Prime Minister witnesses the signing of MoU between De Heus and Hung Nhon

Cooperating on agricultural projects

On the occasion of Prime Minister Pham Minh Chinh's official visit to the Kingdom of the Netherlands, the Dutch Royal De Heus Group and the Vietnamese Hung Nhon Group signed a Memorandum of Understanding (MoU) establishing strategic collaboration and partnership.

The signing event was witnessed by Vietnamese Prime Minister Pham Minh Chinh as well as Vietnamese and Dutch ministers and department heads.

Mr. Koen De Heus, Global General Director, represented De Heus at the MOU Signing Ceremony, while Mr. Vu Manh Hung, Chairman of the Board of Directors, cum General Director, represented Hung Nhon Group.

According to the agreement, De Heus and Hung Nhon plan to cooperate, construct, and develop projects in agricultural fields such as poultry and livestock breeding, development of raw materials (corn and cassava) for feed production, and high-tech agricultural production value chain based on the Dutch cooperative model in Vietnam.

In the field of high-quality cattle and poultry breed production for the Vietnamese market, the two parties would promote a high-tech model of livestock value chain between 2022 and 2030. Hung Nhon will invest in the construction of large-scale, modern cattle farms that meet international standards.

De Heus will supply animal farms with high-quality, internationally-standardized pig and poultry breeds. The capacity is expected to reach 7,500 Great Grand Parents (GGP) breeding swine in the Central Highlands region; 30,000 commercial sows in the Southeast, South Central, and Central Highlands; 58 million breeder chickens and 25 million broiler chickens in Tay Ninh; and 58 million breeder chickens and 25 million broiler chickens in Tay Ninh. Annual revenue is anticipated to approach USD 2 billion.

Mr. Koen De Heus, Global General Director of De Heus, explained why they chose Hung Nhon as their primary partner in Vietnam: "Hung Nhon is a respected firm that specializes in cattle production in particular and agriculture in general.

The operating model of Hung Nhon is deemed suitable for the development strategy, business activity expansion, and the objective of becoming a companion to Vietnam's livestock farmers and husbandry firms. De Heus anticipates collaborating with Hung Nhon to pursue the goals.

Mr. Vu Manh Hung stated, "De Heus is the world's largest firm in agriculture, providing services for famous brands such as De Heus, Windmill, and Koudijs, among others. Consequently, working with De Heus is an honor for Hung Nhon. As a result of this partnership, Hung Nhon obtains sophisticated breeding technologies from the Netherlands. From there, construct future large-scale agricultural projects in Hung Nhon." 

De Heus is a leading agricultural developer in the Netherlands with more than 100 years of experience. It comes to Vietnam to develop a sustainable livestock value chain, ensure biosecurity, and protect the environment by building disease-free breeding areas.

It is known that De Heus and Hung Nhon, as part of their collaboration plan, have developed a chain of high-tech agricultural complexes DHN in three provinces of the Central Highlands, namely Lam Dong, Dak Lak, Gia Lai, and the future two provinces of Dak Nong and Kon Tum.

DHN Dak Lak will implement environmental-friendly and energy-saving measures in animal husbandry, pig slaughtering, organic fertilizer production, and farming that meet the standards and technical regulations of Vietnam and other international specialized organizations.

The complex is anticipated to use 4.0 technology throughout the breeding process, therefore facilitating the management of livestock quality, the optimization of livestock performance, the reduction of product costs, and the achievement of high economic efficiency. Using a grid-connected solar power system, which generates 30 percent of clean electricity, substantially reduces CO2 emissions compared to conventional power sources.

In animal husbandry, organic farming, pig slaughter, and organic fertilizer manufacturing, employing ecologically friendly and energy-saving practices in accordance with the regulations and technical rules of Vietnam and other international specialized organizations.

Mr. Hung stated, "Upon completion, the chain of projects will help to transform the Central Highlands into a hub for piglet supply and the development of leading high-tech breeding models in Southeast Asia and Asia."