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AN OVERVIEW OF THE COCOA SECTOR IN VIETNAM

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AN OVERVIEW OF THE COCOA SECTOR IN VIETNAM ... of VND 24 billion to grow cocoa on 10,000 ha. -The Dak Lak coffee company has switched 500 ha of coffee to cocoa. ... – PowerPoint PPT presentation

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Title: AN OVERVIEW OF THE COCOA SECTOR IN VIETNAM


1
  • AN OVERVIEW OF THE COCOA SECTOR IN VIETNAM
  • FOREST SCIENCE SUB-INSTITUTE OF VIET NAM -
    WWF VIETNAM

2
  • This project is supported
  • by
  • The Dutch Directorate General for Development
    Cooperation (DGIS),
  • WWF and the International Food and Agricultural
    Trade Policy Council (IPC)

3
Market Trends
  • During 1990s, world cocoa production increased 1
    to 2 per year (3.16 m.t. in 2004/5)
  • Reduction of volume in several big producers
    Cote dIvoire, Ghana Malaysia and Indonesia.
  • Several of the world largest cocoa importers are
    heavily dependent on cocoa products from
    West-Africa and Indonesia
  • Looking for new markets

4
  • Increase of consumption at double the production
    rate
  • Demands for cocoa increasing 2-4 p.a, especially
    in Asia and pacific regions (Chinas 5)
  • Largest processing and grinding countries
    Netherlands, the US, Germany, Brazil and the UK

5
Conditions for Cocoa
  • Cocoa grows well from 20oN to 20oS.The natural
    habitat of the cocoa tree is evergreen rainforests


6
  • Many hectares of land around Mekong Delta and
    Central highlands satisfy these requirements

7
Current Cocoa Planting Areas in Vietnam
8
(No Transcript)
9
Government Plans for Cocoa Production
  • By 2010 produce 20,000ha in four regions which
    cover 28 provinces (currently 4,000ha)
  • -Ben Tre has planned to invest a budget of VND 24
    billion to grow cocoa on 10,000 ha.
  • -The Dak Lak coffee company has switched 500 ha
    of coffee to cocoa.
  • Cocoa crop development will not repeat the
    mistakes with coffee (high quality cocoa)

10
Progress in Cocoa Production in Vietnam
11
  • There is a potential for becoming a well-known
    exporter for high quality cocoa beans
  • Smallholder production offers more potential than
    extensive or monoculture plantations

12
  • Many international groups involved
  • Donors (e.g. DGIS, GTZ, USAid, USDA)
  • Companies (e.g. Cargill, Masterfoods, EDF Man)
  • Cocoa coordination committee established (16
    members)

13
An Initial Assessment of Cocoa in Five Provinces
  • Survey method Rapid Rural Appraisal (RRA)
  • Locations Binh Phuoc, Dak Lak, Dong Nai, Binh
    Dinh and Lam Dong
  • Research raises a number of issues

14
  • Firstly, the slow progress on the development of
    certified cocoa varieties in Vietnam.
  • Secondly, limitation in knowledge and experience
    on cocoa crops by both farmers and extension
    workers
  • Thirdly, occurrence of diseases and insect pests

15
  • Fourthly, require a viable market so that farmers
    can sell their products
  • Fifthly, improved planning for the development of
    the cocoa sector, both nationally and
    provincially

16
Recommendations
  • Promote the early completion of a set of
    certified cocoa varieties and quality standards
    for cocoa beans in Vietnam
  • Establish more nurseries to provide high-quality
    seedlings to growers
  • Extensions workers and cocoa farmers provided
    with high quality training programs on
    cultivation practices, post-harvest treatment,
    crop maintenance and insect pest control measures

17
  • Establish a viable market system to provide
    farmers with greater security that they can sell
    their produce
  • Systematic research on the environmental impacts
    of different production techniques and species
    mixes, as well as biological mechanisms to
    control pests and disease outbreak
  • Greater government support for the establishment
    of post-harvesting facilities in Vietnam

18
  • Develop more coordinated and clear government
    planning on cocoa production (central and
    provincial levels)
  • Assess impacts of tariff escalation on the
    value-added cocoa industry in Vietnam
  • Involvement of multi stakeholders in the
    development of the cocoa sector in Vietnam (Gov,
    Donors, NGO). Co-ordinating Committee for Cocoa
    Development

19
Next steps
  • Phase II will build on recommendations from phase
    I
  • Work closely with Cocoa Coordinating Committee

20
  • To receive this document please contact Pham
    Minh Thao at WWF Vietnam (thao_at_wwfvn.org.vn)
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