From selling areca nuts to buying gold, many areca growers are starting to worry about 'going yellow'

One ton of areca nuts used to be worth 1 tael of gold, but over the past week, the price of areca nuts has started to drop dramatically, and many places have stopped buying them - Photo: TRAN MAI

On October 19, speaking with Tuoi Tre Online , Mr. Nguyen Nhu Cuong - Director of the Department of Crop Production, Ministry of Agriculture and Rural Development - commented on the story of areca nut prices increasing and then falling dramatically, as a "formula". Thereby, many lessons were set for informal export products.

What does the Ministry of Agriculture and Rural Development say when areca nut prices skyrocket and then 'plummet'?

If 1 ton of areca nuts used to be worth 1 tael of gold, then over the past week, many areca growers have started to worry about losing their "face" because the price of areca nuts is plummeting, and some places have even stopped buying.

In Binh Son district, Quang Ngai province, there are many areca nut purchasing kilns. However, the scene of employees busily purchasing, as well as people picking and separating areca nuts… is no longer as bustling as it was ten days ago.

Mr. Pham Hung Phi (Binh Trung commune, Binh Son district) said: "Every year I go to work on areca nuts. My job is to weigh, check, and pay. From early September to early October, I can't even lift my head to weigh the areca nuts because of the hustle and bustle. For the past ten days, I've been sparsely stocked and about to stop buying areca nuts. The price is still 40,000 - 50,000 VND/kg, but I'm cautious, if I buy, I'm afraid there won't be a place to sell."

According to Mr. Nguyen Van Nam (a trader in Hanoi), the biggest buyer of areca nuts is China. Areca nuts are consumed in this market to make areca candy, or as an ingredient for stewing porridge, quail, etc.

Over the past three months, Mr. Nam said he has increased his purchases of areca nuts, collected by containers from the central provinces. "However, my customers reported that the market here has slowed down. I understand and adjust my plans and prices. Therefore, I will collect and deliver all orders that have been deposited but not yet delivered. After that, depending on the situation, I may stop purchasing," Mr. Nam said.

"Too many lessons from pepper, dragon fruit…!?"

Mr. Nguyen Nhu Cuong - Director of the Department of Crop Production, Ministry of Agriculture and Rural Development - admitted that the story of areca nut prices increasing, areca nut being rushed to buy, then prices falling without stopping... is truly a "formula".

"I'm right, it's a "formula" for informal export products. Especially products with very narrow market requirements. State agencies and the media have been talking about it for a long time, but our farmers still have a serious "forgetfulness" problem.

Too many lessons from pepper, dragon fruit... The Ministry has also recommended, warned, and directed many times.

There are many lessons about cutting down this tree and planting that tree when the price is high and not in a direction, without a stable market. However, the decision lies with the farmers. When traders stop buying, the authorities cannot intervene because this is a spontaneous action," said Mr. Cuong.

According to Mr. Cuong, if we want to develop areca trees, we must have a direction, must plant them in advantageous areas, must have a systematic purchasing contract with Chinese enterprises, and avoid depending on traders and small traders through unofficial channels...

Meanwhile, a leader of the Department of Quality, Processing and Market Development (Ministry of Agriculture and Rural Development) assessed that the price of areca nuts has skyrocketed as Chinese traders increased their purchases due to a sudden increase in demand for this fruit.

"Areca nut is not a major crop or agricultural product like rice, coffee, etc., so the record high purchase price is only a temporary and sudden change. The market rules are not as sustainable as other agricultural export products," he said.

Source: https://tuoitre.vn/tu-cho-ban-cau-mua-vang-nhieu-nguoi-trong-cau-bat-dau-lo-se-vang-mat-20241019142132266.htm