Mr. Duong Dinh Bang – Head of VRG’s Representative Office in Laos and Chairman of the Vietnam Business Association in Laos (sixth from the left), and Mr. Ngo Quyen – CEO of Viet Lao CPCS Company (fourth from the left), along with other representatives of Vietnamese businesses in Laos, took a commemorative photo with National Assembly Chairman Mr. Vuong Dinh Hue during the Chairman’s meeting with Vietnamese businesses in Laos on December 5, 2023.

Positive and Stable Growth

In the current context, inflation in Laos remains high, and the economy faces several challenges, including rising costs of materials, raw materials, fuel;  as well as a decline in the value of the Lao kip compared to other foreign currencies, leading to a trend of Lao workers seeking employment in Thailand. Despite these difficulties, thanks to solidarity, dynamism, and creativity, VRG’s rubber companies in Laos have managed to overcome challenges and fulfill their assigned tasks. Over the past year, the rubber companies harvested 34,655 tons of latex, achieved revenues of USD 46.937 million, and a profit of USD 10.352 million. The average income for more than 5,300 workers was nearly 8 million VND per person per month, higher than the local average.

The companies not only focus on production and business development but also place a strong emphasis on ensuring workers' welfare and social security in the project areas. This commitment has contributed to providing a better and happier life for workers, transforming the local areas where rubber plantations are located, and contributing to the socio-economic development of both countries, enhancing the solidarity and friendship between the two peoples.

Vietnam Rubber Joint Stock Company: A Prominent Highlight in the Region

As the "leading entity" in the Lao region, Vietnam Rubber Joint Stock Company has consistently met its targets and assigned tasks, despite facing numerous challenges. Through flexible management and the solidarity and determination of its workforce, the company has excelled in its operations. In the past year, Viet Lao Rubber Company harvested 18,500 tons of rubber (exceeding the plan by 5.11%), marking nine consecutive years of plantation productivity above 2 tons per hectare. The company sold 20,486 tons (exceeding the plan by 7.82%), achieved revenues of nearly VND 705 billion (99.8% of the plan), and recorded pre-tax profits of VND 177.9 billion (exceeding the plan by 4.22%), with post-tax profits at VND 142.32 billion (exceeding the plan by 4.22%). The average salary for employees was VND 8 million per person per month.

Mr. Ngo Quyen, CEO of Vietnam Rubber Joint Stock Company, shared: “The company manages nearly 10,033 hectares across the Sanasumbun and Bachiang districts of Champasak Province. In the coming period, the company will face several challenges affecting its business plan execution, such as labor market fluctuations, a cyclical decline in plantation yields, prolonged extreme weather conditions, and increasingly complex security situations in the project area. To address these issues, the company has devised four key strategic solutions for stable development. Notably, to ensure sustainable growth, the company will continue to refine the 2022-2025 replanting liquidation roadmap with a vision extending to 2035, and develop a suitable plant structure tailored to the local soil. The company will also enhance the training of plantation management staff using GIS software and implement information technology applications to improve plantation management.”