Stable raw material zones needed to ‘feed’ tilapia processing plant

Building raw material zones remains a challenge

A working delegation from the Department of Fisheries and Surveillance (Ministry of Agriculture and Environment), led by Director Tran Dinh Luan, together with Do Quy Phuong, Deputy Director of the Hung Yen Department of Agriculture and Environment, and Le Trong Dam, Deputy Editor-in-Chief of VAN News, visited and worked at the tilapia export processing plant within the value chain of Viet Nhat Nutrition Joint Stock Company (Viet Nhat Group) and BaiYang Viet Nam, located in Tien Hai Industrial Park, Dong Chau Commune, Hung Yen Province.

At the working session, Ngo Minh Ket, Business Director of BaiYang Viet Nam Food Company Limited, said that building a stable raw material zone for a new commodity such as tilapia still presents many challenges.

Viet Nhat Group and BaiYang Viet Nam have identified developing linkages with farmers, cooperatives, and concentrated farming zones as a key solution to gradually overcome these difficulties and ensure a sustainable supply for export processing.

The plant has a designed capacity of 300 tons of raw material input per day. In its first phase, the plant is operating at a capacity of around 250 tons of raw material per day. To secure raw material supply for processing, the company began developing linked farming zones in December 2025, stocking tilapia fingerlings to prepare supply for when the plant officially begins operations in July 2026.

Currently, the raw material supply for production in July, August, September, and October 2026 is fully secured through the linkage chain, via supply contracts already signed with farmers. Fingerlings, feed, and technical processes are implemented in accordance with company standards to control quality from the farming zone through processing.

Expanding cooperation, ensuring stable supply

For raw material planning in November and December 2026, and in the first quarter of 2027, BaiYang Viet Nam continues to seek and expand cooperation with cooperatives and large-scale farming zones to ensure a stable supply. According to the company, a tilapia farming cycle currently lasts about 4 to 4.5 months.

Tang Nguyet Bao, General Director of BaiYang Viet Nam, said that in China, BaiYang has established itself as one of the leading companies in the tilapia sector. BaiYang's plants in China currently purchase around 500 tons of raw tilapia per day, and the company has built a closed production chain covering fingerlings, feed, technical farming support, purchasing, processing, and export.

In coming to Viet Nam, BaiYang is partnering with Viet Nhat to apply more than 20 years of experience accumulated in China to the development of Viet Nam's tilapia industry. The company aims to build a complete value chain model, from fingerling production and farming zone development to technical transfer, purchasing, processing, and product export.

Adding value from tilapia processing byproducts

Beyond focusing on tilapia fillet products, BaiYang is also aiming to add value to byproducts by developing product lines such as collagen, fish oil, and fish meal, helping to maximize the value derived from the species.

"In recent times, we have received a great deal of support and accompaniment from relevant agencies in Viet Nam. BaiYang hopes to continue receiving favorable mechanisms and policies so that foreign enterprises can feel confident investing for the long term, thereby helping to further promote the development of the tilapia industry in particular and Viet Nam's fisheries sector as a whole," said Tang Nguyet Bao.

Do Quy Phuong, Deputy Director of the Hung Yen Department of Agriculture and Environment, said that Hung Yen province already has the Viet Nhat - BaiYang Viet Nam tilapia export processing plant, which is relatively large in scale, with a capacity of around 150 to 200 tons of raw tilapia per day.

To meet processing demand, the province is coordinating with and creating favorable conditions for the company to build stable tilapia raw material zones, linking production with consumption.

"Hung Yen is selecting a number of freshwater aquaculture zones of 50 to 70 hectares or more to form concentrated production areas, in order to supply raw materials for the processing plant," Phuong added.

Tran Dinh Luan, Director General of the Department of Fisheries and Surveillance (Ministry of Agriculture and Environment), said that establishing a modern processing plant is an important first step, but for it to operate effectively, the core challenge is to build a stable raw material zone.

According to Luan, if companies are left to develop raw material zones on their own, they will face many difficulties. This process requires coordination among businesses, local authorities, and farmers to reorganize production and form large-scale farming zones with strong consensus and close linkage.

The production chain needs to be built methodically from the outset, with science and technology applied consistently across the entire chain, from fingerling production and farming processes to environmental monitoring and warning systems, farming area code registration, and traceability. This is the foundation for creating a stable, quality raw material supply that meets processing and export requirements.

"Having a plant is only the first step. To 'feed' the plant, the decisive factor is building a stable raw material supply linked with the application of science and technology. The Department of Fisheries and Surveillance will accompany localities and businesses to make effective use of resources and gradually build a sustainable fisheries production chain in the coming period," emphasized Tran Dinh Luan, Director of the Department of Fisheries and Surveillance.