The North Central Highlands, a destination for mega livestock projects

Numerous projects with substantial investment capital have been registered

Several provinces in the North Central Highlands are witnessing a strong wave of investment in high-tech livestock farming, which includes numerous mega projects with substantial investment capital. The region currently houses multiple projects in various stages of development or planning for implementation.

One of the most notable projects include Ricky Farms 79, a modern and closed-loop pig farming facility owned by Ricky Farms Corporation. The farm is located in Ia Sol commune in Phu Thien district, Gia Lai province, enveloped by lush green rice fields.

The farm is currently in operation with an annual capacity of 32,000 meat pigs. Additionally, the company is constructing a pig farming facility in Thong Nhat hamlet, Ia Sol commune with a similar annual capacity of 32,000 meat pigs. The latter farm is scheduled to begin operations in October 2023.

Mr. Hoang Thanh Tung, General Director of Ricky Farms Corporation, stated that the company plans to invest extensively in the construction of two additional farms, each with a capacity of 3,600 breeding sows and 96,000 piglets.

Mr. Tung commented on the reason for choosing Phu Thien as an investment destination, "The advantage of Gia Lai province over other regiosn in Vietnam is the vast land reserves, leading to reduced costs in land clearance and compensation. Furthermore, the population density in these areas is relatively low, which helps ensure a safe biological distance in disease prevention."

Bao Giang Livestock Company Limited in Phu Thien district is investing in a high-tech pig farming facility with an annual capacity of 24,000 meat pigs. Similarly, the pig farming facility owned by Phuc Huy Gia Lai Livestock Company Limited in Chu Se district has an annual capacity of 2,500 breeding sows and 80,000 piglets.

The Mavin Group is currently implementing two high-tech pig breeding center projects in Kbang district including a center with an annual capacity of 4,000 breeding sows and 100,000 parent sows for a total investment capital of 120 billion VND. On the other hand, the remaining center focuses on high-tech poultry breeding with an annual capacity of 40,000 breeder hens and 4 million egg-laying hens. Accordingly, the poultry center covers an area of 40 hectares with a total investment of 95 billion VND.

In addition to pig farming, Gia Lai province is also attracting numerous companies investing in high-tech cattle farming. Most notably, Cao Nguyen Meat and Dairy Cattle Farming Joint Stock Company is investing in a meat and dairy cattle farm in Dak Ya commune, Mang Yang district. This farm reportedly has an annual capacity of 10,000 dairy cows, 2,000 beef cattle, and a total investment of 861 billion VND.

The Trung Nguyen Livestock Farming Company Limited is also investing in a meat cattle farm in Chu Prong district with an annual capacity of 25,000 beef cattle. This meat cattle farm covers an area of 155 hectares with a total investment of 1,163 billion VND.

According to Mr. Thai Van Dung, Deputy Director of Gia Lai province's Sub-Department of Livestock Production and Animal Health, the province's favorable natural conditions have facilitated the development of livestock farming, with a large number of cattle and diverse livestock species.

"Within the last few years, the province has attracted many large-scale livestock farming projects, promoting strong development in the livestock sector with a focus on concentrated and industrial farming. Additionally, disease prevention and control in livestock is essential to the stable and sustainable growth of the livestock sector," shared Mr. Dung.

Gia Lai province currently has 203 projects covering an area of 9,300 hectares with a total investment of over 34,400 billion VND. The scale of these livestock farming projects includes 105,000 cattle, over 4 million pigs, 40,000 parent stock chickens, and 19,200 breeding ducks. Most notably, 57 of the aforementioned projects have received the Provincial People's Committee's investment approval decisions, 146 projects are in the process of applying for investment approval decisions. Additionally, there are 25 projects currently in operation, with nearly 46,800 cattle and 181,000 pigs.

Shifting the mindset from problem-solving to business partnership

The livestock sector in Kon Tum province has undergone a significant transformation from small-scale, household-based, self-sufficient farming to large-scale production of commodities. Furthermore, Kon Tum province has successfully established supply chains and attracted investments in large-scale livestock farming, with a focus on advanced scientific and technological methods to enhance productivity and quality.

There are currently 15 active livestock farming projects in Kon Tum province with a total capacity of thousands of animals. Additionally, there are 23 local pig and poultry farms currently participating in farming contracts and partnerships with livestock companies such as CP Vietnam Corporation, Mavin Group, Greenfeed, Japfa Comfeed, CJ Vina Agri, among others.

The development of large-scale livestock farming and the application of advanced technology have led to numerous positive changes. Namely, major livestock companies have collaborated with local households in pig and poultry farming, contributing to increased incomes for farmers.

The livestock sector in the North Central Highlands of Vietnam is currently undergoing transformation from small-scale individual farming to larger, more organized farming operations. These changes have fostered the establishment of production and consumption linkages and shifted the structure of livestock towards species that provide high economic value, marketability and stability in the market. Many livestock models have incorporated advanced and closed-loop technologies to produce high-quality products that meet both domestic and export market demands.

Provinces in the North Central Highlands have taken steps to encourage businesses to invest in livestock farming. Accordingly, they have directed their departments and local governments to enhance legal support for businesses. Furthermore, these provinces have introduced special mechanisms and policies to incentivize investments in livestock farming.

Mr. Phan Dinh Huy, Director of Phuc Huy Gia Lai Livestock Company, noted that Gia Lai province's economy is primarily driven by agriculture. However, the majority of livestock producers in Gia Lai are small-scale and fragmented farming households. Consequently, the province recognized the importance of involving companies in well-planned projects to attract large-scale investments in specific regions.

Moreover, regions with rocky soil that is unfit for crop production can be leveraged for the development of integrated livestock farms. Gia Lai province has identified this advantage and is actively pursuing it to attract business investments in livestock farming.

According to Mr. Huy, there are many livestock businesses interested in investing in Gia Lai province as well as other provinces in the North Central Highlands due to the availability of land. However, the policies to attract investment are not welcoming for livestock businesses. There are discrepancies between policies at the central and local levels, which need to be addressed.

"To create opportunities for businesses to invest, local governments need to adjust their policies and activities with a focus on identifying strengths and weaknesses, and gradually removing obstacles in the development of the livestock sector," Mr. Huy emphasized.

Similarly, Mr. Hoang Thanh Tung, General Director of Ricky Farms Corporation, emphasized the need for proper land planning to attract investment in livestock farming. For instance, many livestock businesses currently face difficulties in land use planning.

"To enhance the growth of the livestock sector in the North Central Highlands, governmental agencies must change their mindset and cooperate with businesses in removing obstacles. When calling for investment, the government needs to guide businesses through the process until completion," Mr. Tung suggested.

According to Mr. Doan Ba Quyet, Deputy Director of Kon Tum province's Department of Livestock Production and Animal Health, the Department will collaborate with relevant agencies and local governments to review land planning and allocate land reserves for the construction of high-tech livestock facilities and value chain integration. Additionally, the Department will gradually adjust land fund policies to attract major businesses with financial strength, technological capabilities, and effective marketing strategies.