Although the purchase price is high, the development of the raw sugar cane areas in Tuyen Quang Province still faces many difficulties. Picture: Dao Thanh.
In the 2022-2023 cane harvesting season, Son Duong Sugar Joint Stock Company’s raw sugar cane purchase price is VND1,030/ton. Compared to the 2021-2022 press harvest, this purchase price has increased by 80 VND/kg. Although the price has risen, the expansion of the company’s raw materials division still faces many difficulties, according to a Son Duong Sugar Company official. The reason is that many people have switched to growing other short-term crops, but the income price per unit area is also quite high.
In addition, currently in rural areas, most of the young people work as workers in companies, so there is a severe labor shortage, while sugar cane cultivation requires a lot of labor, especially in the care and maintenance phase. so many families are opting for other short-term crops instead of sugarcane.
According to Mr. Nguyen Nhu Tien Dung, Vice General Manager of Son Duong Sugar Joint Stock Company, the company’s material area is more than 2,000 hectares in the 2021-2022 pressing season, but this pressing season is only more than 1,700 hectares.
The shrinking sugar cane area makes the raw materials for sugar production scarce, the factory only produces in one plant in Hao Phu township, Son Duong district, and the plant in Binh Xa township, Ham Yen district has to temporarily stop operations. The total sugar cane harvest of Son Duong Sugar Joint Stock Company this year is 80,000 tons of raw cane and about 8,000 tons of sugar.
The Son Duong Sugar Joint Stock Company has expanded the raw cane area and adopted a high price buying policy to attract growers. Picture: Dao Thanh.
In order to promote the effective expansion of raw material area, the price of raw pipe will rise to VND1,150,000/ton from the 2023-2025 crop year; The price of sugarcane seeds ranges from 1,280,000 to 1,350,000 VND/ton. The company’s investment policy for newly planted and replanted sugar cane land is up to VND 53 million/ha; for original pipe saved up to 20 million VND. Company pledges to support 3 million VND/ha for households switching from annual crop to sugar cane; Support of VND 5 million/ha for households switching from permanent crops to sugar cane and support of VND 3 million/ha for households replanting sugar cane.
In addition, the company adjusts policies to support seeds, fertilizers, tillage, etc. The company undertakes not to pay more than 30 days from the date of delivery of all cane and all valid documents.
Dang Thi Khoa’s family from Dong Tam Village, Hao Phu Township, Son Duong District, has been cultivating 1 ha of sugar cane for 10 years. Ms. Khoa said this year’s raw sugar cane will be bought at a price of VND 1,030/kg as many households growing sugar cane are now profitable.
In 2023, when the purchase price of VND 1,150/kg applies, many households will return to cultivating raw sugar cane. Since an average of 1 ha of sugar cane is produced with a yield of more than 70 tons/ha minus costs, farmers have a profit of almost VND 50 million/ha.
However, the commitment to this price should be correct and long-term, so as not to cause panic among farmers, if this is the case, their family and many households will certainly be stable and develop.
Despite many difficulties, Tuyen Quang Province’s sugar industry also has many advantages. The most noticeable of these is the high price of sugar cane in the market, leading to the consumption of all sugar produced, with the market price reaching VND 17,300/kg; no inventory line.
After 2 years of personnel and production restructuring, the skilled workers have so far stabilized in their work and are connected to the company; the company is also actively restructuring the workforce; Development of production programs to ensure science and minimize costs of production and operations.
The high price of sugar made the Son Duong Sugar Joint Stock Company’s sugar inventory almost non-existent. Picture: Dao Thanh.
Besides this, the company also continues to apply scientific and technical advances in production, such as: Many varieties of sugar cane, such as KK3, LK, gave high yield and sugar after some trial crops; Deployed 6 large field models in Son Duong, Chiem Hoa and Ham Yen districts, which also released labor and added value on the same land totaling 12 hectares, helping farmers increase their income.
Tran Hai Tuyen, director of Tuyen Quang Provincial Cultivation and Plant Protection Subdivision, said it is hoped that the acreage of sugarcane material will increase by about 500 hectares in the 2023-2024 harvest with many preferential measures.
At present, Son Duong Sugar Joint Stock Company and local authorities are preparing well the conditions of machinery, transportation vehicles, personnel, etc. to ensure the harvesting and transportation of sugar cane. do not allow the situation of sugar cane, which has long been cut in the field, because the means of transport have not yet been arranged; Prepare capital to fully and timely pay the sugar cane raw materials and transportation costs to the people in accordance with the company’s mechanism and policy.
Tuyen Quang Province aims that the area of the whole province’s raw sugar cane area will reach more than 4,000 hectares by 2025, with an annual sugar cane output of 320,000 tons. However, to achieve this goal, sugarcane farmers must first see the profits of sugarcane while pursuing a long-term stable policy that accompanies people so that people can feel safe to stay with the company’s sugarcane.” Son Duong sugarcane shares are also very necessary.