March 5, 2008

Vietnam catfish farmers seek business loans

Vietnam's tra farmers in the Cuu Long River Delta sought for the government's assistance as rising interest rates eat up dwindling profits, brought about by fall in catfish prices.

An Giang Fisheries Association sent a petition to the governor of the State Bank of Vietnam last week, to seek help for local fishermen.

The association requested that the central bank instruct commercial banks in Vietnam to prioritise aquaculture in terms of loan authorization.

Since February 20, interest rates have doubled.

Tu Duc, a tra farmer, said that previously, farmers had to spend VND1.3 billion (US$81,632) during their six-month tra farming crop. The investment capital was sourced from bank loans with interest rates of one percent per month.