One million tonne rice surplus reached last year
One million tonne rice surplus reached last year
Laos is currently producing a rice surplus of more than 1 million tonnes over total domestic demand, with the government pushing even greater production targets for export.
Last year, the Ministry of Agriculture and Forestry encouraged farmers to produce 3.4 million tonnes of rice, with 2.38 million tonnes the estimated amount required to satisfy domestic demand.
Last year, the country exported more than 100,000 tonnes of rice products (including paddy and polished rice) to Vietnam, Thailand, China and the European market.
According to Director General of the Agriculture Department, Dr Monthathip Chanphengsay, thousands of tonnes were also unofficially exported along the country's borders.
Rice was third biggest commercial export crop in Laos, after coffee and maize. The country earned US$60 million from coffee exports and US$55 million from maize last year, while rice brought in about US$10 million.
Some 100,000 tonnes of rice could not be exported because of quality issues. Despite the surplus, some people in rural areas with limited land available for cultivation were still left with only enough rice to sustain them for three to 10 months.
Many rural local farmers are still growing only enough rice to meet the needs of their family.
This year, the ministry plans to encourage farmers around the country to produce 3.8 million tonnes of rice, but officials are not confident farmers will reach the target, after only 400,000 tonnes was produced this dry season.
During the wet season, the ministry will encourage farmers to grow rice across about 720,000ha country-wide, aiming to harvest in excess of 4.5 tonnes per hectare.
Flooding and prolonged dry periods are major obstacles to farmers achieving this target.
Most of the cultivation occurs on flat land areas in Vientiane, Borikhamxay, Khammuan, Savannakhet and Champassak provinces.
Laos is aiming to produce 4.2 million tons of rice by 2015, with a view to becoming a rice exporter alongside its neighbours.
Population growth has triggered greater demand in recent years for the staple grain on Southeast Asian and world markets, creating the possibility for Laos to export rice within the region.
Last year, it announced plans to join neighbouring Vietnam, Cambodia, Myanmar and Thailand in establishing a rice exporting cooperative aimed at gaining leverage on the international rice market.
A report by the Asian Development Bank predicted Laos will be able to shift its status from rice importer to a minor rice exporter over the next decade if it can maintain current grain production and consumption growth rates.
However the US Department of Agriculture has warned Laos faces considerable constraints for future rice production, including limited arable land suitable for rice cultivation, a vastly underdeveloped irrigation capacity, and extreme underfunding for agricultural crop extension programmes.
vientiane times