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Wednesday, 17-6-26 08:54:22

Economics

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Binh Duong: A new trading address of coffee products

Yet in recent times, Binh Duong has emerged as a manufacturing center and the country's largest coffee processing zone. A large number of manufacturers namely Anh Linh, Bac Ha, Truong Ngan, Trung Nguyen Coffee Joint Stock Company, Intimex Binh Duohng, Intimex My Phuoc, and Nam Nguyet in the country who have put the their processing plants in localities of Binh Duong Province.  All these companies are estimated to churn out averagely 100 - 400 tons of coffee year. Ever since 2009, not only domestic enterprises but also foreign ones including Loui (Swedish), Sunwah (Taiwanese), Noble (USA), Coffe Mix (Singaporean) have been attracted to Binh Duong Province. Obviously, the coffee processing industry in Binh Duong is to follow the path of the wood processing industry .The reason is because of the fact that Binh Duong Province has so many advantages over the Highland of Vietnam - the socalled "capital" of coffee. Due to traffic obstacles, investors think of Binh Duong Province as a factory of quality raw coffee to be distributed to other localities at ease. It is estimated that transportation of raw coffee cost VND 500 a kg with an additional of VND 100 a kg for warehouse before production could be started up in Binh Duong Province. Meanwhile, transportation cost in Highland is VND 400 VND a kg.However, transporation cost to ports and habors is much higher. Nguyen Van Huan, a new coffee business owner in Ben Cat said: "The policy of the Binh Duong is 'ventilated' plus excellent infrastructure making it difficult for investors to resist the 'charm'. Binh Duong is also close to major ports, thus, enterprises would hold the upper hand in exporting products, ensuring the credibility and quality with foreign partners ". Located in the southern key economic region, being the Ho Chi Minh city's gateway to the Central Highlands through the large ports such as Saigon and Cat Lai, enterprises in Binh Duong Province would be more active in delivering and receiving coffee sources in domestic and foreign market. Therefore, the exchange service is not conducted on farms but at vast warehouses and ports. The warehouses are the not only functional best place for large-scale transit of goods.It is put that along with investors rushing to open factories in Binh Duong, the emergence of large-scale coffee warehouses has met the demand for raw materials and export services as a inevitable necessity. Reported by Khanh Vinh – Translated by Vi Bao
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