Tea is an essential commodity

     Recently, in the face of complicated developments of the Covid-19 epidemic, making it difficult for the transportation and circulation of goods, even some localities in the early stages have issued documents with unique characteristics. “harsh” substances that hinder the circulation of goods. Facing that situation, the Ministry of Industry and Trade issued Official Letter No. 4481 announcing the list of essential goods and services, including tea products.

Green tea hill in the early morning.

Previously, implementing the Prime Minister’s Directive 16 on urgent measures to prevent and control COVID-19, some contents of the directive, especially the concept of essential goods, were not yet understood and uniformly implemented, which was confusing. Difficulties for enterprises producing and trading critical goods.

At the same time, based on the recommendations of several businesses and industry associations, the Ministry of Industry and Trade proposed the local Departments of Industry and Trade review and advised the Provincial People’s Committee to allow circulation when implementing the distance according to the directive. 16 for some groups of essential items.

Accordingly, in the list of food products/product groups goods under the Ministry of Agriculture and Rural Development Management, tea is also one of the essential goods circulated during the epidemic season. In addition, the Ministry of Health has also issued an express document 5753/BYT-MT on testing and creating favourable conditions for cargo carriers. Thus, mechanisms and policies related to the circulation of goods, avoiding disruption when transporting goods during the epidemic season, initially removed difficulties for the domestic market.

In addition, to increase the consumption of tea products, many localities have had many good directions when linking domestic tea consumption with the goal of “Vietnamese people use Vietnamese goods”.

In Tuyen Quang province, to exploit and promote the potential and strengths of tea, the Department of Agriculture and Rural Development of Tuyen Quang province advises the Provincial Party Committee, the People’s Council, the Provincial People’s Committee to issue guidelines and policies to focus on exploiting all resources effectively and sustainably about the potential and advantages of Tuyen Quang tea, based on synchronous development of production, processing, and tea consumption markets in association with the application of advanced technologies. With new techniques in production and diversified, safe and high-quality products, Tuyen Quang tea products have become branded products and have a position in the domestic and international markets.

Besides, to achieve the goal that Vietnamese people give priority to using Vietnamese goods, talking with Mr Tran Hai Tuyen – Director of the Sub-Department of Cultivation and Plant Protection of Tuyen Quang province, said: Orientation for tea production of Tuyen Quang, first of all, it is necessary to improve the competitiveness of products by enhancing the quality, diversifying products, actively improving designs to create confidence in product quality, consumers have more choices. Choose to achieve this with its role. The agricultural sector actively cooperates with localities to guide producers and processing enterprises to expand production areas to apply VietGAP and organic standards; do good food safety management in production.

Additionally, effectively implement the supporting mechanisms and policies of the province and the central government to invest in the development of production and processing. Promote branding, product branding and market promotion of tea products; actively bring high-quality tea products to participate in trade fairs and product introductions.

Actively introduce the potentials and advantages of Tuyen Quang’s tea plants to attract businesses with potential in the capital, processing technology, and domestic and foreign markets to invest in production linkages along the value chain.

Although it is a mountainous province with many difficulties, in recent years, Tuyen Quang province has always paid attention to improving the competitiveness index (PCI), creating a favourable environment for businesses and individuals to invest. , production and trade effectively. Supplementing mechanisms and policies to encourage enterprises in the province to increase the application of science and technology and develop supporting industries; expanding distribution channels of Vietnamese goods conveniently and flexibly; promoting trade promotion activities, organising and strictly managing activities of bringing Vietnamese goods to the countryside; establish sustainable Vietnamese selling points in markets, industrial parks, rural, remote and isolated areas; encourage the building of brands of Vietnamese goods, especially agricultural products and critical commodities with advantages; strengthen inspection and control of the market, detect and strictly handle acts of trading in contraband, counterfeit goods, poor quality goods, goods that do not ensure food safety and hygiene and commercial frauds. ; propagandize, disseminate and enforce the law on consumer rights

Before the current Covid-19 pandemic’s complicated developments, the tea industry faced many difficulties and challenges. Discussing the effects of the pandemic on our country’s tea production and consumption, Mr Nguyen Huu Tai – Chairman of the Vietnam Tea Association, said: The Covid-19 epidemic still has complicated developments. , causing difficulties and damage to businesses. There are sizeable concentrated tea growing areas that require a lot of labour in the harvesting stage to mobilize labour from other localities in the harvest season. Still, isolation must be carried out, so it cannot be deployed. Basic local production. In that context, many businesses have increased mechanization to increase productivity and reduce labour on the hills.

At processing facilities, due to the requirements of isolation and distance, seasonal workers have to be mobilized far away to be narrowed. Businesses have arranged and rearranged labour, overtime, reduced labour and Split production shifts to ensure social distancing. Adding equipment, especially in labour-intensive stages, replacing conveyors that transfer materials and products to replace labour

Although at the beginning of 2021, due to weather changes, wet rain and then prolonged hot weather due to global climate change, in some northern tea regions, the output of fresh bud tea decreased by 10% compared to the same period in 2020. However, due to good investment in intensive farming and adaptive solutions in the prevention of the Covid-19 epidemic in the localities, the yield, quality and output of our country’s tea remained stable. The increasing growth reached about 2-3% over the same period last year, about 2-3% lower than expected if there was no epidemic.

The Covid-19 epidemic has not significantly affected tea consumption by ​​all classes in the country and the world because of the benefits of tea to human health, especially the effect of increasing resistance. , sterilization of tea when drinking hot. However, the epidemic has hindered domestic and international circulation. Many tea service shops have to close for social isolation. Tea is exported mainly by shipping containers, but shipping prices have skyrocketed. Sometimes, it is impossible to hire ships because of the lack of containers. Transport costs consume and exhaust export businesses, leading to a decrease in exported tea prices. Many companies in Nghe An, Ha Tinh and some cities have been delayed shipping tea because they have fallen into epidemic areas and have to implement social isolation.

The markets where Vietnam has signed the CTPPP, and EVFTA Trade Agreements have barely been exploited due to technical barriers and consequences caused by the Covid-19 pandemic. The organization of trade promotion, market surveys, and tea cultural exchange at home and abroad, the tea industry has stalled. However, in the face of difficulties, many enterprises have adjusted their production and distribution organization system accordingly. Products are increasingly diversified with the trend of increasing value.

E-commerce and other online buying and selling forms in the tea industry are developing rapidly. Therefore, the basic tea consumption level remains stable.

In the market, according to statistics from the General Department of Customs, Vietnam’s tea exports in June 2021 reached 11.1 thousand tons, worth 19.6 million USD, down 7.8% in volume and down. 2.4% in value compared to June 2020. The average export price of tea in June 2021 reached $1,761.1 per ton, up 5.8% compared to June 2020.

In the first half of 2021, tea exports reached 58.1 thousand tons, worth $94.9 million, up 0.3% in volume and 4.4% in value over the same period in 2020. Exported tea prices The average export value in the first half of 2021 reached 1,632.9 USD/ton, up 4.1% over the same period in 2020.

*The article propagates the Government’s implementation of Resolution No. 84/NQ-CP, dated May 29, 2020.

Author: Ta Thanh