January 13, 2020
Vietnamese companies collaborate on swine production
Thadi, the agricultural arm of automotive manufacturer Thaco Group, will collaborate with pangasius exporter Hung Vuong JSC (HVG) to raise swine following the European Food Safety Authority (EFSA)'s standards, Vietnam News Agency reported.
Based on a strategic cooperation agreement signed between the two sides, Thadi will hold 65% stake in a joint venture with HVG to raise up to 1.2 million swine annually.
In 2020, VND2 trillion (US$86.34 million) would be invested in raising about 45,000 breeding swine at farms in An Giang and Binh Dinh with 15,000 head expected to be supplied to the market in March.
Thadi will additionally acquire a 35% stake of HVG and participate in the latter's board of management.
Thaco's chairman Tran Ba Duong said HVG has exclusive rights to raise a swine variety imported from Denmark. The company has developed high-tech farms in An Giang and Binh Dinh, supplies high-quality piglets to farmers, and also produces cattle feeds. However, the company has suffered losses and financial difficulties in recent years.
Cooperation with Thaco is expected to help HVG gain breakthroughs in livestock farming and provide Vietnamese consumers with safe food products at affordable prices, said HVG chairman Duong Ngoc Minh.
Minister of Agriculture and Rural Development Nguyen Xuan Cuong spoke highly of the cooperation, saying the strategic deal will contribute to developing high-tech farming in Vietnam. He also expected Thaco to expand high-quality cattle farming to meet domestic demand.
Thadi has charter capital of VND3.5 trillion and owns in total agricultural land of 29,600 hectares, of which 10,000 hectares are for fruit farming. The company also raises about 90,000 head of beef cattle.