Prime Minister Bouasone Bouphavanh has urged Vientiane province authorities to encourage local farmers to grow more sweetcorn for supply to overseas markets.
Workers fill cans with sweetcorn for export.
More of the crop is needed to supply the Lao Agro Industry Company, which produces canned sweetcorn in brine in its Thoulakhom district factory.
“Expanded cultivation is not only to the company's advantage, it is also to the advantage of farmers and the government in developing this form of enterprise,” Mr Bouasone said during a tour of the Nam Mang 3 hydropower plant, irrigation scheme and the company on Saturday.
The company plans to export canned vegetables and fruit in 335 shipping containers totalling 8,333 tonnes this year, including seven containers of pickled mango, 28 containers of bamboo shoots in water, 120 containers of sugar palm seeds in syrup, and 180 containers of sweetcorn in brine.
Company President Loumkham Vongxay said “The products have been reserved under a purchase agreement, but there is market demand for 100 more containers of sweetcorn in brine, including 50 for Holland .”
The company may not be able to meet the additional demand because customers did not make an order eight months in advance.
“Customers say they did not reserve ahead because they did not know Laos could produce the product. Now they do. The Russian market also requires supplies,” Mr Loumkham said.
Mr Bouasone said “I am pleased and happy the company has boosted orders. It is good news.”
However, the company is afraid it may lose its reputation and customers if it cannot produce and supply as required. “We want to have enough produce for at least 400 containers per year, including canned sweetcorn,” Mr Loumkham said.
Currently, more than 300 families are growing sweetcorn on 428 hectares in the districts of Thoulakhom, Viengkham, Phonhong and Keo-oudom in Vientiane province and in Naxaithong district, Vientiane . The company provides the farmers with fertilisers, seed and advice.
They can supply 20 to 30 tonnes of sweetcorn to the company each day. “However, our production capacity is 60 tonnes per day,” Mr Loumkham said.
The company is now trying to expand the planting area. “We expect to have a sweetcorn plantation area of about 1,000 hectares by September next year,” Mr Loumkham said.
The expansion will not only be good for the company, but will provide jobs and income for local people.
The company produces pickled garlic and cabbage, rambutan in syrup, and baby corn in brine. A new brand of sweetcorn milk is very popular in mini-marts around Vientiane .
Raw materials are sourced from forests and farms in Luang Prabang, Xieng Khuang, Borikhamxay and Vientiane provinces. “Eighty percent of our raw materials are produced locally, but the tin cans are imported,” Mr Loumkham said.
About 5 percent of products are sold in the domestic market, with the remaining 95 percent exported to places like the UK, France, Germany, Poland, Vietnam and Thailand. In 2007 the company exported 180 shipping containers of goods, increasing to 200 containers in 2008.
It was established in 1994 under a 50 percent equal shareholding between Lao and Thai investors. It has a total annual production capacity of about 12,000 tonnes of canned food.
By Phonsavanh Vongsay (Latest Update September 18, 2009)
I hated it when the goverment official keep telling the farmer to produce but don't find the market for them. when the farmer don't have a good yeild in their crop .The goverment don't help out by subsidise the farmer produce. Mr. baousone telling and doing it, it two different things.when it the last time he go to other country ask them to buy Laos products .the farmer they don't want to wast their sweat and get nothing in return.
