Farm produce processors get more materials from Cambodia
VietNamNet Bridge - The zero import tax rate applied to 40 types agricultural products from Cambodia has opened up a new source of materials for Vietnamese farm produce processors, especially those located near the southwestern border, according to the Trade Ministry.
Pham Thi Sum, Chairwoman of the Board of Directors of the Bien Hoa Sugar Joint-Stock Company, said the preferential tax rate enables the company to buy more materials from Cambodia for its Tay Ninh Crude Sugar Plant to ease its shortage.
In the 2005-2006 sugar cane crops, domestic supply could meet only 80 percent of the plant's capacity.
The southwestern Tay Ninh province is home to the largest sugar cane growing area in the south and three sugar plants with a combined capacity of 12,500 tonnes of sugar cane a day, or 2.3 million tonnes per crop. However, local farmers can supply only 1.6 million tonnes, while land for sugar cane is shrinking.
Meanwhile, neighbouring Cambodian provinces of Kompong Cham, Svay Rieng and Prey Veng have large areas of unused land suitable for sugar cane growing, according to Sum.
In recent years, several companies in Tay Ninh have invested in sugar cane and cassava growing in Cambodia to supply materials for their plants. However, the import of the materials into Vietnam was subjected to import tax, limited the investment efficiency.
Processors of rubber tree wood were also delighted by the preferential tax rate. A representative of a company long involved in importing the wood from Cambodia, said that the imports would surely increase, easing the shortage of materials for processing plants.
Rubber processing enterprises also described the import tax cut as a great boost to their production.
At present, many Vietnamese farmers in localities bordering Cambodia have also invested in rice farming in Cambodia, and expect to import a large volume of rice from these farms for for-export processing.
Businesses of Vietnam and Cambodia have long engaged in trading sugar cane, cassava, rice, wood of rubber trees and rubber latex through the border gates.
The zero import tax rate is applicable to 40 agricultural product categories from Cambodia, including those made from cassava, sweet potato, cashew nuts, pepper, rice, corn, soybeans, peanut, castor beans, sesame, seaweed, sugar cane, and raw rubber.
(Source: VNA)
Pham Thi Sum, Chairwoman of the Board of Directors of the Bien Hoa Sugar Joint-Stock Company, said the preferential tax rate enables the company to buy more materials from Cambodia for its Tay Ninh Crude Sugar Plant to ease its shortage.
In the 2005-2006 sugar cane crops, domestic supply could meet only 80 percent of the plant's capacity.
The southwestern Tay Ninh province is home to the largest sugar cane growing area in the south and three sugar plants with a combined capacity of 12,500 tonnes of sugar cane a day, or 2.3 million tonnes per crop. However, local farmers can supply only 1.6 million tonnes, while land for sugar cane is shrinking.
Meanwhile, neighbouring Cambodian provinces of Kompong Cham, Svay Rieng and Prey Veng have large areas of unused land suitable for sugar cane growing, according to Sum.
In recent years, several companies in Tay Ninh have invested in sugar cane and cassava growing in Cambodia to supply materials for their plants. However, the import of the materials into Vietnam was subjected to import tax, limited the investment efficiency.
Processors of rubber tree wood were also delighted by the preferential tax rate. A representative of a company long involved in importing the wood from Cambodia, said that the imports would surely increase, easing the shortage of materials for processing plants.
Rubber processing enterprises also described the import tax cut as a great boost to their production.
At present, many Vietnamese farmers in localities bordering Cambodia have also invested in rice farming in Cambodia, and expect to import a large volume of rice from these farms for for-export processing.
Businesses of Vietnam and Cambodia have long engaged in trading sugar cane, cassava, rice, wood of rubber trees and rubber latex through the border gates.
The zero import tax rate is applicable to 40 agricultural product categories from Cambodia, including those made from cassava, sweet potato, cashew nuts, pepper, rice, corn, soybeans, peanut, castor beans, sesame, seaweed, sugar cane, and raw rubber.
(Source: VNA)
1 comment:
psh. what will cambodian do about it but complain? When stupid politicians won't even give them rights to farm their own land how Khmer people invest in their own country to compete with foreigners? They don't. Everything goes to foreigner first and Cambodian second.
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