Golden Mountain Garden Group to export rice to China
Golden Mountain Garden Group to export rice to China
Known as the Golden Mountain Garden Group in Xieng Khuang province, Laos, the company is now looking to expand its agricultural production, especially of organic rice, after reaching a new agreement with a Chinese buyer.
The company is now on track to prepare sufficient products to meet demand, which is increasing every year, particularly from China where there is a high demand for products such as khao kai noi and black rice.
Company Chairman Mr Phoukham Ouanouansa said they normally sell rice to Chinese buyers. This year, a Chinese buyer ordered at least 50 tonnes of rice from the company.
Mr Phoukham said the company is encouraging farmers to grow more khao kai noi using organic methods, hoping to attract the interest of consumers in China, Japan, Singapore and other countries.
“Now we not only have a new Chinese buyer, but also Japanese and Singaporean buyers each year,” Mr Phoukham said in an interview with Vientiane Times recently.
The company signed an agreement with the new Chinese buyer during the 4th China-South Asia Expo and the 24th China Kunming Import and Export Commodities Fair under the theme ‘Promoting amity, sincerity, mutual benefits and inclusiveness for win-win cooperation', held from June 12-17 in Kunming city, Yunnan province.
Lao Deputy Prime Minister Dr Sonexay Siphandone and his delegation visited the booth at the expo, Mr Phoukham said.
The Golden Mountain Garden Group and the Chinese buyer plan to carry out business in the long term, with a purchase agreement to be signed each year.
The rice, which is packed by the company, is mostly a traditional style favoured by Chinese people. “I have studied the Chinese market for many years to learn what kinds of products are popular there,” Mr Phoukham said.
The company's products are popular with both Lao and Chinese people as they are a good source of nutrition, Mr Phoukham said.
During the expo and fair in Kunming, Mr Phoukham, who is also Vice President of the Xieng Khuang provincial Chamber of Commerce, said many traders from other countries wanted to sign contracts to buy the company's products. “But this wasn't possible at present because we can only just manage to supply the Chinese market,” he said.
They have to negotiate with the Chinese company on every new product they make, in order to secure a guaranteed price.
“To ensure the quality of our rice exports to China, we will maintain our current quality which has gained the confidence of our buyers and customers,” Mr Phoukham said.
As the main producer of khao kai noi in Xieng Khuang province, Mr Phoukham said the company will look to expand the market for this rice variety with assistance from the government.
Xieng Khuang currently produces more than 40,000 tonnes of khao kai noi a year, of which 80 percent is reserved for supply to the province. The province is planning to list khao kai noi as a top export product.
The company is not only eyeing up more domestic markets, but also plans to expand into foreign markets.
According to the company, prospective purchasers from China have visited the province to look into the situation, but say they need organically grown rice, so these markets remain out of reach for the time being.
At present only 15-20 percent of the total cultivation area of 11,500 hectares is given over to organically grown khao kai noi rice, according to the provincial authorities.
The Golden Mountain Garden Group is located in Phonxay village, Paek district, Xieng Khuang province.
For more information please contact: 020 9886 6888 or 020 5518 7888, Tel or Fax: 061 213 899.
Email: gmglaos@hotmail.com
