What is the solution to stabilize pineapple raw material areas?

(Baonghean)In recent days, the raw material area of ​​the pineapple export processing factory has been "heating up" due to disagreements between the factory and pineapple growers. This incident shows that, along with the factory's responsibility, farmers also need to have a more "professional" way of producing and consuming products.

We arrived at the pineapple export processing factory just as people were coming to negotiate and sign sales contracts. Mr. Ho Huu Dien (Team 6 - Youth Volunteer Team I) expressed: “Having been attached to the factory for decades, we have “changed our lives” thanks to pineapple trees.

This year, the price of pineapple is too low, and the purchasing method has many points that cause difficulties for people. It is almost the end of June but the factory has not started production yet, so we are having to import for traders to sell at the markets at a price of over 3,000 VND/kg. Every day, the whole Tan Thang commune also consumes about several dozen tons of pineapple, but people only buy the big and beautiful ones, the rest are very low priced. We hope that the factory has a suitable purchasing mechanism so that people can consume pineapples stably."

Pineapple harvest in Quynh Luu.

Unlike previous years, this year the factory has made some clear changes in purchasing pineapples. Previously, each household directly signed a contract to sell pineapples, but this year, only contracts with a minimum volume of 50 tons/year were signed. In addition, each shipment imported to the factory must also have a minimum volume of 2 tons.

Meanwhile, the purchase of green pineapples for production in the IQF vegetable and fruit chain is only 2,500 VND/kg and will be carried out until around June 20, after that, the purchase price of ripe pineapples will change every week and will certainly be lower. These are the reasons causing frustration and anxiety among people in the raw material area, because according to calculations, this year the production cost of 1kg of pineapple has reached 2,000 VND.

Mr. Nguyen Trung Kien - Supply Chain Director (Export Pineapple Processing Factory) said: In 2011, the factory directly signed consumption contracts with households, and at the same time had many support policies on fertilizers, sun protection... but during the production season, the unit only purchased 23% of the total pineapple output of the whole region - equivalent to 1,400 tons/6,000 tons. Most of the people did not comply with the signed contracts but smuggled green pineapples to private traders and other canning factories, causing many difficulties in implementing business plans and especially losing prestige in transactions with international customers. Therefore, this year, the unit advocated changing the purchasing method to be more proactive, however, priority will be given to households with "relative" volume and over the years have always been loyal and attached to the factory.

2012 is considered the worst year in the past 10 years for the pineapple juice concentrate market. The price of pineapple juice concentrate for delivery in April and early May 2012 is currently at 1,100 - 1,200 USD/ton and is forecast to drop to 1,000 USD in June. According to Mr. Nguyen Trung Kien, the severe recession of the European economy has led to a sharp decline in demand for pineapple juice concentrate in this market, considered the largest. Meanwhile, major pineapple producing countries have released abundant supplies to the market at competitive prices because this year's pineapple crop is very good.

According to calculations, with the above price, Vietnamese enterprises must purchase raw pineapple at a price of 1,000-1,200 VND/kg to break even, let alone make a profit. Currently, Dong Dao Pineapple Factory (Ninh Binh) still has about 400 tons of concentrated pineapple in stock since June 2011, and canning factories in the North are facing even more difficulties due to poor quality and uncompetitive prices. Therefore, while previously people could sell pineapple to small factories in the North at a good price and in large quantities, this year the pineapple has started to ripen but there are very few customers.

According to the Head of the Department of Agriculture of Quynh Luu District - Mr. Nguyen Xuan Dinh, this year the pineapples ripen later than every year, so currently, there is no pineapple left in the hands of the people. "First of all, we also propagate so that people understand and share with the factory during the difficult period, the output price is low and difficult to consume, besides, we ask the factory to research and calculate to get the highest possible raw material purchase price based on market price, helping people feel secure with pineapple plants.

From June 20 to July 20 is the main season, the total output of the region is expected to reach about 2,000 tons, the district has agreed with the factory to operate at full capacity to purchase for the people, the goal is to not let pineapples stagnate. In the long term, for the raw material area to develop stably, the factory needs to have a specific production plan so that the locality can have appropriate directions for production development.

Over the years, pineapple has become a commodity crop that brings high economic value to the people of Yen Thanh and Quynh Luu. However, the connection between factories and farmers is increasingly loose, because it has not overcome the benefits brought by the free market. Meanwhile, the local government has not had effective management measures. In order for the pineapple raw material area to develop stably, the province needs to have a more effective management mechanism, avoiding the current situation of spontaneous and unstable consumption and pineapple cultivation.

Phu Huong