On the morning of June 10, the Department of Industry and Trade of Gia Lai organized a conference to promote the processing industry in Gia Lai province. The conference was attended by leaders of the Department of Industry and Trade, Department of Agriculture and Environment, Department of Finance; leaders of the People's Committees of districts and cities, and 30 enterprises operating in the processing industry in the province.
Development is not commensurate with potential
Gia Lai is a province with great potential for developing the processing industry thanks to the advantage of the second largest land area in the country, with over 15,510 km2 , the agricultural land area is nearly 850,000 hectares, suitable for many crops with high economic value. Thereby, every year it has created a large amount of agricultural products to serve the development of the processing industry in the province. The processing industries focus on key products such as coffee, pepper, cashew, sugar cane, cassava starch, wood ... with the output of raw agricultural products reaching millions of tons per year.
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| View of the Conference to promote the processing industry in Gia Lai province |
To achieve the industrial growth target of 10.9%, contributing to the gross domestic product (GRDP) growth rate of 8.06%, in the past time, the Department of Industry and Trade has grasped the business performance of enterprises and developed an industrial production plan for 2025.
In the first 5 months of 2025, refined sugar output is estimated at 303,647 tons, reaching 86.76% of the yearly plan, up 14.05% over the same period; tea of all kinds is estimated at 832 tons, reaching 37.82% of the yearly plan, up 1.1% over the same period; MDF products are estimated at 13,662 m3 , reaching 30.36% of the yearly plan and up 43.7% over the same period; granite is estimated at 617,340 m2 , reaching 41.71% of the plan, up 1.35% over the same period; milk processing is estimated at 20.6 million liters, reaching 48.74% of the plan, up 29.41% over the same period.
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| Mr. Nguyen Duy Loc, Deputy Director of Gia Lai Department of Industry and Trade chaired the conference. |
Although the processing industry in Gia Lai has achieved initial successes and contributed significantly to the growth rate, it has not yet been promoted commensurate with the potential and advantages of the province. Processed products are not highly competitive, and have not fully utilized the agricultural raw materials in the area for production.
In particular, the ability to apply technology and mechanization in agricultural production and harvesting is still low, especially mechanization in agricultural production, so the high cost of raw materials leads to low competitiveness of processed industrial products.
High-tech agricultural production is still limited, has not created widespread and has not ensured a stable source of raw materials for the development of processing industries. In addition, supporting industries, agricultural and forestry processing industries have not developed sustainably, there is no stable connection to form a product value chain, the processing of some key agricultural products only stops at the production of raw products such as Cref rubber, Latex rubber, but has not produced rubber products.
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| Conference delegates |
In addition, the geographical location is not favorable as well as the technical infrastructure of industrial zones and clusters, and the traffic system is not complete; industrial clusters have been planned in detail but have not been implemented yet, the funding source for site clearance and technical infrastructure investment is still limited, so attracting investment projects to industrial clusters is still facing many difficulties; the effectiveness of investment attraction, especially industrial projects processing key products of the province such as rubber, coffee, pepper is still low, not commensurate with the potential and advantages of the province. This directly affects the work of calling for and attracting enterprises to invest in production and business in the province, especially in industrial clusters in the area.
Need "open road" policy to attract investment
Faced with the above difficulties, delegates recommended the need for a policy system that is "strong enough and long-lasting enough" to support enterprises in the processing industry to make long-term investments locally.
Presenting at the conference, Mr. Nguyen Hoang Phuoc, Deputy Director of An Khe Sugar Factory, suggested: The factory is urgently planning to increase the factory capacity to 25,000 TMN, which has been approved by the province. However, to produce 25,000 TMN, it is necessary to simultaneously implement a project to increase the capacity of the Biomass Power Plant from the current 95 MW to 135 MW to consume all the bagasse.
The increase in the capacity of this Biomass Power Plant has been approved by the Government and added to the provincial planning by Vietnam Electricity (EVN). Currently, the company, the factory and departments, branches and sectors are completing documents and procedures to submit to the Provincial People's Committee.
"We also hope that departments, branches and sectors will soon direct the completion of documents and procedures for the company to implement the ethanol production project (with an investment capital of about 1,800 billion VND) to create a closed sugar production area, making optimal use of sugarcane raw materials, increasing stability and budget revenue of the province," Mr. Nguyen Hoang Phuoc shared.
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| Mr. Nguyen Hoang Phuoc, Deputy Director of An Khe Sugar Factory presented a speech at the conference. |
Enterprises hope that the Provincial People's Committee will direct relevant departments, branches and People's Committees of districts, towns and cities to survey and orient the development of raw material areas that ensure soil and water resources, facilitate the implementation of large fields, and have the ability to increase productivity and quality to ensure raw materials for processing plants in the province; at the same time, recommend organizations and individuals to convert crops and livestock that do not ensure quality, have low productivity and low economic efficiency to other crops and livestock with high economic value and serve existing processing plants and the province's future orientation.
Processing factories regularly and promptly send documents to the People's Committees of districts, towns and People's Committees of communes, wards and towns to inform and propagate the company's mechanisms and policies to the people to ensure proper implementation of state regulations in purchasing, evaluating sugar, starch, impurities and other related contents for people to understand clearly; at the same time, create favorable conditions for local authorities to supervise.
At the conference, many businesses shared that they are willing to invest long-term in Gia Lai if they are supported in terms of mechanisms, land, human resources and have faith in the commitment of the government. That faith is an important catalyst to promote a new wave of investment in the processing industry from the "difficulty" stage to the stage of acceleration, sustainability and breakthrough.
In 2024, Thanh Thanh Cong Gia Lai One Member Co., Ltd. will increase the sugar factory capacity from 6,000 tons of sugarcane/year to 8,000 tons of sugarcane/year; newly invested industrial processing factories such as: Animal feed processing factory - Dien Hong Gia Lai Joint Stock Company (capacity of 15,000 tons/year), Stone processing factory (capacity of 25,000m3 ) and Tien Tuong unburnt bricks (capacity: 3 million bricks/year) will contribute greatly to the industrial production value in 2025 and the following years. |
Source: https://congthuong.vn/go-nut-that-cho-nganh-cong-nghiep-che-bien-o-gia-lai-391636.html
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