2,200 new agricultural firms formed
17:02 | 07/01/2019

VGP – According to the Ministry of Agriculture and Rural Development (MARD), 2,200 new agricultural enterprises were set up in 2018, up 12.3% compared to 2017 and pushing the total number of firms in the sector to 9,235.

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In 2018 alone, 16 modern factories for vegetable, pork, and poultry processing were built with a total investment of about VND 8.7 trillion (US$ 371.1 million), contributing to enhancing the quality and diversifying agro-forestry-fisheries products.

Throughout the year, the MARD continued to transform agricultural cooperatives in line with the Law on Cooperatives. After six years implementing the law, the number of new agricultural cooperatives has increased to 5,816, including 1,935 set up in 2018.

The average registered capital for each firm is VND 17.8 billion (US$765,400), higher than the national average at VND10.2 billion (US$438,600) per company. 

Notably, agro-forestry-fishery is one of the two sectors whose number of operational enterprises is higher than those with halted activities. 

Along with the booming of small- and medium-sized businesses, a number of large firms have increased investment in agriculture, especially high-tech agriculture, including Nafoods, TH, Dabaco Viet Nam, Masan, Lavifood, and Doveco.

By the end of 2018, Viet Nam has 39 federations of agricultural cooperatives, along with 13,400 cooperatives, a rise of 14.6% over 2017. Of the total, 55% operated profitably. The ratio of cooperatives involved in selling products for its members also rose to 20%, instead of the previous 10%.

Meanwhile, the country now has 35,500 farms, a rise of 1,500 farms against 2017.

Under the encouragement of many policies supporting enterprises to invest in agriculture and rural areas, agricultural product processing and storage, as well as the support industry have also developed./.

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