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3 years ago

Vietnam – Bui Minh Ut - A2S2

Vietnam – Bui Minh Ut - A2S2

FAIR PRICE OR

FAIR PRICE OR BANKRUPTEXTRACTORS Buying artemisinin under production cost madebankrupt extractors; some decided to leave thebusiness, some will put production in idle or producingless. At the conference 2011 in Hanoi, Sanofi/One Worldconfirmed they can not produce semi-syntheticartemisinin and sell under production cost. Surely, extractors do not want to buy the leaves, extractArtemisinin, and then sell it below the production costsand at a loss Current price is unsustainable and scary. Extractorsand farmers cannot be motivated to grow the plants,produce artemsinin and sell it at loss.6

2013 Forecast Farmers decided to change to other foods crop. Dec-Jan is time for planting Artemisia but very littleplanted areas and people is considering. Forecastcultivation area will be decreased to one third. Although the difficulties situation, CAT KHANH iscommitted to stay long-term in business and keepimprove the efficiency, working standards, safety andenvironment. Recommend on regular update (e.g. monthlynewsletter) to provide clear information ondemand/supply. Need policies to stabilize artemisinin at the fair pricewhich will motivate extractors to maintain the supplylevel.7

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