Drivers of Dak Lak Economic Development

Founded in 1989, the Vietnam Export - Import Commercial Joint Stock Bank (Eximbank) is one of the first commercial joint stock banks in Vietnam. It is also one of the commercial joint stock lenders with largest owner’s equity (more than VND14,000 billion) and has total assets of more than VND100,000 billion. Eximbank is headquartered in Ho Chi Minh City and has business presence nationwide with 166 branches and transaction offices. The lender provides all financial services products.

 

With the active support from the parent bank, Eximbank - Buon Ma Thuot Branch, set up in October 2008, outperformed with high continuous growth. The branch timely provides capital for development investment in Dak Lak province.

 

Withstanding numerous difficulties and challenges, Eximbank Buon Ma Thuot made quick progress in both size and growth rate. In the past two years, the branch always made profits. At present, the branch’s outstanding loans reached VND550 billion and deposits totalled VND366 billion. The image of Eximbank is getting familiar to people and businesses in the province.

 

Seeing the rich potential in the province, Eximbank Buon Ma Thuot will pay more attention to improving service quality and developing new utilities. The branch will also strive to become a primary lender for organisations and individuals in Dak Lak province.

Any company, no matter how long it operates, must have a root and a starting point. This is also the case for Anh Minh Co., Ltd. The company was formerly a coffee purchasing agent located in 214 Ywang Street, Buon Ma Thuot City, Dak Lak Province. In June 2000, it was transformed into Anh Minh Co., Ltd specialised in building civil, industrial, traffic and irrigational works, manufacturing building stones, hot asphalt; producing coffee powder; transporting, etc.

 

Anh Minh Co., Ltd was established with just VND500 million of capital. This was a very small sum in comparison with other companies and it thus encountered numerous difficulties in business activities. Besides, its workforce was young and inexperienced while infrastructure was poor. However, with determination and unity of all staff, the company lived through difficulties to develop. The workforce expanded from 20 people at the start to 400 at present.

As regards coffee business, the company began with small business in the province but its business presence has been expanded across the country and stretched to some countries. The firm exported 25,000 tonnes in 2007 and 30,000 tonnes in 2009. In construction field, Anh Minh invested US$1.5 million to build three hot asphalt plants which supply asphalt for key traffic works like Da Rang Bridge - Phu Yen province, Dung Quat Industrial Park, East-West Highway and roads in Laos and Cambodia. Now, the company is investing some VND1,000 billion to build a new urban zone in Dak Lak province and other traffic works worth VND150 billion. The company also stepped into gold trading and coffee trading.

 

To have successes as today, we always appreciate and gratify the cooperation of investors, domestic companies and foreign companies. Hopefully, the cooperation will be always strengthened and developed on the basis of respect, prestige, quality and mutual benefit.

 

Saigon - Dak Lak Beer Joint Stock Company was established on February 02, 2005. The construction on its 25 million-litre-a-year brewery was commenced in June 2006 and put into operation in May 2007. To meet the market demand, the brewery was invested VND430 billion to upgrade its annual capacity to 70 million litres. This second phase was completed and put into operation in September 2009.

 

Implementing the policy of Sabeco Corporation, in September 2008, Saigon - Dak Lak Beer Joint Stock Company, Saigon - Phu Yen Beer Joint Stock Company and Saigon - Quy Nhon Beer Joint Stock Company merged and renamed to Saigon - Mien Trung Beer Joint Stock Company. Saigon - Dak Lak Beer Joint Stock Company was renamed to the Dak Lak Branch of Saigon - Mien Trung Beer Joint Stock Company. In spite of encountering difficulties and challenges in this period, thanks to the lending support of the provincial authorities and Sabeco Corporation and determination of all staffs, the branch overcame all problems and completed its tasks. Since 2009, the branch turned out over 1 million litres of draught beer. Particularly, in September 2010, the factory introduced Serepok beer bottles to the market. Serepok beer is brewed by modern technologies imported from Germany.

The launch of Serepok beer not only meets the market demand, increases revenues to the State Budget and creates more jobs for local workers but also gives a facelift to the industry of Dak Lak province and contributes to successful implementation of the Dak Lak industry and handicraft development programme in the 2006 - 2010 stage.

 

In recent years, Dak Lak Rubber Company (DAKRUCO) has researched and manufactured new lines of high-quality products for the market. At present, the company has latex factories with an annual capacity of over 15,000 tonnes. Over 90 percent of the company’s output is for export, mainly sold to Europe, Asia, the United States and Japan.

 

In addition to investing in production development and business expansion, DAKRUCO always attaches much importance to improving product quality to meet requirements of both export and domestic markets. DAKRUCO is the first enterprise in Dak Lak province to be certified the ISO 9001: 2008 quality management system. The company always strictly supervises all production stages from examining inputs to checking machines. Qualified products are stamped the mark VILAS 097. This is important step for the company’s products to penetrate into many demanding markets.

 

In the 2005 - 2010 stage, DAKRUCO planted nearly 9,000 ha of rubber trees, bringing its total rubber acreage to 22,400 ha. It exploited 80,800 tonnes of dried latex in the period, attained revenues of VND2,700 billion and export turnover of US$126 million, paid VND195 billion to the state budget and earned a profit of VND657 billion. In the 2010 - 2015 stage, DAKRUCO will plant more rubber trees and exploit 100,000 tonnes of latex. Each year, the company’s revenue is expected to reach VND600 billion and export turnover will climb to US$30 million.