VI NG BNG SNG CU LONGTIM NNG & C HI U T PT NNG NGHIP

POTENTIALS AND INVESTMENT OPPORTUNITIES FOR AGRICULTURAL DEVELOPMENT IN MEKONG DELTAThis template can be used as a starter file to give updates for project milestones.

SectionsSections can help to organize your slides or facilitate collaboration between multiple authors. On the Home tab, under Slides, click Section, and then click Add Section.

NotesUse the Notes pane for delivery notes or to provide additional details for the audience. You can see these notes in Presenter View during your presentation. Keep in mind the font size (important for accessibility, visibility, videotaping, and online production)

Coordinated colors Pay particular attention to the graphs, charts, and text boxes. Consider that attendees will print in black and white or grayscale. Run a test print to make sure your colors work when printed in pure black and white and grayscale.

Graphics, tables, and graphsKeep it simple: If possible, use consistent, non-distracting styles and colors.Label all graphs and tables.

1Contant

I. IntroductionThe Economic importance of Mekong delta2. Geographic location3. Economic - Social4. Economic development potential of marine economyEconomic characteristics - the key economic sectorsII. CONTENTDevelopment of the sugar industry and bio-Regional Development Project beet material in Soc Trang and Tra VinhMining projects produce sugar from Nipal pam at Tra Vinh - and the Mekong Delta

2The Economic importance of Mekong Delta

MK ECONOMIC

3Mekong DeltaThe Mekong Delta is the largest economic region of Viet Nam.The natural area is about 40.060 km2 (accounting for 12,3% of the country). Alluvial soil accounts for 1.2 million ha sweet. Soil acidity and salinity accounted for 2.5 million ha of land Located in the tropics with mild climate. Average annual temperature is 27oC.

What is the project about?Define the goal of this projectIs it similar to projects in the past or is it a new effort?Define the scope of this projectIs it an independent project or is it related to other projects?

* Note that this slide is not necessary for weekly status meetings

4Social Profile The Mekong Delta has 13 administrative units including one city which directly Population : over 18 million people (accounting for 21% of the national population).and over 63% of working age, 78% in agriculture.

5Geographical advantagesThe Mekong Delta is bordered on three sides by the sea and located in the central of South East Asia. This is the strategic location for economy and for international commerce.It is located next to the South East Asia countries (Thailand, Singapore, Malaysia, Philippines, Indonesia ...) - a dynamic and development economic zone, important markets and investment partners.

* If any of these issues caused a schedule delay or need to be discussed further, include details in next slide.

6Located in the corridor of maritime economic development.Located in the economic corridor of Viet NamBeing the southern key economic region.Occupied 50% of imported goods and exported goods of the south of Viet Nam through Saigon port and Ba Ria-Vung Tau port.

Duplicate this slide as necessary if there is more than one issue.This and related slides can be moved to the appendix or hidden if necessary.7 Water-way and road transport

The Mekong Delta connects with Laos, Cambodia and Thailand via the Mekong river. With dense net of rivers and canals, it makes water-way the most advantageous compared to many other region in the country.Provinces in the Mekong Delta are connected by National road 1A. Besides, Ham Luong bridge and Co Chien bridge (will be constructed) will improve the transport system of the Region and make it more comfortable.

8Located in the international maritime routs

9Potential of maritime economyThe region has maritime economic potential with the deep water routes and international transit port.Located in the area of major maritime transportation and international airlines, between South Asia and East Asia as well as Australia and other islands in the Pacific. This is very important position in international exchange

10Key Economic Sector Agriculture Natural area is about 40.518,5 km2, accounting for about 11% of the country.The value of agricultural production led the country, occupies over 40% of total national agricultural production. The area of paddy land is about 3.970 thousand hectares, accounting for 35% of the land.The area of crops, rice and crops rotation about is about 20 30% of total land area.Sugarcane growing area is about 58 thousand hectares

11Land comparision

12Production of rice

13The key sectorsRicefoothold RICE IS HUGE INVENTORY OF VIETNAM NOT, but also the world with impressive contribution: Rice production accounts for 50% of the national rice output, but accounts for 90% of exported rice (about 7 million tons/year). The delta produces more rice than Korea and Japan combinedViet Nam is the second largest rice exporter globally after Thailand.

14Seafood:- Viet Nam has 1,066 million hectares of aquaculture land, exports reached 2.5 billion USD- The area of aquaculture is about 754 thousand hectares, accounting for 41% of the national aquaculture area (about 1.066 million hectares). Output to reach 56% of the total national output. - Export turnover reached 37,709 Billion VND equivalent to 1,7 billion USD(year 2010) of national exports. Soc leading shrimp exporter.

The key sectors15Agricultural orientation to cope with climate changePolicy for changing in plants and animals responds to climate changeIncrease in area under crops, short-term foodgrains .Increase in area under sugarcane and industrial plants for the production of key sectors with high economic efficiency such as sugar, gas, fertilizer...Prioritize the development of energy and renewable biological energy industry

What are the dependencies that affect the timeline, cost, and output of this project?16Development of sugarcane and bio-energy industryAnnual MKD contribution of about 500,000 tons of sugar for 43% of the total national sugar production was estimated in 2010 the country reached 1.130 million tons of sugar.The green resource for producing sugar and fuel are huge but untapped ( Nipah palm))Currently, Viet Nam has an ethanol production plant based on cassava of Itochu corporation Japan with investment capital of 100 million USD. It is expected to consume 48% of cassava throughout the country by 2025. This will greatly effect the domestic food supplyWith above mentioned reasons, investment projects on developing feedstock area for producing sugar and ethanol from sugar beet and nipah palm are welcomed and supported by leaders at all level. This is a new production model which fully utilize land resources, promote the strengths of plants and is suitable with the region as well as climate change to develop sugar and green energy industries.

17General information about sugar industry of Viet NamThe area of sugarcane cultivation of Viet Nam is 266.3 thousand hectares of which Mekong Delta is 57.5 thousand hectares, accounting for 18%. Sugarcane production reached 23% of the country the equivalent 1.13 million tons / in 2010, Sugacane yield is from 60 100tons/ha (Tra Vinh Soc Trang)In 2010 the country imported 250.000 tons of sugar.Currently, there are 37 factories producing sugar from sugarcane which have small capacity. Six of which are 100% foreign- owned factories with capacity of 4,500 tons/year. The remaining 31 factories have capacity of 700-1,000 tons/year.The Mekong Delta has 10 sugar factories (in Tra Vinh, Soc Trang, Ben Tre, Hau Giang )

18The advantages of Soc Trang ProvinceStrategic location: It has 72km coastline with Dinh De and Dinh An estuaris which have advantages in development of seaports. The construction of Dai Ngai port with Dinh An Economic Zone of Tra Vinh will form a hub transit port of the Mekong DeltaThe population of Soc Trang is 1.3 million people, in which 62% are working age with 30% trained. This is the period of demographic bonus of Viet Nam in general and Soc Trang in particular which helps create strong momentum for socio-economic development.Land area is 350.000, of which 274,677 ha for agriculture with 144,000 ha of paddy land (production reached 1.7 million tons, equivalent to 1 million tons rice/year)The area for long-term crops is 40.658 ha. Aquaculture area occupies 20% of the total area with annual export turnover of 400 million USD.

19Advantages of farmlandTotal land area for crops :113,000 ha

Sugar can area in Mekong Delta

20Study area location

21Favorable conditions for development of sugar beet projectLocation: Soc Trang and Tra Vinh provines are located in the heart of the large raw material region with the largest industrial economic zones. This is the gateway to other countries through Dinh An port (Tra Vinh) and Dai Ngai port (Soc Trang).Land area: Growing area is large and focus, of which 274,677 ha (Soc Trang) and 186,170 ha (Tra Vinh) for agriculture with 30% of alkaline soilTransportation: Having major and key projects with synchronous infrastructure, transportation by water way and road in this region is very convenient which will reduces investment cost.Population: Having a large population. The population of Tra Vinh and Soc Trang is more than 2.5 million people.Labor force: The workforce occupies 65% of the provinces population. Average income per head is low, about 1,200 USD /year.Market: Situated in the largest consumer of sugar and fertilizer region of Viet Nam.Climate : The region has moderate climate. The average temperature is 27oC-28oC with high number of sunshine hours, from 2,226 2,790 hours/year. This region is rarely affected by natural disaster. There are two seasons a year: the rainy lasts from May to November, the rainy season lasts from December to April of next year.

22Economic comparison of sugar productsCurrently, Soc Trang provinces sugar production is 12,000 tons/year in the growing area of 13,000 ha.If developing 5,000 ha of sugar beet growing area with 2 different crops a year will bring Soc Trang 160,000 tons of sugar/year and other co-products from sugar beets pulp such as fertilizer, pesticidesAnnual consumption of about 6 million tons of fertilizer, 45% import about 3 million tons.Average income from sugarcane is about 5,000 USD/crop/ha/year (in 2010)The production of sugar beet is 2 times higher than sugarcane with 4 times higher in sugar yields Which will increase income for farmers and local budget.

23Producing sugar from Nipah palm

According to science reports, sap of Nipah palm has a sugar content around 14-6% while sugarcane is 6-10% with 14 tons of sugar /ha.Besides, the Nipah palm is also a valuable source of green energy. The yield of one hectare of Nipah palm is about 6,480 liters of ethanol/tapping season, while cassava is only 2,020 liters/year.

Nipah palm is a one planted but harvested throughout the 50 years.

In addition, Co-products from bagasse, tops leaves are used for producing: fertilizers, pesticides, plywood, roofing

24Mangrove Resources of the Mekong DeltaThe Mekong Delta owns a large area of natural resources. Area of forests is about 320,900 ha including 63,800 ha of mangrove forest and 257.100 ha of man-planted forest

25Distribution of mangrovesMangroves in the Mekong Delta occupies the alluvial silt on coastal basin of the estuary to the sea and inland valley swamps less than 100,000 ha, concentrated in the provinces of Ca Mau(58,285 ha), Bac Lieu (4,142 ha), Soc Trang (2,943 ha), Tra Vinh (8,582 ha), Ben Tre ( 7,153 ha)Currently, Nipah palm area in Tra Vinh, Ben Tre, which was converted into aquaculture area in some parts, is still a large and concentration area.

26Overview of Tra VinhTra Vinh is located in the heart of the Mekong Delta, between Co Chien river and Hau river, with 65 km long coastline . The province is 200 km far from Hochiminh city as traveling by National Road 60 through Co Chien BridgePopulation: 1.1 million people with 62% of working ageTra Vinh possesses many factors for economic development, especially the maritime economy.In 2009, the government invested in Tra Vinh 3 major projects : a large shipping channel for vessels of 20,000DWT, Co Chien Bridge and Coastal power plant

27The region of projectCurrently, 5,000 ha of nipah palm in the Coastal is being harvested and nearly 1,000 ha is belong to the State. Total area of exploited Nipah palm is 7,000 ha.Besides, the mangroves can be converted into Nipah palm area to keep land and fresh water in the condition of rising sea level.

The natural area of Tra Vinh is 229,000 ha, including 8,000 ha of mangrove forest and swampy land where the Nipah palm is growing

28Economic efficiency of Nipah palm

29Economic efficiency from Nipah palm

30

Scenario of sea level rice 0.75 MEconomic efficiency from Nipah palm

31Graph of sea level rice in 2100

32Solutions to cope with climate changeAdapt and positive response to climate change.The Mekong Deltas main product is rice. Such future sea level rise could lead to narrow the area of paddy land in the Mekong Delta, while the economy is growing and demand for food is increasingWorlds food would be serious effected because food-growing areas in the lowlands of the world would be filled in the same way.Besides, the state of saltwater intrusion is very influential to the development of agriculture.So what solution for people in flooded areas to continue living and developing economy as well as ensuring food for the country and the world?

33NIPAH PALM IS ONE OF THE ECONOMIC FEASIBILITY MODELS WHICH IS LOOKED AS THE MOST PROMISSING IN REPLACEMENT OF WATER-RESISTANT CROPS, LAND PROTECTION AND FRESH WATER STORAGE. THESE ARE EXCELLENT POSSIBILITES OF NIPAH PALM THAT WE FAR UNKNOWNWE WELCOME PROJECTS OF PT.FIRST FLOWER WITH ALL HOPE OF COOPERATION- DEVELOPMENT AND SUCCESS

34SOURCES OF INFORMATION The information in this presentation are used from the following sources: 2010 Statistical Yearbook of Statistics Vietnam Specialized reports of MARD, Vietnam Report of the Ministry of Science and Technology Vietnam Report of the Institute of Science and Technology Vietnam Report of the Institute of Policy and Strategy for Agriculture and Rural Development Vietnam IPSARD Report of the FAO report Report of the Department of Planning and Investment of Soc Trang province Report of the Department of Planning and Investment Department of Tra Vinh

35THANK YOU

36