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Development of Dak Nong Pepper has not been commensurate with the potential

Posted Date:27-03-2014 | 14:19:38
Pepper is one of key export agricultural products that brought big economic value to the province. However, during the past, its development remains not commensurate with existing potential and advantages of the province. To improve the situation, the province has formulated orientation and resolutions for stable development of pepper.

In structure of perennial crops, pepper area occupies a no big part with number 4 after coffee, rubber and cashew. In 2009 and 2010, due to complicated development of market price and pepper diseases especially Pathogenic nematodes, wilt causing rapid and slow deaths to pepper plant, pepper production of the province was unstable when plantation area was expanded but output went down. Particularly, in 2010, the whole pepper area of the province is 7,127 ha, an increase of 327 ha in comparison with 2009, but the output was just 11,777 tons, 442 tons down in comparison with 2009.

By 2011, pepper disease has been controlled, product price at market also stayed high, domestic rice of black pepper for sometime reached almost 155,000 dong/kg, white pepper got up to 200,000 dong/kg and accordingly, farmers invested more for plantation area expansion. At present, the area is nearly 8,356 ha, estimated output is some 13,479 tons with major production coming from districts of Dak R’Lap (2,803 ha), Dak Song (2,433 ha) and Cu Jut (1,324 ha) and these are key pepper areas which produce high output with high quality.

Among agricultural products for export of the province, pepper has always ranked the second in term of output (just after coffee). Since 2006 -2011, export output has been some 67,800 tons, as for 2011, it was estimated of 15,300 tons, major foreign markets were Singapore, Italia…

However, there are still many limitations in term of provincial processing, consumption and export of pepper: after copping, manual drying method is the most frequently used, so  quality of the product is low; number of direct exporters remains just a few, most of materials is sold in rough form to Chinese merchants and enterprises in Binh Duong Province, Ho Chi Minh City, Dong Nai Province…through the collection network with centipede feet of agencies in all over the province; the province now just has 4 processing units with capacity of 4,900 tons/year in districts of Dak R’Lap and Dak Song which is capable of meeting nearly 30% total output of the province not to mention these units remain restricted in term of processing technology with major form is rough process. That is why pepper of Dak Nong Province has not been strong enough to complete with domestic and international markets.

Based on existing potential and promoting advantages as well as exploiting effectively economic value of pepper at the same time, the province orients by 2020, pepper area will be expanded up to  10,000 ha, estimated output shall be some 30,000 tons with concentrated pepper-specialized area locating in two districts of Dak R’Lap and Dak Song; invests to upgrade 2 processing units in Dak R’Lap with capacity of 1,800 tons, plans to build up 2 processing units in Gia Nghia Town, increasing total output of the whole province up to 6,800 tons/year, build up 01 factory in Quang Tin Commune, Dak R’Lap Commune with output of 10,800 tons/year.

At the same time, the province shall focus its investments toward orientation of stable pepper development. Accordingly, by 2015, the conversion of 1,200 ha of miscellaneous garden and coffee with low economic value and after 2015 2,000 ha of plants will be in to pepper area; collect high productivity plants of good quality and strong ability of resisting diseases to replace under-qualified pepper garden; perform overall solution to improve uniformity and quality of pepper product. For newly planted pepper plants, live piles of fast grew plants will be used to reduce cost and limit forest wood cuttings for piles. Registration of models, trademarks and branding in order to increase export value and for higher economic value will be paid more attention to. 

M.Tam – Investment Promotion Center, Dak Nong Province

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