Governor of Sekong province Khamphan Phommathat (right) hands the license for renting 8,000 ha of land over Vietnam-Laos Friendship Rubber Company’s leader

On June 2 at the rubber farm in the Thateng district of Sekong province (Laos PDR), the Vietnam-Laos Friendship Rubber Co., Ltd (LVF) held a ceremony to summarize the planting of 1,000 ha of rubber trees in 2006 and conduct the project of planting 1,500 ha of rubber trees in 2007. Member of Laos People’s Revolutionary Party Central Committee-cum-provincial Party Committee Secretary, governor of Sekong province Khamphan Phommathat and the director of Binh Dinh Planning and Investment Department Le Van Tam attended the meeting.

According to the cooperation between Sekong and Binh Dinh provinces, Binh Dinh province People’s Committee allowed Binh Dinh Pharmaceutical and Medical Equipment Company (BIDIPHAR) and Laos’ CBF Pharma Company to set up a joint-venture named LVF with the total capital investment of US$10 million and the registered capital of $10 million, in which BIDIPHAR contributes 80% to grow rubber trees and other industrial crops and build a latex processing factory.

Laos Government has currently granted the license to the LVF to rent 8,000 ha of land within 50 years, in which 5,000 ha is used for rubber trees planting. After over one year, LVF reclaimed virgin soil and grew 1,000 ha of rubber trees in the forest of the Thateng district. This has daily brought jobs to 300 people in which there are 200 Laos’ ethnic minority people.

Currently, the LVF has already reclaimed more 1,000 ha of virgin soil and prepared for sowing the seeds on 800 ha of soil under the plan of growing 1,500 ha of coffee crops in 2007. This will also create jobs for 400 people (including 300 Laos people).

Speaking at the ceremony, Khamphan Phommathat acknowledged the promising development of the company and pledged that Laos Government would create the most favourable conditions for LVF.

• Reported by Q.K
• Translated by Hong Quang