Tapioca market: not enough demand
Tapioca market: not enough demand
In some areas such as raw materials, Yen Bai, or some central provinces, fresh cassava prices also skyrocketed. About 1 month ago, the price of fresh cassava 800 thousand dongs / ton, has now increased to over 1 million / ton. There are many places worth nearly 1.2-1.3 million / ton that cassava is becoming very effective for hill lands, steep, difficult terrain for the cultivation of other crops.
The cause of the "fever" is due to the Chinese market and strong sales of starch products in Vietnam. According to some manufacturers, the 2nd reason is because this year should profit slowed harvest 1 month. Some places like Van Yen - Yen Bai had 3 months it did not rain so that the dry land, very difficult to harvest. If it rains, the soft soil, a day can spit is 3-4 quintals uprooting cassava is now only 2 kg. Not to mention the hard dry ground, spitting anywhere bulbs to break it to dig with picks, so very late harvest also causes lack of fresh cassava.
Although cassava is crowned, producer of starch and cassava growers are beneficial, but the fluctuation of this item is very difficult to predict. In late 2008 - early 2009, thousands of tons of starch piled in Lang Son border gate due to obstacles in the export to the Chinese market. Department of cassava in 2008, the market witnessed cassava atmosphere when the price of fresh cassava gloomy about 400-450 VND / kg but still unsold. Some of the thousands of hectares of cassava material to harvest but farmers abandoned on hill due to sell is not enough public money care and handling.
Currently, across the country have formed many cassava material areas across from North (Yen Bai, Phu Tho) to Central (Nghe An, Binh Dinh) and extends into several central provinces - Highland. Some businesses have invested to Laos to expand the raw materials for the processing industry for starch. However, now as the company shares Quang Ngai Agricultural Products and Foodstuff (APFCO) found starch export market to Europe is very rare. The majority of enterprises still rely on China as the main market and the risk incurred by the vagaries of the market. According to Chi Ma border customs, about 300-500 tonnes per day cassava is exported to China and 90% of Vietnam's cassava starch exported to China.
Currently there are over 500,000 hectares of cassava with production of over 8 million tonnes. Nationwide there are 60 processing plants have starch on an industrial scale with a total processing capacity of over half a million tonnes per year of cassava starch. Up till the end of 11/2009 about 3 million tonnes of cassava and starch were exported with a total value of nearly $ 500 million. 2009 while many export commodities and decline slowly in value, the cassava starch crowned with exports rising more than 4 times in volume and turnover increased by 3 times. Main export markets remains China, accounting for over 90% of turnover. Followed by South Korea accounted for 5.5%; Taiwan 2%; Europe (1.7%) and a very small fraction begin to be Japanese ...
China currently imports about 6 million tonnes of cassava per year and is the third largest ethanol producer in the world, behind the US and Brazil. Many Chinese local mandatory ethanol-blended gasoline use in cars. Specifically, Guangxi, where 70% of Chinese cassava production with 7 million tonnes / year. Therefore, China's market for cassava and cassava starch are strong.