Chief Executive Officer – Vietnam Cacao Joint-stock Company
Cocoa tree has been recently known in Vietnam. Could you please introduce this industrial tree and its development potentials in Vietnam agriculture in general?
The full name of cocoa tree is Theobroma Cocoa (“Food of the Gods”), and it origins from the Central America during the times of the Aztec and Maya civilizations. Cocoa was brought to Europe via the Spanish venture trips in the XV and XVI century. Since then, cocoa has been now an indispensable food of the American and European these days. The North American consumes more than 50% of the cocoa world production; Switzerland is the top cocoa consumers in Europe (6.5kg per capita). Cocoa has been recently popular in the countries with tea-drinking tradition such as Japan (consuming about 152,000 tons/year) while the growth rate of cocoa consumption in China is 40% per year.
The consumption of cocoa is very optimistic whereas its annual output in the world is very unstable. The world total cocoa output is of about 3.47 million tons/year in 2006, Cote d’Ivoire and Ghana produce 62%, the annual output in these two countries fluctuated around +/-15% in the past recent three crops. In Southeast Asia, cocoa output of Indonesia - the leading cocoa producer - decreased by 12% and Malaysia’s output is gradually falling from 36,000 tons of the 2002-2003 crop. This uncertainty is attributed to the political instability (in Africa), the gene aging of cocoa trees in plantations (in Indonesia), the lack of labor and cocoa competitiveness compared with other plants (in Malaysia). The deficit in output is also shown in the ratio between bean supply and processing capacity, which is about 49.6% (in 2006-2007).
In this context, Vietnam has stood out as a country with a great potential in cocoa. Over the past decade, the world has seen Vietnam agricultural miracles. From a food-shortage country, Vietnam has surpassed the USA to become the world’s second largest rice exporter, threatening the number- one position of Brazil in coffee, and made the Southern State of the USA struggle with Vietnamese catfish. Regarding to cocoa tree, Vietnam has obvious advantages. In terms of timing, the world’s demand for cocoa increases quickly while the output is struggling a bit. This is a good time for Vietnam to promote its growing cocoa trees to meet the domestic demand and export. Geographically, Vietnam lies in the same “cocoa” longitude with Ghana, Cote D’ivoire, Indonesia, and Malaysia, the four largest cocoa producers, characterized with tropical weather, heavy rain, and fertile land, which is favorable for cocoa tree. On the other hand, cocoa tree is a inter-cropping tree and grows well under available leaf canopies or gardens; farmers do not have to buy new land or fell existing trees to plant cocoa, which means farmers can intensify the existing land and crops and face less risky decision making. This means, Vietnam can expand cocoa plantation rapidly and largely. In terms of human resources, Vietnam has advantages in labor as the cocoa industry, in general, employs many workers. In fact, in order to turn the potential into reality, Ministry of Agriculture and Rural Development (MARD) has approved the Proposal for Cocoa Tree Development Until 2015 and Orientation Until 2020 at the Decision No.2678/QD/BNN-KH. In addition, Vietnam has also received multifaceted cooperation from international organizations such as DANDIDA, GIZ, WWF, and USAID, among which the most outstanding is the assistance from US Department of Agriculture for the project “Sustainable Cocoa Development For Farmers In Vietnam - SUCCESS ALLIANCE”. From 2004 up to now, the total cocoa plantation of Vietnam is more than 10,000ha, mainly in Ben tre, Tien Giang, Ba Ria, Daklak, and Binh Phuoc provinces.
What are the orientations of Vietnam Cacao Joint-stock Company in the development of Vietnam cocoa industry, in general, and those who participate in this industry : cocoa growers, consumers, in particular?
Vietnam Cocoa Joint-stock Company, brand name: VINACACAO was established in 2007, in response to the decisions of the Government and MARD to have Vietnam well appeared in the world cocoa map, to develop an industry & agriculture that benefit farmers, and change the growing structure in localities where the multiple orchard plantations are not of high economic values.
Vinacacao’s development objectives include:
- Purchasing cocoa beans to ensure that cocoa bean output is all consumed;
- Establishing cooperatives of cocoa growers to ensure that they will enjoy the best export price;
- Providing information on the world market to the growers;
- Protecting cocoa growers from world market fluctuations;
- Supporting cocoa growers with cocoa farming techniques and post-harvest technologies to ensure that the quality of cocoa beans well meet the export demand;
- Developing Vinacacao as Vietnam leading brand name in the cocoa industry and chocolate;
- Introducing healthy food beverage to replace harmful stimulants;
- Focusing on consumers such as elderly people, women, children, and those concerned about their health;
- Mobilizing domestic and foreign capital resources to construct cocoa bean-processing factory to serve domestic food industry, pharmacy, and cosmetics;
- Replacing imports by supplying good materials for domestic food and confectionery industry ;
- Building a sustainable cocoa processing industry to protect environment and long-term interest of participants in the industry;
How is the quality of Vietnam cocoa bean? What about the competitiveness of our cocoa as compared with those in the neighboring countries?
Vietnamese cocoa beans are of high quality as we have come a bit late when cultivation and breeding techniques have experienced many advanced progresses. Vietnamese cocoa are well supported and closely supervised by ACDI/VOCA and Success Alliance under US Department of Agriculture. Vietnam cocoa bean is of 56% as butter (Ben Tre), which is high butter content and equivalent to that of the world’s leading cocoa exporters such as Ghana and Cote D’ivoire. Cocoa butter is a marvelous fat from the nature; it is the most valuable product in cocoa-processing industry.
What are the benefits of cocoa for health?
Cocoa is generally known as a rich nutrition food. Many leading scientists in Europe and the USA have recently discovered more than 300 active elements of cocoa, which can cure diseases in our time such as heart disease, blood pressure, depression, aging, and cancer. Among them the most outstanding is antioxidant such as Flavonoids, Polyphenols (which are also available in green tea and black grapes), neuro-transmitters, anti-depression such as Serotonin. Theobromine is a relaxant. In addition, cocoa is also a food rich in soluble fibers – the main anti-obesity food.
Which products are being introduced into the market by Vinacacao? What is your plan for future products?
Realizing the number of elderly people in Vietnam is rather high (13.7%) and this tends to increase in the years to come, Vinacacao is now introducing healthy products, Pure Cocoa products of Good Morning, Good Afternoon, and Good Night for elderly people, women, those on diet, and those who take care of their health. These products are widely sold in supermarkets and agents nationwide. To serve connoisseurs in restaurants, hotels, and cafeterias, Vinacacao has introduce the bitter cocoa for a blending ingredients, Caravelle products. For the buzy (busy and lazy) people, we have launched the Cocoa 5 in 1 with appealing chocolate flavor, fervent mocha coffee, sweet malt, and familiar Vietnam fruits … In future, we will launch dark chocolate for elderly people, athletic people, women and white milk chocolate for school kids and teenagers who are in fact in a need for energy food.
( Vietnam Businessman Newspaper)
