Saravan authorities seek help for cassava farmers after price falls
Saravan authorities seek help for cassava farmers after price falls
Saravan provincial authorities are seeking ways to help local cassava farmers after they received lower incomes for the crop due to a recent decline in the sale price.
The price fall was blamed on higher transpor tation costs between the province and Thailand after Thai authorities banned the export of goods via the Taphan National Park border checkpoint in the province.
A provincial Industry and Commerce Department official, Mr Sourisay Keothida, told Vientiane Times yesterday the ban was officially implemented over the last month, forcing buyers to bring cassava for export at the Vangtao border checkpoint in Champassak province.
To reach this checkpoint, buyers have to pay more money for transpo rtation as it is quite far away.
“To help farmers, we are assessing the impacts to report to the provincial governor for negotiation with Thai authorities and seek a better way forward,” said Mr Sourisay.
The province currently has 8,230 hectares of cassava under cultivation and most of the buyers or promoters are Thai.
As the crop has enjoyed good market prices and high demand over the last few years, the number of plantations doubled this year, said the head of the provincial agriculture section, Mr Phonexay Chanthabouasone.
The price for raw cassava after harvest is now about 400 kip per kg and dry cassava about 800-900 kip per kg, while as recently as last dry season it was about 1,100-1,200 kip.
Mr Phonexay expected that this rainy season, the numbers of cassava growers may decrease after they are faced with the lower prices.
The provincial agriculture section is coordinating with district agriculture offices to promote sweetcorn for sale as it could help to bring the cassava price up by encouraging alternative production and thereby reducing overall cassava supply, he added.
As there was surplus cassava production in the Saravan market this year this was also a contributor to the fall in prices.
The provincial authorities are also allowing an area of land to be used for a Thai company concession, which has submitted documents. They need the land to build a cassava processing factory but haven't begun construction yet.
If the factory is located in the province, it will offer a more stable market for cassava farmers and give them greater income certainty.
Cassava was one of the top three export crops in the first six months of this year nationwide, during which time Laos exported almost 350,000 tonnes of the commodity, worth about US$66.5 million.
Market demand for cassava is still high in the region, especially where there are easy routes to production facilities.