Located in the Central Highlands, Lam Dong province is blessed with a mild climate and fertile soil suitable for agriculture. The province has made good use of its advantage to attract foreign investment in developing hi-tech farming.
According to statistics of the province’s Planning and Investment Department, a total of 103 foreign-invested projects with combined registered capital of around US$530 million are operating in the province. Among the projects, 88 are fully owned by foreign investors, accounting for most of the FDI capital (US$454 million).
One of the first and biggest FDI companies in Lam Dong is the Dutch-invested Dalat Hasfarm which began operation in 1994. It is involved in the production and distribution of plants and flowers, along with cow raising for meat and milk, and the cultivation and processing of vegetable and other farm produce.
Other successful foreign-invested companies include the Maico-Da Lat operating in tourism at Tuyen Lam Lake in Da Lat city, Asuzac which makes dry vegetable and fruit in Don Duong district, Bejo Vietnam which produces plant seeds in Da Lat and Lam Ha district, and Atlantic Commodities Vietnam – a processor and exporter of Vietnamese coffee and cocoa in Bao Loc city.
Luu Trung Duong, head of the external economic section under the provincial Planning and Investment Department, said most FDI projects in agriculture in Lam Dong are of small scale with an average investment capital of US$5.12 million. They generated US$3.2 billion in revenues over the past 30 years, 70% of which from export. Those FDI projects provide regular jobs for around 10,000 local workers and thousands of seasonal labourers.
Despite the modest investment capital, FDI projects in Lam Dong have made significant contribution to local socio-economic development, especially in agriculture, in that they helped create hi-tech agricultural production models. The projects also helped build brand names for local farm produce.
Lam Dong has set the goal of attracting foreign investors with strong financial capacity and projects using modern technology to help with the province’s strategy of green, clean and sustainable development.
Chairman of the provincial People’s Committee Doan Van Viet said the province is working with the Japan International Cooperation Agency (JICA) to pilot the model of agricultural park with the aim of attracting Japanese investors to the province to produce farm produce for export to Japan.