“Hungry” for raw materials, many cassava factories in Nghe An closed

Arriving at the Yen Thanh Cassava Factory in Cong Thanh Commune, we saw the gate closed and workers inside were maintaining the machines. The factory representative said: The starch production season usually lasts 6 months (from October this year to April next year), but the factory has only been operating for less than 1 month. This year, the factory has only purchased about 3,000 tons of raw cassava, while in other seasons, it has collected over 40,000 tons. The closure of the factory has left over 70 workers unemployed.

For more than 3 months now, Yen Thanh Cassava Factory has had to close due to lack of raw materials. Photo: Van Truong

At the cassava flour processing factory in Nghia Long commune, Nghia Dan, the situation is also similar. Mr. Thai Van Nam - Factory Director shared: The factory has a capacity of over 200 tons of tubers/day, but for the past 3-4 months there has been no raw materials, having to collect and run at a moderate level of 6,000 tons of raw materials, while in the previous crop, 45,000 - 50,000 tons were purchased.

Mr. Nam added: The reason the factory lacks raw materials is because the previous crop cassava price was too cheap, only 1,000 VND/kg, so most people switched to growing other crops. This year, the cassava purchase price is higher than 2,000 VND/kg, but farmers have no cassava to sell.

Workers at Yen Thanh Cassava Factory maintain machinery. Photo: Van Truong

Similarly, cassava factories in Thanh Chuong, Hoa Son cassava factory (Anh Son) … also had to be "covered" or operate at a low level.

Nghe An currently has 4 cassava factories and nearly 10 small-scale cassava processing facilities concentrated in Thanh Chuong, Yen Thanh, Tan Ky, Nghia Dan, and Anh Son districts. For a long time, these factories have been operating quite effectively, but in 2017, due to lack of raw materials, most of the factories had to close, causing over 300 workers to become unemployed.

Up to now, Nghe An has over 7,000 hectares of cassava planned in the districts of Nghia Dan, Anh Son, Yen Thanh, Tan Ky, Do Luong... However, spontaneous cassava cultivation and limited intensive investment are still common, leading to low productivity. In particular, some factories lack links and cooperation with farmers in raw material areas to have policies and mechanisms to support farmers with materials, fertilizers, and sign contracts to consume products. Farmers and businesses are not bound to each other, so people switch from cassava to other crops. This is the main reason why factories lack raw materials.

Nghia Long cassava factory in Nghia Dan district also stopped operating due to lack of raw materials. Photo: Van Truong

According to experts: To overcome the above situation, Nghe An province needs to re-plan the cassava material area in a reasonable direction. Cassava factories need to coordinate with the material area to apply scientific and technical advances to increase productivity such as introducing new varieties. Factories need to cooperate with farmers in the material area, have policies and mechanisms to ensure stable product consumption so that cassava growers can trust to develop cassava.

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