Northern Samphan district eyes surge in GDP
Northern Samphan district eyes surge in GDP
Samphan district authorities in Phongsaly province expect to see productivity climb to a value of 172.69 billion kip by 2019, generating Gross Domestic Product (GDP) of about US$800 per capita.
They have set a target for GDP growth of at least 10.56 percent annually from 2015 to 2019.
Acc ording to a recent report on the district's five-year socio-economic development plan (2015-19), agricultural produce will contribute 9.08 percent to GDP, industry and ha ndicrafts will contribute 16.80 percent, and the service sector will contribute 15.44 percent.
Deputy Governor of Samphan district, Mr Khampeuang Meuangsay, told Vientiane Times recently the district has high potential in agriculture, which attracts private investors each year.
“Currently coffee growing is the most attractive area for foreign investors, especially private companies from China,” he said, adding that it has also boosted employment.
He explained that Chinese companies provide farmers with technical advice, funding and markets, while the farmers contribute their land and labour.
Deputy Head of Samphan district's Agriculture and Forestry Office, Mr Bounhieng Sensoulin, recently said coffee was first grown in 2011-12 on a limited area of land.
“One Chinese company has now expanded their plantation to over 570 hectares and hopes to extend it to about 3,000 hectares within five years,” he said.
Some mature coffee beans are now being harvested by local farmers with a Chinese company buying the crop for 2,800 kip per kg. The beans are milled before the coffee grains are sent to China.
The district authority predicts that fiscal year 2014-15 will be a productive year for farmers, who are set to harvest a large crop and earn more income because their plantations will be sufficiently mature to produce a lot more beans.
It is expected that investments will exceed 350 billion kip with public investment accounting for 67.17 percent, Official Development Assistance covering 8.61 percent, and domestic and foreign investment reaching 12.04 percent.
In 2010-14, gross productivity output was recorded at 135.47 billion kip, with GDP growth reaching US$696 per capita. This exceeded the planned target by US$188 compared to the previous five-year economic development plan.
