Concerns at the beginning of the salt production season

April 6, 2015 17:57

(Baonghean) - From the beginning of March until now, on the salt fields in the coastal communes of Quynh Luu district, salt farmers have been busy preparing their salt fields for the new production season. However, while at this time last year, the price of salt reached 1,600 VND/kg, this year it is only 1,000 VND/kg, causing concern and worry among salt farmers, even though the salt season has only just begun.

Diêm dân xã An Hòa (Quỳnh Lưu) thu hoạch muối.
Salt farmers in An Hoa commune (Quynh Luu district) harvest salt.

As in previous years, in the second lunar month, salt farmers in An Hoa commune are busy repairing and renovating their salt pans and preparing for the salt production season. Sweating profusely as he scrapes the white salt after about six hours of sun drying, Mr. Mai Van Danh from Nam Tien village said: “At the beginning of the salt season, everyone here is worried. The salt we produce sells for much lower prices than last year. People are just trying to hold on to the profession and hoping the price of salt will go up.” This year, Mr. Danh's family has 500 square meters of salt pans for production. However, the price of salt at the beginning of the season is too low.

According to Mr. Danh, the price of salt at the beginning of last year's season was 1,600 to 1,700 VND/kg, while the current price sold to traders is 1,000 to 1,100 VND/kg. With 500m2 of salt ponds, Mr. Danh's family can produce about 300kg of salt per day, or about 200kg per day in mild weather. With the current selling price, they earn over 200,000 VND per day, divided among 3 workers. Thus, each person only earns about 60-70,000 VND per day. "With the current salt price, farmers are not making any profit. All the effort and manpower are poured into hoping for an income, but the price of salt at the beginning of the season is plummeting. What can we do now?!" - Mr. Danh shared.

Sharing the same concerns, Ms. Nguyen Thi Minh from Hong Phong village said: “At the beginning of the season, not much salt is produced, so the price is usually very high, then it gradually decreases towards the middle of the season. Last year, the price of salt at the beginning of the season reached 1,600 VND/kg. This year, at the beginning of the season, the price of salt is only around 1,000 VND/kg. The price is too low, and traders are not enthusiastic about buying, causing salt farmers to worry about the entire salt season…” Not only salt farmers, but also some salt traders are equally worried. In An Hoa commune, there are about 14 households that buy salt. Although the season has only just begun, the buyers are not very enthusiastic because the amount of salt in their warehouses is still unsold. According to estimates, about 60-70% of the salt is currently in the warehouses of the buyers, unable to be sold elsewhere.

Mr. Ho Vinh Hung, a salt buyer, said: "Currently, my family still has nearly 200 tons of salt from last year in our warehouse that we haven't been able to sell yet. The reason is that a lot of salt from the southern provinces is being transported to the central and northern provinces and sold at lower prices. Therefore, the amount of salt we have collected is currently accumulating and we are only waiting to find a buyer with a higher price. The drop in salt prices at the beginning of the season is disadvantageous for us. If we sell to factories at a higher price, we might break even or lose money. If we can't find a buyer for the accumulated salt, it will melt completely, and we'll definitely lose money. Therefore, we haven't bought any more salt from the farmers yet, to avoid further accumulation," Mr. Hung said.

Regarding this issue, Mr. Le Xuan Quyet, Vice Chairman of the People's Committee of An Hoa commune, said: “The entire An Hoa commune has 145 hectares of salt production, concentrated in the villages of Hong Phong, Tan An, Nam Tien, Tan Thinh… The average annual salt production reaches 19,000 to 20,000 tons/year. However, currently, the price of salt at the beginning of the season is very low, not ensuring the livelihoods of the people. The government is encouraging salt farmers to persevere in production and is looking for ways to coordinate with businesses to consume the products for the people. Salt farmers also hope that the price of salt will increase, helping them to stabilize their lives.”

In Quynh Tho commune (Quynh Luu district), more than 450 salt-producing households are also worried because the price of salt at the beginning of the season is low, affecting their economy. The entire commune has 55 hectares of salt production, with an annual salt output of 5,000 to 6,000 tons, worth nearly 9 billion VND. Mr. Nguyen Van Nho, chairman of the Luu Quang Salt Production Service Cooperative in Quynh Tho commune, said: "At this time, like in previous years, traders come to buy salt as soon as it's produced, and they buy it at high prices. After deducting expenses, the average household earns 150,000 - 200,000 VND per day. However, at the beginning of this year's salt production season, the atmosphere among the salt producers has slowed down. The reason is that the price of salt is too low, leaving people with no profit, while producing white salt requires a lot of labor."

According to information gathered from salt purchasing centers, since the beginning of February (lunar calendar), salt from southern provinces has been flooding the market in Nghe An province, including Quynh Luu district. The price of salt sold to purchasing centers is lower than the price paid by local farmers. It is known that salt from the South is sold to purchasing centers at 800 VND/kg, while the price farmers sell to purchasing centers is 1,000 to 1,200 VND/kg. The drop in salt prices, coupled with unstable demand, is causing significant difficulties for salt farmers in Quynh Luu district, even though the salt harvesting season has only just begun.

Viet Hung

Quynh Luu Radio

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Concerns at the beginning of the salt production season
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