Favorable conditions for creating and developing agricultural economy
Once a tree that covered bare hills and mountains, cinnamon trees have gradually helped people in Yen Bai and Lao Cai not only to reduce poverty but also to create farmer billionaires. Cinnamon has been identified by the two provinces as a key crop, multi-purpose, with high and stable economic value. On average, cinnamon trees generate an income of about 50 - 60 million VND/ha/year, much higher than conventional forestry or traditional agricultural crops.
According to the latest statistics of the Department of Agriculture and Environment of Lao Cai province, the total cinnamon area in the province after the merger is about 160,000 hectares, of which the concentrated and key cinnamon growing area is about 97,000 hectares, with more than 24,000 hectares certified organic. Every year, the province exploits and processes about 40,000 - 45,000 tons of dry cinnamon bark, more than 200,000 tons of cinnamon branches and leaves. Of which, there are 16 cinnamon essential oil extraction factories with a relatively large scale using boiler technology, with a total capacity of 1,000 tons of essential oil products/year. More than 400 small-scale household cinnamon essential oil processing facilities.
With the same orientation and goals, Lao Cai and Yen Bai provinces have previously issued many active support policies and clear orientations for forestry in general and cinnamon in particular. A series of policies from the Central Government and the two provinces have been issued and applied to promote the sustainable development of cinnamon material areas such as: supporting cinnamon planting after investment of 10 million VND/ha; supporting the construction of cinnamon value chains; supporting organic certification; supporting the construction of processing and preliminary processing facilities for agricultural and forestry products and piloting support mechanisms for site clearance for investment projects on processing agricultural, forestry and fishery products to attract and call for investment... Creating favorable conditions and encouraging businesses and business households to invest in production, deep processing, and refined processing not only consumes hundreds of thousands of tons of cinnamon (branches, leaves, bark) on the spot for people but also creates a variety of products, meeting the requirements of domestic and export markets, increasing value.
According to the assessment, the quality of Lao Cai cinnamon products is the best in the country, with high essential oil content, very suitable for the production of high-quality essential oils. With high medicinal and economic value, great potential for consumption both domestically and internationally, cinnamon has become a key product, contributing to enhancing the local brand in the market. However, the path to sustainable cinnamon development is still facing many difficulties, requiring concerted efforts from farmers, cooperatives, businesses and the government in this new period.
Lao Cai province has many favorable conditions to create and develop an agricultural economy from cinnamon trees. In particular, the expansion of cultivated areas and concentrated raw material areas after the merger has given Lao Cai the opportunity to set a goal of becoming a concentrated cinnamon growing area in the direction of large-scale commodity production, which can create a strong brand. Seizing this opportunity, the province strives to have 1/3 of the area cultivated in an organic direction. From there, it will improve competitiveness in domestic and international markets, contributing to maintaining Vietnam's No. 1 position in the world in cinnamon exports. The province is committed to always creating the most favorable conditions to encourage businesses and investors to grow, process and consume cinnamon products in an effective and sustainable manner.
The leaders of Lao Cai province (new) have identified that developing a sustainable, high-value cinnamon industry; linking production with processing and product consumption in a closed, synchronous chain is one of the key tasks. The province is focusing all efforts on turning cinnamon into an economic driving force; turning the potential and strengths of the large cinnamon raw material area into practical value; developing cinnamon into a high-income industry, carrying the national product brand, contributing to improving people's lives, gradually reaching out to the world market and becoming a major agricultural and forestry export product.
Activate power, turn cinnamon industry into a strategic industry
The roadmap is clear, Lao Cai province has determined that by 2030, the forestry economy will account for nearly 1/4 of the agricultural sector structure, in which medicinal plants, especially cinnamon, are identified as the key industry. With political determination, clear strategy and huge potential being awakened, Lao Cai is proving that cinnamon is a strategic industry, an economic driving force, affirming its pioneering position.
Many experts in the agricultural sector believe that with the clear political determination of the government, the active participation and experience after decades of cinnamon cultivation of enterprises, cooperatives and people, Lao Cai province (new) will certainly have outstanding competitive advantages in terms of scale and output, and will confidently become the leading cinnamon production and processing center in the country and the region.
According to agricultural expert Hoang Trong Thuy, Lao Cai has the opportunity to organize large-scale production according to the value chain, creating a common brand with greater influence than the previous individual brands of each province and region. This concentration also helps the government have a more comprehensive view, thereby having a focused orientation, building effective and synchronous support policies. Trade promotion and product promotion activities will also be organized on a larger scale and more professionally, bringing Lao Cai cinnamon further, reaching large, high-value consumer markets.
The clearest evidence of the vitality of cinnamon trees is not only in the documents and resolutions of the province but also exists in every house, in the stories of farmers. Instead of depending on deforestation, spontaneous migration or low-income jobs, people in the highlands have a stable and sustainable source of income from cinnamon trees. Jobs at processing factories, cooperatives, and primary processing workshops also help retain local workers, gradually forming a class of farmers who understand techniques, know how to do business, have a good income and preserve the forest.
The entire cinnamon industry community, from businesses, households to individuals, is gradually shifting, realizing the value of complying with organic cinnamon production processes. People have proactively participated in economic models, boldly applied technical advances, and expanded commodity production. Many young people have also actively participated, knowing how to combine production with trade, and taking advantage of social networks to introduce cinnamon essential oil, cinnamon powder, and cinnamon tea made by their families. Cooperatives and businesses help people apply organic growing techniques, care, preliminary processing, marketing, and bring products to the international market in a professional manner. Many households in Lao Cai earn 400 - 600 million VND/year from cinnamon trees, becoming billionaires in their homeland.
The strong development potential of the cinnamon region after the merger, along with the expanded and upgraded border gates of Lao Cai, is expected to be a "magnet" attracting domestic and foreign investors, from modern processing factories, warehouse systems, logistics, agricultural processing industrial parks, etc. Recently, the project to build a spice production and processing factory of Son Ha Spices Company Limited in Lao Cai has started construction. This is the first cinnamon processing factory in the Northwest highlands, with large capacity and modern technology, creating products with many times more value than raw cinnamon. It is worth mentioning that this project prioritizes the purchase of raw materials from local ethnic minorities, helping to create stable jobs and significantly increase income for the people.
It can be said that an unprecedented golden opportunity is opening up for the cinnamon industry. With a long-term vision, the province is focusing on deep processing, linking the development of this medicinal plant with eco-tourism, striving to affirm its pioneering position in the Northwest green economy. People in the cinnamon region are also looking forward to and expecting the general strategic directions of the province to promote the cinnamon industry to develop to its full potential.
Source: https://daibieunhandan.vn/khat-vong-vuon-tam-cua-thu-phu-que-lao-cai-bai-1-ky-vong-but-pha-kinh-te-tu-cay-que-10393889.html
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