Five years ago, on the back of the real estate market freezing, Hoang Anh Gia Lai Group (HAGL) owned by Doan Nguyen Duc, one of the most influential businessmen in Vietnam, announced its plan to invest in an agricultural project to seek more sustainable development. This made the group the first big conglomerate in Vietnam to make a strong commitment to invest in the agriculture sector.
The second stock billionaire who jumped on the bandwagon was Pham Nhat Vuong, the richest Vietnamese stock billionaire and dollar billionaire recognized by Forbes.
Vingroup, which decided to pour VND2 trillion into agricultural production, now develops closed production chains which grow clean vegetables for domestic consumption and export.
Vuong, at the 2016 shareholders’ meeting said that the revenue from the real estate sector in 5-10 years, would account for less than 50 percent of the group’s total revenue, and that agriculture would be one of the business fields to maintain growth.
While HAGL and Vingroup decided to develop agriculture projects from the very beginning, others have jumped into the field through merger and acquisition (M&A) deals.
(1 Vietnamese Dong=0.000045 US Dollar)
Source - english.vietnamnet.vn
