Vietnam’s Tea Industry to Emphasize on Quality

Drinking tea has always been a habit and tradition for Vietnamese folks. People have planted tea for over three thousand years and the beverage is considered a strong aspect of its culture. The country’s tropical climate and soil conditions make it very suitable to its cultivation. Since the beginning of the 20th century, Vietnam had engaged in the commercial production of tea. For such, Vietnam’s tea products have made a strong presence around the world and have been exported to many different countries. But with competition now tightening with other tea-producing countries, Vietnam's tea sector recognized the necessity on improving its product's quality, hygiene and safety instead rather than the productivity. To make such possible, investing in modern processing technology is considered alongside traditional processing techniques. Stricter controls should also be imposed to better ensure the safety of their produce.
Viet Nam Tea Association said they would focus on expanding cultivation areas, as the plantations harvested at present were below the processing capacity. Vietnam is the world’s 5th largest exporter of tea, and first in its production in ASEAN. Last year, Vietnam exported 130,000 tons of tea. In the first seven months of this year, it exported 65,000 tons. Approximately 6 million Vietnamese earn their livelihood from tea through the 445 businesses involved in its processing and export. Farmers who grow tea can earn about VND19.5 million (US$1,000) per hectare.
But its quality, by far, is keeping Vietnam’s tea industry from reaching global markets’ standards. Among the recognized factors that stall its chances to acquiring world-class quality include the lack of world trademark as 99% of the export was raw materials. Another problem is the uneven productivity where in some cases farmers harvested 6 tons per hectare, while gathering only 1-2 tons per hectare on other plantations. The industry recognizes the lack of investments into improved cultivation practices as well. Despite the large number of enterprises involved in the trade, not many have invested enough in machinery and assembly lines. With the quality not as competitive, Vietnamese tea are priced low.
The lack of cooperation between farmers, enterprises and the Government is another major roadblock in promoting improvements in the industry. The association recommends that localities cease issuing license to new tea factories until the production situation in existing factories had been assessed. When a factory fails to meet production requirements, they would have to comply with the standards or be shut down. A suggestion on planting new tea varieties with higher productivity as a move to increase the country's tea specialty is also proposed.
In the International tea conference in Hanoi, the chairman of the Pakistani Tea Association expressed its willingness to work together with Vietnam to improve its tea quality. Controlling the use of pesticides and apply international criteria in all phases of tea production was strongly recommended. Another issue that was brought up is on improving the pricing. Representatives of 20 other countries come to the same conference, including Malaysia, Pakistan, India and the United Kingdom. Many believe that the tea industry in Vietnam has excellent potential and prospects for future growth. The biggest challenge for now is to implement its plans in promoting better quality on its products. With proper government aid along with the assistance from willing partner countries, the challenges to its tea industry could be easily overcome. That would then bring Vietnam’s tea the recognition it deserves.