARD) on Jan 15 ordered local departments to ensure that dairy companies honored contracts with farmers. "Dairy companies should sit down and talk with farmers to reach mutual understanding about problems experienced by both sides. In the meantime, they must honour the contracts they have signed," said Hoang Thanh Van, head of MARD's Department of Livestock Production.

Vietnam’s reliance on imports in agriculture leaves less profit for farmers VietNamNet 15th Jan 2015
Vietnam had a bumper 2014 with bountiful crops and high farm produce export prices, but farmers believe there is nothing to be happy about. Analysts noted that though the production value and export turnover were high, the money farmers could pocket was modest. The problem lies in the fact that Vietnam had to import many kinds of raw materials. A report by the Ministry of Agriculture and Rural Development (MARD) showed that the total farm, forestry and seafood produce import turnover in the first 11 months of 2014 reached $19.78 billion, of which the majority were agricultural materials.

Vietnam launches Zero Hunger Challenge Voice of Vietnam 14th Jan 2015
Prime Minister Nguyen Tan Dung, with the collaboration and support of the United Nations, has launched a national Zero Hunger Challenge, a major initiative to eradicate hunger in the country by 2025. At the launching ceremony on January 14 in Hanoi, PM Dung applauded the National Zero Hunger Challenge (NZHC) launched by the United Nations Secretary General Ban Ki-moon in June 2012. The PM underscored that in the world, daily 805 million of people now live in hunger and that more than 160 million children under 5-years-old suffer from malnutrition and about 2 billion people lack basic essential nutrients.

VN aims to increase rice exports Viet Nam News 13th Jan 2015
Viet Nam will focus on Africa, West and South Asian markets to boost rice exports amidst harsh competition anticipated this year, according to the Ministry of Industry and Trade. Those markets saw rising demands for rice, the ministry's Department of Africa, Western and Southern Asia Markets said. The department cited statistics from the Food and Agriculture Organisation of the United Nations, which stated that rice consumption in Africa, with a population of more than 1 billion, was estimated at some 24 million tonnes per year and rising.

Farming sector to ramp up exports in new year Viet Nam News 13th Jan 2015
The agricultural sector will seek strong growth in production and business this year, after recording increases in exports last year, according to the Ministry of Agriculture and Rural Development (MARD). In 2015, the agricultural sector expects to see an increase of 3-3.3 per cent in gross domestic product (GDP), a year-on-year surge of 3.5-3.7 per cent in the value of production and US$32 billion in the value of farming exports, forestry and seafood products, compared to $30.8 billion in 2014, reported vietnamplus.vn. Also, the agricultural sector hopes to focus on increasing high added value agricultural products, efficiency and sustainable development.

Sugar, poultry egg imports to rise in 2015 Voice of Vietnam 12th Jan 2015
The Ministry of Agriculture and Rural Development (MARD) has agreed with the Ministry of Industry and Trade (MoIT)’s 2015 plan on import quota of sugar, salt and poultry egg as part of efforts to realize WTO commitments. Accordingly, Vietnamese companies will be allowed to import 81,000 tonnes of sugar, 102,000 tonnes of salt and 555,600 poultry eggs this year. Among 102,000 tonnes of salt, the same volume as last year, 2,000 tonnes and 40,000 tonnes will be imported by firms operating in the medical and chemical sectors, respectively. Chemical businesses are encouraged to use domestically-produced salt for their production activities.

Vietnam needs to develop a national rice brand VietNamNet 10th Jan 2015
Vietnam was the world’s second-largest rice exporter in the world in 2014, but it is in urgent need of investment to develop a national brand to increase the value of its rice harvests. In recent years, the Mekong Delta region has spared no effort to attract investment in the field of rice production. Numerous international organizations and foreign investors have also been expanding the production model. However, to date these have only been pilot programs and have had no real global impact on rice production in Vietnam.

Coffee growers in Vietnam curb sales as production drops Thanh Nien News 9th Jan 2015
Coffee farmers in Vietnam, the world’s top supplier of the robusta variety used by Nestle SA, are curbing sales to secure higher prices, aided by cheaper credit which increases their ability to store beans. Output in the year from Oct. 1 will probably fall about 6 percent to 1.62 million metric tons from a record 1.72 million tons a year earlier, according to the median of 15 trader estimates compiled by Bloomberg. Farmers sold 15 percent of the crop by end-December, compared with 22 percent the year before, the survey shows. Harvesting is almost complete, they said.

Agricultural privatization to be sped up Viet Nam News 9th Jan 2015
The privatization of agricultural enterprises will be hastened during this year to boost the development of the farming sector, according to the Ministry of Agriculture and Rural Development. The ministry's Corporate Management Department reported that the restructuring of seven enterprises under the ministry were completed by the end of 2014. The ministry now manages 13 groups and corporations. In 2015, the ministry will speed up privatization at the Viet Nam Forest Corporation, the Viet Nam General Rubber Corporation, the Farm Equipments Corporation and the Southern Food Corporation, besides the Viet Nam Coffee Corporation.

Indonesian firm to invest US$40 million in Vietnam’s food industry Voice of Vietnam 9th Jan 2015
Publicly listed food company PT Tiga Pilar Sejahtera Food (AISA) plans to allocate around US$80 million to expand its business to Vietnam and Malaysia this year, aiming to become a regional player in the food industry. AISA finance director Sjambiri Lioe told The Jakarta Post on January 8 that his firm planned to spend US$40 million for expansion into each country. “We aim to acquire a stake of between 90% – 100% in a Vietnamese food company as well as a majority stake in a Malaysian food company,” he said.

Vietnamese veggies, seafood contribute to 2014 trade surplus Thanh Nien News 6th Jan 2015
Vietnam reported its third consecutive year of trade surplus in 2014 with a larger portion of that pie being enjoyed by local businesses. According to government data, Vietnam enjoyed a US$2.4 billion trade surplus in 2014 by mid-December, up from $863 million the previous year and $284 million in 2012. Seafood, coffee, cashew nuts, fruit and vegetable exports all rose by between 20 to 40 percent in terms of revenue.

Seafood exports forecast to top $8b mark in 2015 Viet Nam News 5th Jan 2015
Seafood exports in 2015 are expected to increase slightly from last year to top US$8 billion, according to the Viet Nam Association of Seafood Exporters and Producers (VASEP). The country earned $7.9 billion from seafood last year, a year-on-year increase of 18 per cent, with shrimp exports rising by nearly 28 per cent. Speaking at a meeting in HCM City last Tuesday, Nguyen Hoai Nam, deputy general director of VASEP, said shrimp export this year would remain at around $4 billion.

Better standards help lift fruit, vegetable exports Viet Nam News 5th Jan 2015
Fruit and vegetable exports increased strongly last year, reaching nearly US$1.5 billion, up nearly $500 million from the preceding year, according to the Ministry of Agriculture and Rural Development. The exports were sold to more than 50 nations and territories, with China, Japan, the US, and South Korea the main buyers. China continued to be the biggest market, accounting for 26.4 per cent of the exports in the first 11 months of last year.