Cassava starch is difficult to consume, factories in Nghe An have a lot of inventory
The difficult-to-sell cassava starch market has caused some cassava starch factories and processing facilities in Nghe An to be congested and have a lot of inventory.
Through a survey in Thanh Chuong and Nghia Dan districts, the price of cassava roots purchased by processing factories for people is still at 2,200 - 2,300 VND/kg. While the price of cassava roots is quite stable, the cassava starch market in Nghe An is "stuck" in output.
Mr. Thai Van Long - Representative of Nghia Long Cassava Factory, Nghia Dan District said: Since the beginning of October 2024, cassava starch products have been difficult to sell. The factory has had a policy of reducing prices from 12 million VND/ton of starch, now down to only 9 million VND/ton, but the Chinese market is buying very limitedly. Currently, the unit has over 2,000 tons of cassava starch in stock.
Nghia Dan district currently has 4 factories and facilities processing cassava starch, currently having over 4,000 tons of cassava starch in stock.
To cope with the difficult situation, some cassava factories in Nghe An are still actively looking for domestic markets for consumption.
At the cassava starch processing facility in Nghia Duc commune, Nghia Dan district, there is currently over 250 tons of cassava starch in stock. A representative of this processing facility said: Due to the output bottleneck, the facility, which has a processing capacity of 40 tons of cassava tubers/day, is now operating at only 15 tons/day to retain workers.
Thanh Chuong Cassava Starch Processing Factory is also in the same situation. Mr. Tran Quoc Hoan - Director of Thanh Chuong Cassava Starch Factory said: From the beginning of October 2024 until now, the factory has had over 2,100 tons of cassava starch in stock, waiting for the Chinese market to consume again. Despite difficulties in output, the factory still tries to purchase cassava raw material areas of over 3,000 hectares for people in Thanh Chuong and Do Luong districts... to avoid cassava congestion and damage.
Some factories are looking for quite new consumption directions. For example, Hoa Son Cassava Factory, Anh Son District, in recent years has invested in deep processing technology, processing over 10,000 tons of cassava starch into liquid glucose, exporting to Taiwan, the US, South Africa, Australia... or selling to foreign companies located in the Vietnamese market to process foods, confectionery...
Due to the difficult price of cassava starch, the factory has been operating at a standstill, resulting in some cassava raw material areas in Nghe An not being able to harvest. Ms. Tran Thi Tinh in Nghia Loc commune, Nghia Dan district said: In previous years, cassava tubers were easy to sell at this time, but now because the factory is purchasing less, 4 sao of cassava that is in the harvest period cannot be pulled out and sold.
According to experts, to effectively develop cassava material areas in Nghe An and have stable consumption, it is necessary to invest in applying deep processing technology to diversify products, such as modified starch, glucose, maltodextrin, alcohol, lysine, and produce dried cassava chips. At the same time, diversify the market, limit dependence on one market, leading to a situation where production is difficult to sell and products are in stock.
