Enhancing export capacities of agricultural products with production unit codes

Joining hands to establish production unit codes

The export volume of agricultural products from Gia Lai province has maintained a stable growth within the last few years. It is projected that the total export turnover of agricultural products from Gia Lai province will reach 680 million USD by the end of 2023.

This achievement can be attributed to the positive impacts of various free trade agreements including the EVFTA and the RCEP, which have enabled Vietnamese businesses to expand their target market reach and enhance export capacities. Additionally, local residents and cooperatives have proactively undertaken the construction of raw material areas, registration of production unit codes, and packaging facilities to elevate the quality of their products.

The Ia Mo Nong Agricultural Production - Trade - Service - Agritourism Cooperative in Ia Mo Nong Cooperative, Chu Pah district is a pioneering organization in establishing production unit codes for agricultural products. To date, the cooperative has successfully developed three production unit codes for over 124 hectares of durian production area and three production unit codes for over 100 hectares of passion fruit production area.

Mr. Le Van Thanh, Director of Ia Mo Nong Cooperative, stated that China previously required Vietnamese agricultural products to provide production unit codes to qualify for official export. As a result, the cooperative actively established production unit codes for official export to China, thereby enhancing the value of agricultural products for its members.

According to Mr. Thanh, the establishment of production unit codes brings significant value to agricultural products, with an emphasis on the local passion fruit. In collaboration with Nafoods, the cooperative effectively established production unit codes for local passion fruit. Consequently, Nafoods can monitor the yield of passion fruit through production unit codes and enter into agreements with individual households.

"Due to the recent oversupply, passion fruit from local farmers has faced significant challenges. However, passion fruit from farms with production unit codes in the cooperative are still purchased at high prices," stated Mr. Thanh.

Mr. Ho Hai Quan, Director of the Highland Production Areas at Nafoods Group, reported that the company recently collaborated with local cooperatives and residents to actively establish production unit codes as required by importing countries, including China. On the other hand, the establishment of production unit codes allows the company to manage passion fruit farms and ensures that the production process complies with specified requirements.

"Due to the increasing quality requirements for passion fruit, the company has strengthened its communication efforts to encourage local residents to care for the fruit in accordance with quality procedures, and establish production unit codes for exports, thereby achieving better prices," shared Mr. Quan.

Breakthrough in establishment of production unit code in Gia Lai province

With over 400 hectares of banana production areas in Dak Doa district, Hung Son High-Tech Agriculture Corporation has successfully developed seven production unit codes and three packaging facilities to serve the export market. Mr. Le Hoang Linh, director of the banana farm at Hung Son High-Tech Agriculture Corporation, shared that the company has actively focused on establishing production unit codes and packaging facilities to enhance the quality of their products for the export market. As a result, several international partners in importing countries have shown interest in their products and placed orders.

"The local banana production area is in the harvesting stage with a yield volume ranging from 22,000 to 25,000 tons per year, generating an annual of revenue 12 to 15 million USD. The company directly exports to several major markets including China, capturing a 50% export market share. Additionally, the company also holds export market shares in challenging markets such as South Korea, Japan, Kuwait," shared Mr. Linh.

According to a report from made by the Gia Lai province's Sub-Department of Crop Production and Plant Protection, the province currently has 209 production unit codes covering a total area of over 9,200 hectares and 33 agricultural product packaging facilities with a total packaging capacity of nearly 1,500 tons of fresh fruit per day.

Gia Lai province had 95 production unit codes and 22 packaging facilities from 2018 to 2022. Subsequently, Gia Lai province achieved a breakthrough in 2023 by establishing 114 production unit codes and 11 packaging facilities for agricultural products. The local agricultural products have been exported to multiple markets around the world such as China, Australia, New Zealand, and the United States.

Mr. Tran Xuan Khai, General Director of Gia Lai province's Sub-Department of Crop Production and Plant Protection, stated that the establishment of production unit codes not only facilitates product origin traceability but also enhances the awareness of the people regarding responsible production with an emphasis on the environment and society. Furthermore, production unit codes will improve the quality of agricultural products to meet the standards imposed by importing countries, thereby increasing the value of local products.

"In the future, many countries willrequire Vietnamese agricultural products and goods to provide production unit codes and packaging facility codes for export. In the near future, European countries will impose these requirements on Vietnamese agricultural products. As a result, it is necessary to focus on establishing production unit and packaging facility codes. In the short term, the province will focus on establishing production unit codes for products as required by importing countries. In the long term, every agricultural product from Gia Lai province must possess a production unit code to ensure quality," Mr. Khai emphasized.