Business Monitor International (BMI) is optimistic on the outlook for Vietnam 's coffee production and dairy sector and forecasts that in 2014, coffee production will grow by 23 percent and milk production grow by 41 percent up from 2009.
BMI's Vietnam Agribusiness Report for the third quarter of 2010, posted on "Companiesandmarkets.com" on June 3, notes that the Vietnamese government has shown commitment to lifting quality and supporting exports by recently buying up large quantities of coffee.
"While this poses some short-term problems - such as farmers hording in the hope of getting higher government prices - the state's involvement should ensure output growth; this is after all a highly economically important agricultural subsector in export terms," it writes.
Meanwhile, Vietnam 's dairy sector will be boosted by a recent 350 million USD investment by TH Milk Joint Stock Company to enhance cattle-raising and milk processing in Nghe An province, according to the report. The project includes the construction of a 10,000 hectare pasture farm for up to 45,000 heads of cattle within two years, and 100 million USD for a processing factory designed to produce up to 530 million litres of milk per year, which would make it the largest factory of its kind in Vietnam .
In addition, the BMI's report predicts increases of 33 percent, 31 percent and 21 percent for 2014 for poultry, pork and beef production respectively; as well as an 18 percent rise in rice production.
Regarding macroeconomic data BMI forecasts a GDP growth of 4.4 percent for 2010 (down from 5.3 percent in 2009), a consumer price index of 10.2 percent (up from 7 percent in 2009).
The Vietnam Agribusiness Report adds that the country's agricultural resources are under pressure from strong population growth and rapid urbanisation, and yet positive production outlooks for well-invested industry subsectors suggests that significant improvements can be made if private and public sector investment were more forthcoming./.
BMI's Vietnam Agribusiness Report for the third quarter of 2010, posted on "Companiesandmarkets.com" on June 3, notes that the Vietnamese government has shown commitment to lifting quality and supporting exports by recently buying up large quantities of coffee.
"While this poses some short-term problems - such as farmers hording in the hope of getting higher government prices - the state's involvement should ensure output growth; this is after all a highly economically important agricultural subsector in export terms," it writes.
Meanwhile, Vietnam 's dairy sector will be boosted by a recent 350 million USD investment by TH Milk Joint Stock Company to enhance cattle-raising and milk processing in Nghe An province, according to the report. The project includes the construction of a 10,000 hectare pasture farm for up to 45,000 heads of cattle within two years, and 100 million USD for a processing factory designed to produce up to 530 million litres of milk per year, which would make it the largest factory of its kind in Vietnam .
In addition, the BMI's report predicts increases of 33 percent, 31 percent and 21 percent for 2014 for poultry, pork and beef production respectively; as well as an 18 percent rise in rice production.
Regarding macroeconomic data BMI forecasts a GDP growth of 4.4 percent for 2010 (down from 5.3 percent in 2009), a consumer price index of 10.2 percent (up from 7 percent in 2009).
The Vietnam Agribusiness Report adds that the country's agricultural resources are under pressure from strong population growth and rapid urbanisation, and yet positive production outlooks for well-invested industry subsectors suggests that significant improvements can be made if private and public sector investment were more forthcoming./.
