Speeding up the construction of a rubber processing factory in Dien Bien

The Northern mountainous region currently has 9 companies located in the provinces of Dien Bien, Lai Chau, Son La, Ha Giang, Lao Cai, Yen Bai, which are engaged in growing, exploiting and processing rubber latex. Of which, Dien Bien province has 2 companies; Lai Chau province has 3 companies; Son La, Ha Giang, Lao Cai, Yen Bai provinces each have 1 company. The raw latex output of the companies reached 21 thousand tons (reaching 95% of the plan assigned by the Group). However, the processed latex output at the factories in the cluster only reached more than 56% of the total latex output of the region; 29% of the latex volume had to be sent for processing in other areas; selling raw latex accounted for 13%. This reality not only makes it difficult for companies to manage processing, increase transportation costs, reduce production and business efficiency, but some units also have to sell raw latex, reducing the processed latex output, not maximizing the overall profit of the Group.

To increase the value of output products and increase the competitiveness of products in the market, representatives of the leaders of 9 rubber joint stock companies in the Northern mountainous region all proposed to strengthen the management of raw latex quality for processing; pay attention to management, maintenance, and replacement of machinery according to regulations; monitor and assign labor reasonably; control and classify the quality of input materials closely, with the supervision of three parties.

The Vietnam Rubber Industry Group recommends that companies proactively develop their own production and processing plans. During the implementation process, it is necessary to regularly update production information of the domestic, regional and international rubber industry to have appropriate consulting and proposal solutions. To limit the need to bring raw materials to factories outside the region, increasing production costs, the Group recommends that Dien Bien Rubber Joint Stock Company accelerate the construction of a processing factory in Dien Bien, ensuring the processing capacity of all latex output of Dien Bien Rubber Joint Stock Company and Muong Nhe Rubber Joint Stock Company. At the same time, it recommends that units under the Group support Dien Bien Rubber Joint Stock Company in training workers and technicians to be ready to operate processing when the factory is completed and put into operation.

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