Iran-Vietnam rubber estates

Iran-Vietnam rubber estates

HANOI (AFP): Iran and Vietnam are to set up a joint venture to plant 20,000 hectares (49,400 acres) of rubber trees in the central highland province of Kontum, an official said yesterday.

The joint venture will also build a rubber processing plant in Sa Thay district of Kontum, an official from the state-owned Vietnam Rubber Corp. said.

The official would not say how large an investment would be made in the venture between government-owned firms but experts say it requires US$2,500 to 3,000 to grow a hectare (2.47 acres) of rubber, making the project worth at least $50 million.

Vietnam Rubber Corp. plans to expand rubber plantations in the central highlands by 300,000 hectares (741,000 acres) by 2005 to increase the total acreage in the region to 350,000 hectares (864,500 acres).

Vietnam currently has 250,000 hectares (617,500 acres) of rubber plantations and it has set a national target to expand the total plantation up to 700,000 hectares (1,729,000 acres) by 2005.