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Livestock Company Opens Feed Factory

8 February 2012, at 9:11am

VIET NAM - The Hong Ha Nutrition Joint stock Co, a private Vietnamese firm, yesterday inaugurated an advanced animal feed production line to raise its capacity to 400,000 tonnes per year, becoming the largest fodder processor in Viet Nam.

The factory is located on a total area of 7ha, at the Dong Van Industrial Zone, Duy Tien District, in the northern Ha Nam Province.

Last year, the enterprise decided to invest more than VND150 billion (US$7.1 million) in the new production line to reach its current capacity, nearly ten times more than the initial capacity of 48,000 tonnes seven years ago.

The event marked a significant milestone as a local private firm reaching such a great capacity, said industrial analysts.

Minister of Industry and Trade Vu Huy Hoang said that market share of the feed processing sector was mainly dominated by foreign-invested enterprises, including the CP Group of Thailand and Cargill of the US.

Therefore, authorities encouraged all economic sectors to tap into this sector. It is essential to map out long-term plans to boost investment of the domestic firms, especially taking bold investments in plantations of corn, soybean and other raw materials.

Mr Hoang confirmed that Viet Nam would further encourage local enterprises to invest in the sector as Viet Nam had advantages in this kind of production.

To ensure the material supply, the factory extended raw material collection, built storehouses near the plantation region and supported farmers to reach a high yield of materials. As well, it managed to import high quality materials not available in the country.

The firm applied the international standard ISO 9001-2008 in production and management. It sold nearly 200,000 tonnes and reached a revenue at VND1.5 trillion ($71.4 million) last year, contributing to the state budget nearly VND7 billion. With the good performance, it is listed among the Top 500 largest private enterprises in Viet Nam.

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