Decision 344/QD-TTg 2022 the Sustainable Macadamia Development Scheme 2021-2030

DECISION

Approving the Scheme on sustainable macadamia development for the 2021-2030 period, with a vision toward 2050^[1]

THE PRIME MINISTER

Pursuant to the June 19, 2015 Law on Organization of the Government; and the November 22, 2019 Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration;

Pursuant to the November 15, 2017 Law on Forestry;

Pursuant to the November 19, 2018 Law on Crop Production;

Pursuant to the Government’s Decree No. 27/2021/ND-CP of March 25, 2021, on management of forest tree cultivars;

Pursuant to the Prime Minister’s Decision No. 150/QD-TTg of January 28, 2022, approving the Strategy for sustainable agriculture and rural development for the 2021-2030 period, with a vision toward 2050;

Pursuant to the Prime Minister’s Decision No. 255/QD-TTg of February 25, 2021, approving the Plan on restructuring of agriculture in the 2021-2025 period;

Pursuant to the Prime Minister’s Decision No. 523/QD-TTg of April 1, 2021, approving the Strategy for Vietnam’s forestry development for the 2021-2030 period, with a vision toward 2050;

At the proposal of the Minister of Agriculture and Rural Development,

DECIDES:

Article 1. To approve the Scheme on sustainable macadamia development for the 2021-2030 period, with a vision toward 2050 (below referred to as the Scheme), with the following principal contents:

I. VIEWPOINTS

1. Macadamia is a tree introduced from abroad and recently grown and developed in Vietnam. So, the development of macadamia production units should be carried out prudently on the basis of researches, solid scientific grounds, and market demands, ensuring association with socio-economic development and eco-environment protection tasks and conformity with strategies and master plans approved by competent authorities, thus helping generate jobs and increase income for the people, contributing to population stabilization and political security and social order and safety maintenance.

2. To develop macadamia on the basis of making the best use of natural, economic and social advantages of each region and locality; to gradually form the macadamia industry based on product value chain from macadamia growing to macadamia product processing and sale.

3. To develop macadamia on the basis of establishing concentrated production units, investing in intensive farming, and synchronously applying scientific and technological advances to improve productivity and quality, and turn out diverse products of high competitiveness meeting market demands.

4. To intensify mobilization of social resources and attraction of investment resources from all economic sectors for sustainable macadamia development. The State shall adopt mechanisms and policies and provide support for investment in accordance with law for a number of activities in which enterprises, organizations and individuals pay less attention to investment.

II. OBJECTIVES

1. General objectives

To develop the macadamia industry into an effective and sustainable production sector contributing to the implementation of the Strategy for sustainable agriculture and rural development for the 2021-2030 period, with a vision toward 2050, socio-economic development, environmental protection, and national defense and security assurance.

2. Specific targets

- The output of processed macadamia nuts will reach about 130,000 tons by 2030, and about 500,000 tons by 2050.

- The export value of macadamia products will reach about USD 400 million by 2030, and about USD 2.5 billion by 2050, with the percentage of macadamia in shell not exceeding 40%.

III. DEVELOPMENT ORIENTATIONS

1. Area and orientations of production units

a/ By 2030

To strive for the target that the total area under macadamia nationwide will be 130,000-150,000 hectares by 2030, mainly in provinces of the Northwest region (75,000-95,000 hectares, primarily in Dien Bien and Lai Chau provinces), the Central Highlands (about 45,000 hectares, primarily in Lam Dong, Dak Nong and Kon Tum provinces), and a number of localities with climate and soil conditions suitable to the ecological needs of macadamia tree (about 10,000 hectares). The Ministry of Agriculture and Rural Development and localities shall define the area and locations of macadamia production units after thoroughly evaluating investment potential and capacity, land fund, economic, social and environmental efficiency, and market demands.

b/ Development potential by 2050

Based on summarization and evaluation of macadamia development efficiency in the 2021-2030 period, to set specific orientations on the area and locations of macadamia production units by 2050, which is expected to reach about 250,000 hectares.

2. Macadamia processing facilities

a/ By 2030

- To encourage all economic sectors to invest in building macadamia preliminary-processing and processing facilities associated with raw material areas in the Northwest and Central Highlands regions; to upgrade 65 existing macadamia preliminary-processing and processing facilities; to build 300-400 new ones, with a facility’s annual capacity of 100-200 tons of nuts.

- To create conditions for enterprises to invest in building about 8 plants for deep processing of high-value macadamia products, with a plant’s annual capacity of 10,000-15,000 tons of fresh nuts in localities with favorable conditions.

b/ Orientations toward 2050

After 2030, the system of macadamia preliminary-processing and processing facilities shall be reviewed and evaluated for use as a basis for setting orientations for the scale of development of macadamia preliminary-processing and processing facilities suitable to the material areas in the Northwest, Central Highlands and other regions.

IV. SOLUTIONS

1. Regarding science and technology

- To continue research into, selection and creation, introduction from abroad, and testing for diversification of macadamia cultivars of high productivity, quality and economic efficiency, pest resilience, and adaptation to ecological sub-regions.

- To build a system of hedge orchards, mainly in the Northwest region, in order to have sufficient sources of materials for production of cultivars; to complete and master vegetative propagation technology for macadamia trees on an industrial scale; to increase the capacity of the cultivar production system in order to supply sufficient cultivars meeting relevant standards and technical regulations for growing macadamia trees in new areas and grafting macadamia trees according to the Scheme’s objectives.

- To develop and transfer the process of pure growing or intercropping of macadamia trees for each sub-region; the process of macadamia production with application of high technology and Good Agricultural Practices (VietGAP, GlobalGAP, etc.), and organic agriculture in order to create quality and safe macadamia products which are competitive in domestic and international markets.

- To research, design, manufacture or purchase technology and equipment for mechanizing the stages from growing, care, harvest to preservation and processing of macadamia products to meet domestic consumption and export demands.

2. Regarding organization of production 

- Localities shall, based on practical conditions, coordinate with science units in reviewing land areas included in master plans on production forests for macadamia development by the method of pure growing; intercropping of macadamia trees on land areas for growing industrial crops and vacant land areas included in master plans on protection forests in conformity with provincial master plans in the 2021-2030 period, with a vision toward 2050, and land use plans in each period.

- To encourage enterprises to collaborate with macadamia-producing farmers, through cooperatives and cooperative groups, to build concentrated macadamia production units and form a chain of macadamia commodities from the stages of growing to processing and sale of products.

- Scientists shall help localities research appropriate macadamia production units for each line/cultivar; transfer science and technology from the stages of growing, care, harvest, preliminary processing and processing of products to households and enterprises.

- To synchronously implement solutions to support the extensive and intensive development of cooperatives and cooperative groups producing macadamia, paying special attention to increasing the operational quality and capacity of cooperatives.

- Households should collaborate with enterprises, through cooperatives and cooperative groups, to build concentrated macadamia production units, and establish production unit codes to serve origin tracing and product sale.

- To promote the role the Vietnam Macadamia Association as a bridge closely linking households with enterprises in developing chain-based macadamia production, proving loan support, providing cultivar and fertilizer services, and facilitating effective and sustainable macadamia development.

3. Regarding the sale markets

- For the domestic market, localities shall support the building of brands of macadamia products associated with geographical indications; carry out trade promotion, public communication and introduction of macadamia products to domestic consumers.

- For the export market, localities shall continue to closely coordinate with related ministries, the Vietnam Macadamia Association and enterprises in taking measures to expand export markets and remove barriers to trade; focus on implementation of measures to promote the export of macadamia nuts and in-shell macadamia nuts via official channels and deeply processed macadamia products to markets in other countries.

4. Regarding mechanisms and policies

- To organize the effective implementation of current mechanisms and policies in order to encourage, and create favorable conditions for, the people, enterprises and scientists to invest in research and development of macadamia trees toward efficiency and sustainability, especially national target programs; programs on sustainable forestry development; mechanisms and policies to encourage enterprises to invest in agriculture and rural areas under the Government’s Decree No. 57/2018/ND-CP of April 17, 2018; policies to encourage the cooperation and association in the production and sale of agricultural products under the Government’s Decree No. 98/2018/ND-CP of July 5, 2018; credit policies for agricultural and rural development under the Government’s Decree No. 55/2015/ND-CP of June 9, 2015, and the Government’s Decree No. 116/2018/ND-CP of September 7, 2018, amending and supplementing a number of articles of the Government’s Decree No. 55/2015/ND-CP of June 9, 2015.

- To continue to review, amend and supplement current mechanisms and policies and promulgate new ones; to review, formulate and promulgate standards and technical regulations on macadamia serving the implementation of the Scheme.

5. Regarding investment funds

 To diversify investment funds for sustainable macadamia development through mobilization of all social resources, mainly from enterprises, people and other lawful sources.

- The state budget shall support macadamia development through the integration of implementation of programs and schemes in accordance with law to perform the tasks concerning formulation of mechanisms and policies, investment in infrastructure, scientific research, technology transfer, human resource training, trade promotion, and market expansion.

- Funding sources from mobilization of all social resources shall be used to invest in establishing material areas, building preliminary-processing and processing facilities, and selling macadamia products. Localities with climate and soil conditions suitable to the ecological requirements of macadamia trees shall create favorable conditions for organizations and individuals to invest in macadamia development in their localities.

6. Regarding international cooperation

To continue to expand cooperation with other countries and international organizations in order to remove barriers to trade and expand the market for sale of macadamia products; to enhance cooperation in transfer of sciences and technologies related to cultivars, and process of growing, harvest, preservation and processing of macadamia products.

V. ORGANIZATION OF IMPLEMENTATION

1. The Ministry of Agriculture and Rural Development:

- As the standing agency of the Scheme, to assume the prime responsibility for, and coordinate with related agencies in, guiding localities to organize the effective implementation of the Scheme.

- To assume the prime responsibility for, and coordinate with others in, proposing and formulating mechanisms and policies for implementation of the Scheme and submit them to competent authorities for promulgation.

- To strictly manage macadamia cultivars in accordance with law; to direct and guide localities to grow macadamia trees with cultivars recognized by the Ministry of Agriculture and Rural Development; to continue to research, select and create new macadamia cultivars of high yield and quality suitable to ecological sub-regions of Vietnam; to supplement and improve standards, technical regulations and technical instructions on macadamia trees toward intensive farming; to intensify training in and transfer of science and technology on development of macadamia trees.

- To assume the prime responsibility for, and coordinate with the Ministry of Natural Resources and Environment in, directing and guiding provinces in the Northwest and Central Highlands regions and a number of localities with climate and soil conditions suitable to the ecological requirements of macadamia trees to review, evaluate, determine the appropriate scale and land area for growing macadamia trees; to direct and guide the pilot growing of macadamia trees with an appropriate scale, and evaluate their efficiency before growing macadamia trees in other localities (where climate and soil conditions are suitable to the ecological needs of macadamia trees).

- To coordinate with the Ministry of Industry and Trade and the Vietnam Macadamia Association in researching and forecasting the supply and sale market of macadamia products domestically and internationally to set development orientations, promptly adjust production activities, intensify trade promotion, diversify products, and build brands of Vietnamese macadamia products.

- To assume the prime responsibility for monitoring and evaluating the results of the annual implementation of the Scheme, and organize a review every 5 years; to identify difficulties and problems and propose solutions for reporting to the Prime Minister in each period.

2. The Ministry of Industry and Trade

- To assume the prime responsibility for, and cooperate with the Ministry of Agriculture and Rural Development in, helping localities, trade associations, enterprises and cooperatives build and develop brands of Vietnamese macadamia products; to direct and guide localities to review and build a system of deep-processing facilities with modern technology and appropriate scale associated with raw material areas for diversifying products of high quality to meet domestic consumption and export demands.

- To assume the prime responsibility for, and coordinate with the Ministry of Agriculture and Rural Development and the Vietnam Macadamia Association in, researching and forecasting domestic and international markets for sale of macadamia products; to carry out trade promotion activities, and develop domestic and international markets for sale of macadamia products.

3. Related ministries and sectors shall, based on their assigned functions and tasks, coordinate with the Ministry of Agriculture and Rural Development and localities in formulating and improving mechanisms and policies and organizing the implementation of the Scheme.

4. Provincial-level People’s Committees

- Localities with climatic and soil conditions suitable to the ecological requirements of macadamia trees shall review, evaluate, determine the appropriate scale and land area for growing macadamia trees, and integrate contents on macadamia production units into provincial master plans. To research and formulate local mechanisms and policies in the direction of promoting production linkage and land accumulation to form concentrated production units for intensive macadamia growing; to create favorable conditions for enterprises to invest and develop macadamia based on value chain, deep processing, and linkage with sale markets. To balance and mobilize different funding sources to implement the Scheme in accordance with law.

- To strictly manage the production and trade of macadamia cultivars in localities according to their competence and regulations; to strictly handle violations committed by organizations and individuals producing and supplying macadamia cultivars.

- To direct functional agencies to carry out public communication and guide people to grow macadamia-nut trees by the method of vegetative propagation (grafting) recognized by the Ministry of Agriculture and Rural Development, and on the efficiency of using good cultivars in production, technical measures for macadamia intensive farming with high economic efficiency; to intensify training in and transfer of science and technology on macadamia tree development to people and enterprises;

- To coordinate with the Ministry of Agriculture and Rural Development and other ministries and sectors in formulating mechanisms and policies to implement the Scheme.

- To organize a preliminary review and evaluation of the results of the implementation of the Scheme for the 2021-2025 period as a basis for determining the appropriate scale for macadamia development in the subsequent period; to promptly report difficulties and problems and propose solutions to the Ministry of Agriculture and Rural Development for summarization and reporting.

5. The Vietnam Macadamia Association

- To closely coordinate with the Ministry of Agriculture and Rural Development, Ministry of Industry and Trade and related ministries, sectors and localities in the implementation of the Scheme; to organize research and forecast of domestic and international markets for sale of macadamia products in order to set development orientations, promptly adjust production, intensify trade promotion, diversify products, and build brands of Vietnamese macadamia products.

- To coordinate with localities, cooperatives, cooperative groups and households in investing in building raw material areas, carrying out value chain-based production linkage, deeply processing associated with sale markets.

 - To enhance cooperation and information exchange with the Macadamia Associations of other countries to carry out public communication about and introduction of the Vietnamese macadamia commodities and products to domestic and international organizations and individuals; to promote its role as a member of the World Macadamia Organization in collecting information on the development trend of macadamia in the world; to facilitate the effective and sustainable development of Vietnam’s macadamia industry.

Article 2. This Decision takes effect on the date of its signing.

Article 3. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial-level People’s Committees, and related organizations and individuals shall implement this Decision.-

For the Prime Minister
Deputy Prime Minister
LE VAN THANH