Laos uses reserve fund to develop third rice variety
The Ministry of Agriculture and Forestry on Friday agreed to provide 4.8 billion kip from the government's reserve fund for nine companies to develop a third rice variety.
Deputy Minister Dr Phet Phomphipak said the ministry had decided to tap into the 130 billion kip allocated by the government as a reserve fund to rehabilitate agriculture following crop damage caused by flooding last year.
“Agricultural entrepreneurs from the nine companies will repay the 4.8 million kip to the ministry after three years. We will need the money to fund the activities of other companies,” Dr Phet said.
The nine companies operate in Borikhamxay, Champassak, Savannakhet, Saravan and Attapeu provinces, and Vientiane.
By providing the additional ca pital to these companies, the ministry aims to ensure that rice varieties of proven quality can be developed, to provide Lao farmers with higher yields.
At present, the nine companies involved in producing a third rice variety are still in the process of stockpiling rice in each province after stocks were depleted due to flooding, drought and insect plagues.
