Economy

Final article: Building clean raw material areas and product brands

Hoai Thu, Thu Huyen • DNUM_CGZAEZCACF 12:57

Tea is still one of the main export products of Nghe An. Resolution No. 17 of the Standing Committee of Nghe An Provincial Party Committee, term XVI, as well as projects and plans of the province and the agricultural sector, has identified tea as a key crop for processing materials. For tea to develop sustainably, it is necessary to strengthen solutions to meet the requirements of domestic and foreign markets.

Thu Huyen - Hoai Thu• April 25, 2025

Tea is still one of the main export products of Nghe An. Resolution No. 17 of the Standing Committee of Nghe An Provincial Party Committee, term XVI, as well as projects and plans of the province and the agricultural sector, has identified tea as a key crop for processing materials. For tea to develop sustainably, it is necessary to strengthen solutions to meet the requirements of domestic and foreign markets.

Tea is a popular drink all over the world; the tea production and processing industry plays an important role in the economy, helping to create jobs, increase income and contribute to GDP. In Nghe An, tea production and processing create jobs for thousands of local workers. Many tea regions have high productivity and good quality such as Thanh Chuong, Anh Son, Con Cuong; tea has been and is a tree that eliminates hunger and reduces poverty, and is the main crop of tens of thousands of households in mountainous districts.

However, besides the opportunities and achievements, Nghe An tea trees are facing challenges and barriers that make the value they bring not as expected. Products from the tea raw material area are currently being divided into five or seven parts, competing for each other in buying and selling. Tea products are mainly processed by processing facilities in raw form to sell to domestic factories for reprocessing and export.

This also means that the quality of tea is not guaranteed; the area of ​​VietGAP tea is only 48 hectares and the area of ​​organic tea is only about 20 hectares that have been recognized. As a result, the value of tea trees is low compared to other tea growing localities in the country. Due to poor tea quality and no brand, the price of tea in Nghe An is very low. While the price of tea buds in Thai Nguyen, Phu Tho, Lam Dong provinces is up to 15,000 - 20,000 VND/kg of fresh tea buds; other provinces are 8,000 - 10,000 VND/kg, in Nghe An the highest price of tea buds is only 6,000 VND/kg, at times only 2,000 - 3,000 VND/kg.

Mr. Nguyen Xuan Ty - Chairman of the Farmers' Association of Hung Son Commune (Anh Son) said: Tea is the main crop that brings income to more than 90% of households in the commune. The commune leaders are always concerned about finding ways to increase the value of their locality's main agricultural products, and have visited other localities many times to learn and find better directions. Through research trips to other localities, such as Huoi Tu (Ky Son), Ha Giang, Lao Cai... it shows that the value of tea trees is much higher than what Hung Son is currently achieving. For example, in Ha Giang and Lao Cai, tea growers are very persistent, strictly following organic farming processes and manual harvesting. Thanks to that, the price of raw materials as well as tea products is not only sold domestically but also meets export standards at 1.5 - 7 million VND/kg of tea. There are even higher price segments. Meanwhile, Nghe An's OCOP standard tea is generally only sold at a few hundred thousand VND/kg.

The problem is why is Nghe An industrial tea of ​​poor quality? There are many reasons, including the abuse of chemical fertilizers and pesticides, which results in poor tea quality. In addition, poor harvesting techniques and failure to follow the tea industry's guidelines also result in lower raw material prices and processed tea prices compared to other localities. Due to fierce competition in raw material areas, in order to sell more tea at higher prices without strict requirements on harvesting techniques, many tea growers have "over-harvested". After each "painful picking" like that, the tea plants grow more slowly, and some tea plants and tea beds even die if exposed to heat and severe drought.

In Anh Son district, tea is identified as a key crop in the area. On March 25, 2021, the District People's Committee also approved the project to develop tea, sugarcane, and cassava in the district for the period 2021-2025, with a vision to 2030. However, tea alone did not meet the project's target, the forecast tea area in 2025 is 2,650 hectares, only 88.6% of the project plan. The area of ​​newly planted tea each year is lower than the planned target, basically all communes do not meet the target, of which, there are some communes that have not developed new planting areas in 3 years or have low achievements such as: Tho Son, Binh Son, Thanh Son, Tuong Son, Hoi Son, Khai Son. Recently, due to ineffective production, some households have been discouraged and cut down tea gardens, abandoned tea trees...

Mr. Le Van Tri - a long-time agricultural officer, who has been involved in agricultural production models in Anh Son district for a long time, including tea trees, shared: With the current average productivity, the average profit of tea during the business period is about 40-60 million VND/ha/year. Tea trees are industrial plants with high economic value, with a long harvest season (25-30 years) suitable for the climate and soil of the semi-mountainous districts of Nghe An. However, although there are tea factories in the area, the production linkage is not effective, people mainly sell to traders, so the price is unstable. In general, the tea industry does not have a leading enterprise, the Nghe An tea brand is not strong enough, and has not been accepted by consumers... That reality requires a comprehensive, long-term solution, including strategies from clean production, processing, consumption, and building a brand for Nghe An tea...

Investing in the development of Nghe An's industrial tea industry has been a correct policy of the province for many years, as stated in Resolution No. 17 of the Standing Committee of Nghe An Provincial Party Committee, term XVI. The project to develop key agricultural products of Nghe An province in the period of 2021 - 2025, with a vision to 2030, has also identified tea as a raw material for processing. The province has also had many policies to support the development of the tea industry; that is Resolution No. 18/2021/NQ-HDND of the Provincial People's Council on stipulating a number of policies to support agricultural and rural development in the province in the period of 2022-2025, including support for seeds, land preparation and irrigation systems for tea trees, etc.

Tea quality is determined by factors such as: Varieties, soil, intensive investment regime, harvesting techniques, processing technology. Mr. Phan Thanh Tung - Head of Cultivation Department, Department of Cultivation and Plant Protection of the province said: Currently, LDP1 and LDP2 tea varieties have been mainly applied in new planting since 2001. In addition, Shan Tuyet tea variety is suitable for the high mountains of Ky Son. The proportion of tea variety structure varies depending on the soil and climate conditions of each locality. The application of scientific and technical advances in tea production is increasingly of interest to farmers and businesses. Many localities have applied technical advances in tea production such as VietGAP tea production, organic tea farming models, etc.

To “save” the tea plant, a comprehensive solution is needed, in which improving product quality right from the raw material stage is a matter of survival. Ms. Tran Thi Ly - owner of Minh Sang Green Tea Processing Cooperative said: The facility often receives orders but does not have clean raw materials to ensure processing. The biggest difficulty is awareness in clean agricultural production. It is necessary to use organic fertilizers in the production process; use biological products to treat planthoppers and fungal diseases; use chemical fertilizers in a balanced and correct manner.

Concerned about how to increase the value of tea products while maintaining quality right from the cultivation stage, officials of Hung Son Commune People's Committee have connected and called for socialization to invest in forecasting machines, detect harmful agents to crops and deploy organic fertilizer composting for tea areas. "Currently, the weather forecasting machine, detecting pests and diseases on crops has been installed and is in the testing period. This is a high-tech device combining digital technology, promising to effectively support us in taking care of tea trees and other crops. At the same time, the commune is also mobilizing and propagating people to build earthworm ponds, compost straw to make biological fertilizer, gradually "save" tea trees, which is also a way to maintain a sustainable source of income from the local main crop", Mr. Nguyen Xuan Ty - Chairman of Hung Son Commune Farmers' Association confided.

That is also the concern of many people who love tea trees and are attached to agricultural production today. Mr. Le Dinh Thanh - Standing Deputy Secretary of Thanh Chuong District Party Committee is concerned: Industrial tea has been established in Thanh Chuong for 40-50 years and has continuously developed over the years, and is considered by the people as the main crop of the district. In the past term, the District Party Committee has always paid attention to directing the people to develop and expand the tea area, the results show that the tea area and output in the following term are higher than the previous term. Currently, Thanh Chuong district has over 5,000 hectares of tea, accounting for half of the area and more than half of the output of the whole province. If in the past it was a tree for hunger eradication and poverty reduction, now tea is a key economic crop, currently present in 13 communes of the district.

However, the main export markets are easy-going West Asian countries, low prices, mainly raw exports, so the potential of tea plants cannot be fully exploited. The desire to attract high-quality factories has not been realized. Discussing sustainable solutions for tea plants, Mr. Le Dinh Thanh said: “Tea is not an easy crop but not too difficult either, the problem is to improve the quality of raw material areas. In the coming time, we will continue to mobilize people to grow and care for tea; Encourage tea planting in areas with proactive irrigation water. Continue to attract tea factories with advanced technology to increase the value per unit of cultivation, increase tea prices, encourage VietGAP tea, organic tea to meet the increasingly high standards of consumers. To do that, mobilize people to produce sustainably in an organic direction, accompany businesses to promote products, and target domestic and foreign markets”.

To promote the potential and develop sustainable tea plants requires synchronous solutions, from building clean raw material areas, to investing in processing lines and building product brands.

Discussing this issue, Ms. Vo Thi Nhung - Deputy Director of the Department of Agriculture and Environment said that the development of tea trees in Nghe An province needs a comprehensive strategy including many solutions. First, it is necessary to review and supplement land funds for tea development. Regarding varieties, it is necessary to research and test to quickly introduce new varieties with productivity and quality suitable for Nghe An's ecological conditions. Build a system of facilities and areas for producing qualified varieties, capable of meeting the demand for seedlings, and effectively manage the quality of plant varieties according to industry regulations. Regarding cultivation techniques, it is necessary to apply intensive techniques and advanced pest control measures. Increase the application of biological measures, limit the use of chemical drugs. Build and replicate safe tea production models according to VietGAP, organic standards; Global GAP... that meet export quality standards. Applying high technology to production, especially irrigation technology: Sprinkler irrigation, drip irrigation to save water and improve efficiency.

Next, in terms of processing and preservation, people and businesses in the tea industry need to innovate advanced and modern processing equipment and technology to be able to process tea of ​​good quality and high economic value. Diversify tea products to meet market demand. Post-harvest preservation is also very important, therefore, it is necessary to apply appropriate technology to preserve the flavor and quality of tea, helping to increase value.

To increase the value of the tea production industry, assigning growing area codes and granting domestic growing area codes to tea growing areas in the province is also very important. Therefore, all levels and sectors need to review and select to build codes for growing areas that are eligible for export, ready for export promotion. From there, promote access to consumer markets in the direction of building the Nghe An tea brand, registering trademarks and geographical indications for specialty tea areas. Promote the search and development of consumption channels and organize trade promotion, aiming at exporting to demanding markets. Strengthen production links between people, businesses and cooperatives to ensure output for people.

“In addition, it is necessary to study and amend current policies to provide strong enough support for the development of Nghe An tea industry in the coming time, especially capital and technical support policies. Thereby, businesses, organizations and individuals can confidently invest, create healthy competition, and develop Nghe An tea brand,” emphasized Deputy Director of the Department of Agriculture and Environment Vo Thi Nhung.

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It is necessary to study and amend current policies to provide strong enough support for the development of Nghe An tea industry in the coming time, especially policies to support capital and technology.

Ms. Vo Thi Nhung - Deputy Director of Department of Agriculture and Environment

Nghe An is a province with strengths in agriculture with many key products such as: Rice, oranges, tea, sugarcane... If it continues to receive proper investment attention and increases the value of products, tea will still be an advantageous crop in many localities, not only increasing income for people, contributing to the construction of new rural areas associated with the OCOP program, but also enhancing the position of local agricultural products when there are products that are welcomed by the international consumer market.

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According to Decision No. 4288/QD-UBND dated November 11, 2021 on approving the Project "Developing key agricultural products of Nghe An province in the period of 2021-2025, with a vision to 2030", for the goal of developing the processing industry of key agricultural products, it is determined to review and rearrange existing tea processing facilities based on raw material areas. Attract investment in building concentrated tea processing factories to provide raw materials for factories producing products using raw materials from tea, such as: Bottled green tea soft drinks, instant green tea, matcha tea, essential oils extracted from green tea, ... in Thanh Chuong and Anh Son districts.

>> Lesson 1: Advantages, potential and practical effectiveness
>> Lesson 2: Organic tea production
>> Lesson 3: Locating Nghe An tea trees?