Savannakhet seeking private investment to boost rice production
Savannakhet seeking private investment to boost rice production
Savannakhet authorities are stepping up cooperation with the private sector in the hope that more investment will encourage rice farmers to expand their operations and grow the crop on a commercial basis.
At present most farmers grow rice for consumption only, but this does not generate any income for them or the province, and some growers are switching to other crops.
The authorities hope that private investment will enable farmers to grow more rice which they can sell and make a profit from, as is the case with other crops such as sugar.
To attract investors, the province plans to expand the irrigation system so that water can be obtained in both the dry and wet seasons.
The existing irrigation system can deliver water to about 35,000 hectares of dry season rice fields, which yield more than 100,000 tonnes of rice. By 2030, the province plans to be able to irrigate about 91,000 hectares and obtain two million tonnes of rice, which would be used for personal consumption and for sale.
Savannakhet will focus on 13 irrigation projects, which will not require the use of pumps, along the Xebangfay and Xebanghieng rivers, provincial irrigation section Head Mr Navalath Boutchampa told Vientiane Times yesterday.
When these irrigation systems are in place, farmers will save money because they won't have to pay for the electricity they currently use to operate pumps.
Four irrigation channels are under construction, while five are planned under a Memorandum of Understanding, he said.
Savannakhet is one of the government's priority rice growing areas in terms of food security and commercial production as it has plenty of flat land.
But old irrigation systems, poor management and limited funding are obstacles to sustainable rice production, Mr Navalath said.
Many farming families have begun to grow other crops, which provide them with a better income and use less water.
The province has about 190,000 hectares of wet and dry season rice and expects this area to increase to 250,000 hectares by 2030.
Total rice production last year reached almost one milli on tonnes. The province currently produces a surplus of about 300,000-400,000 tonnes for sale and export.
Savannakhet farmers grow several rice varieties but thasano and homsavanh are among the most popular.
These two varieties are high quality, and pave the way for Laos to sell the crop on international markets.
Lao World Public Company is working with farmers in the province to improve rice quality with a view to exporting the crop to the European Union.
