(Luận văn) analysis of current situation and solutions to promote the export of agricultural products at tan long joint stock company

ACADEMY OF POLICY AND DEVELOPMENT

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GRADUATION THESIS

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Topic: “ANALYSIS OF CURRENT SITUATION AND

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SOLUTIONS TO PROMOTE THE RICE EXPORT AT

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TAN LONG JOINT STOCK COMPANY”

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MA. Nguyen Tran Khanh

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Instructors:

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5083106512

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Student Code :

CLC 8.1

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Class:

Nguyen Thuy Linh

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Student:

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International Business Economics

School year :

2017 - 2021

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Major:

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Hà Nội, tháng 6/2021

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ACKNOWLEDGMENT
In fact, behind every success of a research, it is impossible not to mention
the enthusiastic help of teachers. Therefore, I would like to express my deep
gratitude to the teachers at the International School of Economics and Finance Academy of Policy and Development, especially my instructor – MA. Nguyen
Tran Khanh, who has been dedicated to teaching and caring, guide, and create
conditions for me to be able to best complete the graduation thesis.
To complete the research paper on the topic " ANALYSIS OF
CURRENT SITUATION AND SOLUTIONS TO PROMOTE THE RICE

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EXPORT AT TAN LONG JOINT STOCK COMPANY ", I would also like

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to sincerely thank the Board of Directors, the brothers and sisters in the

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company for guiding, helping, creating all favorable conditions for me during

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the past training, especially the brothers and sisters in the sales department who

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enthusiastically guided and answered questions, conveying useful practical

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knowledge to you to complete this thes.

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I would like to wish you all the best in the Faculty of Economics and

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Business Administration; The Board of Directors, brothers and sisters in Tan

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life.

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Long are abundant in health, playfulness, happiness and success in work and

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Best regards!

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Student Nguyen Thuy Linh

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TABLE OF CONTENTS
ACKNOWLEDGMENT .............................................................................................. 2
LIST OF ARRIVAL CHARACTERS ........................................................................ 5
LIST OF FIGURES ...................................................................................................... 6
LIST OF TABLE ........................................................................................................... 7
INTRODUCTION.......................................................................................................... 1
1.Put research issues ..................................................................................................... 1
2.Research objectives ..................................................................................................... 2
CHAPTER 1 : OVERVIEW OF RICE EXPORT AND THE IMPORTANCE OF

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RICE EXPORT ACTIVITIES OF TAN LONG GROUP JOINT STOCK

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COMPANY ................................................................................................................... 4

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1.1.Concepts and characteristics of rice exports ........................................................ 4

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1.1.1.Concepts ............................................................................................................... 4

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1.1.2.Characteristics ..................................................................................................... 4

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1.1.3.The role of exports in general ............................................................................. 5

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1.2.Factors impacting rice production and export trends ........................................ 6

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1.2.1.Weather changes and development policies ...................................................... 6

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CHAPTER 2: RICE EXPORT SITUATION OF TAN LONG COMPANY........ 10

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2.1. General introduction ............................................................................................ 10

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2.1.1. Information about Tan Long Group ................................................................. 10
2.1.2. Theprocess of formation and development of Tan Long Joint Stock Company ..... 10

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2.1.3. Characteristics of production and business activities of the company ........ 15

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2.2.Rice export situation of Tan Long Group .......................................................... 16
2.2.1.Operation status of Tan Long Group .............................................................. 16

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2.2.2.Development orientation of the company ........................................................ 17

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2.2.3. Analysis of rice output and export turnover of Tan Long Group ................... 23

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2.2.4. Rice price exported from 2018 to the first 6 months of 2020 .......................... 29

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2.2.5. Analysis of the Company's export market ....................................................... 30

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2.2.6. Some indicators to assess the export situation ................................................. 34
2.3. Assessing the situation of rice export activities of Tan Long Company............. 35

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2.3.1 Assessment of rice export orientation objectives ............................................ 35

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2.3.2

Assessing the specific implementation of rice production and export

activities from 2017 to 2020 ..................................................................................... 35
CHAPTER 3: SOLUTIONS TO PROMOTE RICE EXPORT ACTIVITIES OF
TAN LONG COMPANY ........................................................................................... 41
3.1. Company's SWOT analysis in rice export ........................................................ 41
3.1.1 General comments on the rice market situation ............................................. 41
3.1.2 Opportunities for rice export activities ........................................................... 42
3.1.3 Challenges for rice exports ............................................................................... 44

3.2 View and orientation of rice export of Tan Long company ................................. 46
3.2.1 General view on Vietnam's rice exports .......................................................... 46

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3.2.2 Orientation on the functions and role of economic sectors in rice export

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activities ....................................................................................................................... 47

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3.3 Solutions to enhance rice export activities of Tan Long Company ..................... 48

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3.3.1 Group of solutions to support rice export activities ...................................... 48

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3.3.2 Solution group to increase production stability and meet the quality of

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exported rice ................................................................................................................ 50

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3.3.3 A group of market-friendly solutions to create a Rice brand........................ 51

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CONCLUSION ........................................................................................................... 55

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REFERENCES ........................................................................................................... 56

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LIST OF ARRIVAL CHARACTERS
WTO

World

Trade

Organization
L/C

Letter of Credit
Telegraphic

Transfer

Reimbursement

CIF

Cost, Insurance, Freight

FOB

Free On Board

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TTR

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CFR

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Cost and freight

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LIST OF FIGURES
Figure 1: After- tax profit situation .......................................................... 22
Figure 2: Rice export turnover from 2018 to 2020 ................................... 23

Figure 3: Rice turnover and export volume in of the year 2018, 2019, 2020
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Figure 4: Rice price exported from 2017 to 2020 ........................................... 29

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LIST OF TABLE
Table 1: Data Table On The Company's Growth Rate In 2018-2020.......... 16
Table 2: Business results of Tan Long Group (2018 – 2020) ........................ 19
Table 3 Business results 6 months in 2018 to 2020 ........................................ 21
Table 4 : Structure of rice types exported from 2017 to 2020 ................. 25
Table 5: Rice export turnover directly to the markets (2017-2019) ........ 30
Table 6: Rice export turnover directly to the markets (2018-2020) ............. 31
Table 7: Some main export markets in 3 years .............................................. 33
Table 8: Profit margin from rice exports from 2018 to 6 months in the

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first 2021 ..................................................................................................... 34

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INTRODUCTION
1. Put research issues
The XXI century is the century of industrialization and modernization.
Opening trade is an inevitable and important issue for each country. Vietnam is
a potential country, with abundant human resources, abundant resources and a
strong team of intellectuals. Vietnam, a country that is in the period of economic
opening to make full use of its comparative advantages.
Especially when Vietnam joins the WTO, our trade and trade issues have
many advantages, foreign trade policies in the direction of opening up, reducing

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and moving towards abandoning tariff barriers and non-tariffs. Countries will

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erect more sophisticated protection fences, because of the stricter quality

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requirements, the level of competition in the market is fiercer. In particular, the

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food industry plays a very important role in providing food sources for the

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domestic market but also penetrating foreign markets. Because Vietnam has

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many favorable conditions in terms of terrain, climate and comes from a long-

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standing agriculture. Products of the industry today are increasingly quality,

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high competitiveness in the market. Vietnam's food industry has achieved a lot

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of success in solving jobs for workers as well as contributing to the overall
largest rice exporter in Vietnam.

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export turnover of the country, has gradually made our country the second

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Tan Long Joint Stock Company is one of the imports and export

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companies with a position in Vietnam. In particular, the company's rice exports

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over the years are constantly increasing. But besides that, there are still

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difficulties such as facing difficult customers, facing fierce competitors and

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problems with raw materials. To get a better understanding of the driving forces

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that drive the company's growth, as well as the shortcomings that hinder the

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development of the company. Therefore, I chose the topic “ANALYSIS OF

CURRENT SITUATION AND SOLUTIONS TO PROMOTE THE

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EXPORT OF AGRICULTURAL PRODUCTS AT TAN

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LONG JOINT STOCK COMPANY” do my graduation thes. With the
purpose of an overview of the company's export activities, thereby seeing
strengths, weaknesses as well as opportunities and challenges. Moreover, I
proposed solutions to make Tan Long one of the leading rice exporters in
Vietnam and it is to enhance the position of Vietnamese rice grain in the
international arena.
2. Research objectives
a) Common Objectives
“Analysis of rice export situation and development solutions for Tan

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Long Joint Stock Company” to know the strengths, weaknesses as well as

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opportunities and challenges. From there, there are solutions to boost rice
b) Specific objectives

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exports of Tan Long Company growing.

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• Find out about rice export activities of Tan Long Joint Stock Company.

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• Analyzing external and internal factors affecting export activities,

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thereby seeing strengths, weaknesses as well as opportunities and challenges in

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the field of rice export of Tan Long Joint Stock Company.

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Ø Space

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c) Scope of research

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Stock Company.

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• Offer appropriate solutions to boost rice exports for Tan Long Joint

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The space is made within Tan Long Joint Stock Company.

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Ø Time

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Data provided by the company from 2017 to 2020

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Ø Research subjects

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Rice export situation of Tan Long Joint Stock Company

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d) RESEARCHING METHOD
Ø Methods of collecting data

Data collected in the form of a subordinate provided by the company,
from financial statements, the company's export plans through the years 2019,
2020 and the first 6 months of 2021. In addition, I also have direct contact with
the processing facilities of the unit, approach the food purchasing groups, refer
to and compare the process of purchasing and processing food of the trainees
with other units. Observing processing processes, collecting data related to
prices, costs to analyze, compare to the results achieved and take practical

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measures.

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At the same time collect primary data in newspapers, magazines, on the

Ø Analyzing data method

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internet.

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The comparative method is the method of considering an analytical index

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by relying on comparison with a base target. This is the simplest and most used

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method in the analysis of business activities as well as in the analysis and

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forecast of socio- economic indicators in the field of macroeconomics

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e) Structure of the research

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Apart from the introduction, table of contents, list of references, the thesis

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is divided into three specific chapters as follows:

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Chapter 1: OVERVIEW OF RICE EXPORT AND THE IMPORTANCE

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OF RICE EXPORT ACTIVITIES OF TAN LONG GROUP JOINT STOCK

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COMPANY

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Chapter 2: RICE EXPORT SITUATION OF TAN LONG COMPANY

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Chapter 3: : SOLUTIONS TO PROMOTE RICE EXPORT ACTIVITIES

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OF TAN LONG COMPANY

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CHAPTER 1: OVERVIEW OF RICE EXPORT AND THE
IMPORTANCE OF RICE EXPORT ACTIVITIES OF TAN LONG
GROUP JOINT STOCK COMPANY
Concepts and characteristics of rice exports

1.1.

1.1.1. Concepts

Export is one of the important business activities of foreign trade,
reflecting trade and trade relations between countries in the region and the
world. Export activities now take place on a global scale, in all sectors and
sectors of the economy, from consumer items to manufacturing materials, from

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the smallest components to complex machines, high-tech types, not only

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tangible goods but also intangible goods and with an increasing proportion.

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Export of goods means the sale and supply of goods and services to other

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countries based on using currency as a means of payment, including the

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movement of goods out of customs borders. Export activities not only bring

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profits to the parties involved in this activity, but also have important

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implications for the development of each country. Export activities bring foreign

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currency revenues, promote socio-economic development, improve strange

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1.1.2. Characteristics

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production capacity.

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Export activities involving the movement of goods and services across

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customs borders. According to the Vietnam Trade Law 2005, exports are

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defined as follows: "Export of goods means the export of goods out of the

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territory of Vietnam or into special areas located in the territory of Vietnam

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Section 1, Chapter 2, Vietnam Trade Law 2005).

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which is considered a separate customs area as prescribed by law" (Article 28,

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Export activities take place on a wide scale in both space and time. It can

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take place only for a short time and can also last, taking place annually. The
export market is vast and diverse, not only limited to one or two countries but

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expanding around the world. Due to the requirements of world economic

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integration, international trade activities, in which exports are further promoted
through the participation of organizations, economic blocs such as ASEAN
organizations, WTO organizations, EU blocs to expand cooperation with many
countries, establishing agreements in favor of parties to commercial activities.
Export activities bring many economic benefits to enterprises and the
State. It promotes the development of enterprises in terms of production scale
and operating scale, creating conditions for the country to shorten the time of
implementation of industrialization and modernization thanks to foreign
currency revenues, foreign investment capital for domestic production activities.

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, promoting international cooperation with countries and the process of

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integration of the world economy.

Rice export is considered as an initial advantage for poor countries, when

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1.1.3. The role of exports in general

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there are not enough foreign currency sources to invest in building large

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factories and industrial parks to produce and trade in goods consuming a lot of

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foreign currency. That is, compared to export industrial items such as textiles,

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leather shoes or mechanical, electronic assembly ... then in the same amount of

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export turnover, the ratio of production costs of foreign currency origin of rice

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products, is very low, so the net foreign currency income of exported rice will

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be much higher. For example: The cost of producing rice exports of foreign

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currency origin of Vietnam (fertilizers, pests and chemicals, petroleum ...) only

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accounts for 15 to 20% of the export value of rice turnover.

Not only that, but the rice also-producing agriculture industry of

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developing countries and Vietnam is the industry that uses a lot of labor in the

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production and business process. This is an important feature of this industry, as

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developing countries, including Viet Nam, have a high population growth rate
and a young population characteristic, which each year must deal with more jobs

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for millions of people entering working age. For example, to plant and care for 1

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hectare of rice in the Red River Delta every year requires the use of up to 20

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workers. The development of rice exports will promote the domestic rice
production and processing industry, thereby solving the problem of jobs for
many workers, which is largely the largest number of ordinary workers in
developing countries and Vietnam.
It is also necessary to mention the advantages of natural conditions, the
ability to experience to create competitive advantages in international trade,
thereby contributing significantly to the economic development of agricultural
countries. With a tradition of thousands of years of wet rice cultivation, Vietnam
is considered as one of the typical rice-paddy economies. Favorable natural

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conditions (hot and humid climate, fertile pearls ...) along with experienced

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reducing costs, increasing the competitiveness of exported rice.

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agricultural workers (farmers) are factors that reduce input costs, contribute to

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Thus, rice exports hold an important position and role in the economies of

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developing countries in general, Vietnam in particular.

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Firstly, rice export activities will promote the development of domestic

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rice production, immediately solving employment problems for workers in

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developing countries and Vietnam.

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Secondly, rice export activities contribute significantly to the contribution

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section on improving trade balance, accumulating foreign currency sources,

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meeting foreign currency demands for the import of machinery, equipment and

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raw materials for domestic production. It can be said that rice exports have

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directly helped domestic production to grow and expand production scale.
Thirdly, rice export activities are considered as one of the export activities of

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products with comparative advantages of Vietnam and countries with a tradition

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of rice production, which is the right orientation to create competitiveness for
Factors impacting rice production and export trends

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1.2.1. Weather changes and development policies

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1.2.

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Vietnamese goods, contributing to accelerating the integration of the economy.

Governments of developing economies as well as international

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development agencies have a very clear priority for increasing grain production

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(including rice) in Asia. This consensus is increasing on how to do it when green
revolutionary technology departments successfully apply it. In Vietnam, from
the very beginning of the Transitional Process, the Party and the Government
have identified rice production as the central activity of the agricultural sector,
not only because it is a traditional production industry, dominating both in terms
of area and output, but also because rice is considered the most important food
of Vietnam. Ensuring rice production is ensuring national food security.
The world's climate over the past few decades has been volatile. Along
with the warming of the Earth, melting ice at the poles causes a significant part

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of the cultivated area to be mangrove, losing the ability to produce rice, natural

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disasters such as floods, droughts, tornadoes ... also reducing rice production

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threatens to lead to famine in many places such as China and India. Vietnam is

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also one of the countries directly and heavily affected by these weather changes.

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the phenomenon of rice land in the northern coastal provinces (Thai Binh,

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Thanh Hoa ...) is being invaded or as storms make landfall in Central and South-

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Central Vietnam tend to increase the number and intensity that are seriously

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affecting Vietnam's rice production and export activities. In addition, food

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supply, including rice, declined in 2008, causing rice prices to skyrocket,

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pushing major rice exporting countries around the world, including Vietnam, to

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adjust policies to limit exports due to worries about national food security.

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1.2.2. Principles and contents of rice export activities in the current

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economic situation

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a. Principles of rice export activities

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The principle of sustainable development can be summarized in the

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requirement "Rice exports must ensure national food security, contribute to

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increasing the income of farmers and rural areas, and promote economic
structural change."

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Food security is understood as ensuring adequate access to food and food

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production in terms of quantity and quality of nutrition. Security is really a
matter of ensuring livelihood security. Facing the risk of natural disasters,
epidemics, climate change, the rapidly growing population leads to increased
demand for food while the price of input materials and fuel increases, rice
export activities of countries must consider the goal of ensuring food security in
the country. The national food security strategy should develop a master plan on
food production and rice land area nationwide, establish a food security
information system to accurately understand the situation of production,
harvesting and rice production to proactively store and export rice.

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Success in increasing rice production and exports must have a positive

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impact on poverty reduction and hunger. Rice exports, through many paths,

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must lead to benefits for rice growers and agricultural workers. Higher rice

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yields must lead to higher profits for farmers and more jobs, especially for

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workers and those working in agriculture-related enterprises.

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Gradually, productivity growth in rice production and exports creates a

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food surplus and frees up labor and other resources needed to support growth in

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the out-of-agriculture sector. The increase in production and exports

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make rice prices cheaper for consumers, benefiting the poor – including

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the urban poor, landless farmers, and rice farmers. Lower rice prices will

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stimulate employment in industrial and service sectors of the economy,

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withdrawing labor from agriculture. This shift in the labour structure is

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necessary for sustainable development in a more progressive direction.

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b. Principles of respect for market rules

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Rice exports are economic activity in the market economy, so it is
regulations that distort demand and prices in the market.

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necessary to abolish the system of direct impact ordinances as well as

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The State plays an important role in the market, but it is necessary to
clearly define the relationship between the State and the market. Export demand

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comes with price stabilization - ensuring food security is an inevitable need to

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ensure development but how, by what tools, does it jeopardy the sustainable
development of exporting enterprises is something we have to study.
Therefore, it is necessary to respect the laws of the market - it is the law
of supply and demand, the law of price formation. The State cannot use
administrative orders to interfere with those rules. Although sometimes it is
necessary, the State should also use these orders. However, economic levers
such as import and export tax exemption should be used and the State's policy
must take specific scientific steps, which cannot suddenly cause businesses to be
mobile and harm production plans.

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c. Principles of international economic integration

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International economic integration is an inevitable trend, in which rice

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export activities are also an economic activity that needs to comply with general

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regulations when participating in the global economy such as regulations on

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quality, safety and hygiene, market opening ...

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Any country that participates in a "common playground" must adjust its

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domestic economic development policy. The adjustment of the development

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policy, which is specific to rice exports, also focuses on a number of basic issues

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such as: (i) investment incentive policies in rice export activities that need to be

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adjusted in compliance with the principle of non-discrimination and the

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principle of transparency; the exemption and reduction of rice export tax rates

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and income tax of exporting enterprises must be public and ensure that they do

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not make a difference for enterprises of all economic sectors; (ii) export

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subsidies, namely rice exports, must be adjusted towards the immediate aboding

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of prohibited direct subsidies such as price subsidies, financial assistance,

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income ... as well as limiting the construction of indirect barriers to rice exports.

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Not only that, but rice export activities are also specific to food goods, as

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prescribed, it is necessary to develop a system of standards to ensure the quality
of exported rice to meet the world requirements as well as each specific market.

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CHAPTER 2: RICE EXPORT SITUATION OF TAN LONG COMPANY
2.1. General introduction
2.1.1. Information about Tan Long Group
Tan Long Joint Stock Company (also known as Tan Long Group)
registered on 08.12.2006, formerly known as Tan Long Van Co.,Ltd. has the
business registration certificate No. 01022000121 issued by the Business
Registration Office - Hanoi Department of Planning and Investment for the first
time on March 10, 2000.
Head Office:

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Address: 48 Le Van Luong Road, Thanh Xuan District, Hanoi.

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Transaction Office: No. 1N7A Nguyen Thi Tu, Trung Hoa Nhan Chinh
Tel: 04 3555 8572 / 73 / 74 / 75 / 76

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Ward, Thanh Xuan District, Hanoi.

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Fax: 04 3555 8476

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process of formation and development of Tan Long Joint Stock

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2.1.2. The

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Email:

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The predecessor of Tan Long Industrial Chemical Joint Stock Company is

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Tan Long Van Co., Ltd., established and granted business registration certificate

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No. 01022000121 by the Business Registration Office - Hanoi Department of

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Planning and Investment on March 10, 2000. Tan Long Van Co., Ltd. has

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quickly implemented its import and export business activities, with the initial

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main items being fertilizers and industrial chemicals, such as yellow

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phosphorus, Urea, DCP. But from 2004 2004 2004 10 years later, the Company

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rice, corn, pepper, bean pulp, cashew nuts.......

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has turned its business to some key agricultural products in the market such as

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Based on the fluctuations of the external business environment, the
change of management mechanism of the Company. The development process

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of the company can be divided into 3 stages.

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Phase 1 (10.3.2000 – 10.1.2004)

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This is the period when the company trades in key items that are initially
fertilizers and industrial chemicals, such as yellow phosphorus, Urea, DCP. This
is the period when the company was newly established with an initial capital of
VND 20 billion. The company has 30 employees with not high professional
qualifications, poor facilities. Despite many difficulties in business activities, the
Company has gradually overcome difficulties and promoted the achievements.

Within 4 years, the Company has increased its capital from VND 20 billion to
more than VND 45 billion, the number of employees has increased from 30 to

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70 people.
Phase 2 (10.1.2004 – 10.3.2008)

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This is the period of continued construction and development of the

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company. At this time, along with the strong development of the country's

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agriculture industry, the company has boldly invested in the new field of

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exporting agricultural products. Agricultural export activities make an important

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contribution to ensuring domestic consumption needs, ensuring national food

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security, and solving jobs for workers. Moreover, at that time, the Party and the

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State were implementing new economic models such as farm economy, new-

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type cooperatives ... then the export of agricultural products becomes more

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important than ever, this activity will make an important contribution to

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promoting new economic models. Switching to the form of exporting

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agricultural products shows that the company's leaders are very sensitive,

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sticking to the market and mechanisms. Also, during this time, the company has

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great fluctuations in personnel work, training new employees, the number of

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employees increased from 70 to 130 people, the company's export portfolio is

Phase 3 (2008 to present)

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very rich, ...

From 2008 2008 10 years later, the company's import and export business

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grew relatively strongly and steadily. The company promotes the import and

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export of agricultural products for agricultural production in provinces, cities
and internationally. As a result, it has solved jobs for thousands of workers and

provided inputs for production, contributing to the socio-economic development
of the country. Therefore, the company's reputation is increasing, creating trust
and mutual understanding in business relationships with domestic and foreign
partners as well as with all levels and sectors in the Province and City

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Diagram 1.1: Structure of Tan Long Industrial Chemical Joint Stock Company

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GENERAL MEETING OF
SHAREHOLDERS

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BOARD OF Control

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Board of Directors

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Director

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Deputy Director 2
Mrs Lê Nguyễn Anh
Thư

Deputy Director 3:
Mr: Trương Sĩ Giáo

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Deputy Director 1:
Mr: Trần Văn Quế

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PRODUCT
Department

Human
Resources
Department

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Business
Department

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IMPORT
AND
EXPORT
Department

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Finance and
Accountig
Department

Nghệ An
JointStock
Company

Thiên Long
JointStock
Company

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Thăng Hoa
JointStock
Company

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Planing
Department

Cao Thăng
JointStock
Company

GENERAL
ADMINIST
RATIVE
DEPARTM
ENT

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In which:
Shareholders' Meeting: Decide on major issues related to the
organization, management, and operation of the company.
Board of Directors: Decide on the company's strategy, annual business
development
plan, matters related to the organization, management, and operation of
the company, and be responsible for reporting the company's situation to the
Shareholders' Meeting.
Board of Control: Check the entire management and administration of the

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Company's business activities on the reasonable and legality. At the same time,

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it is necessary to take measures to supplement, amend and improve the

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organizational structure of management, administration, and reporting of control

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Board of Directors:

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results to the shareholders' meeting and the Board of Directors.

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General Director: The head of the company, managing all activities of

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departments and branches and being responsible before law for all activities of

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the State.

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the company, representing the interests and obligations of the company before

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Deputy General Directors: Have the task of advising the director or

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managing a certain field authorized by the director. The deputy general director

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Departments:

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is responsible for his activities before the general director.
Finance and Accounting Department: The main task of the department is

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accounting, evaluatine the entire business activities of the Company. In addition,

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the room is also responsible for making balance tables, financial statements as

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required to be presented to the board of directors. To formulate finance and
financial settlement with superiors and concerned agencies as prescribed.

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Sales Department: The Department is tasked to formulate business plans,

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make reports for business activities monthly, quarterly, and annually and be

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presented to the Board of Directors. In addition, the department must conduct
market research, negotiate transactions with customers and establish
promotional strategies of the company.
Import and Export Department: Provide import and export documents,
import and export invoices, and strictly manage goods and warehouse systems.
Performance of import and export business contracts and when authorized to
sign contracts of the company.
Administrative Department: The function of this room is to serve the
company's station receive guests and manage the entire property of the

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company. Besides, the department is responsible for monitoring, repairing large

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and small and repairing regularly and solving problems related to administrative

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career.

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Human Resources Department: Ensuring that the departments and

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individuals in the company perform the functions of tasks effectively at work.

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Ensure recruitment and build and develop staff according to the requirements

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and strategies of the company.

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Planning Department: Research and develop the company's long-term,

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medium-term, short-term business strategy, operation plan and quarterly

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business plan. Collecting, analyzing and synthesizing market information;

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develop and implement the company's marketing and advertising plans.

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Ø Business field

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2.1.3. Characteristics of production and business activities of the company
Export: Agricultural products of all kinds, corn seeds, pepper, cashew

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nuts, coconut bran, palm bran, legumes, chemicals and marble....Of which the

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main exports are rice, corn, pepper, cashew nuts.

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Import: Industrial equipment (rolling machines, conveyors,...) machinery,

fertilizers, means of transport, chemicals to serve the production and export of

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agricultural products.

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Ø Company's Market

As of 2012, the company exports to 32 markets in which the main export
markets are EU, Asia especially ASEAN countries. Asian friends are mainly
Hong Kong, Taiwan, Thailand, Singapore. The company also expanded its ties
with China, which is a potential market and has low shipping costs. Besides,
some other customers such as the UK, Germany, USA, Canada also exchanged
trades with the Company a small amount of aviation.
2.2.

Rice export situation of Tan Long Group

2.2.1. Operation status of Tan Long Group

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Most of the company's development rate targets have increased over the years,

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but this rate increases unevenly. Those indicators are shown under the following

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table of figures.
Unit: Billion Dong

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Table 1: Data Table On The Company's Growth Rate In 2018-2020

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2019

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2018

Value

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Year

2020

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9,236

33

Value

Growth (%)

64

1.412

0,86

257

3

-91

(Source: Planning Department of Tan Group)

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Profit

853,12 1.400

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Total revenue

Growth (%)

From 2018 to 2020, the growth rate of the company is very strong, although

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the charter capital is unchanged, the import and export turnover increased

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significantly with VND 464 billion, bringing revenue of more than VND 1400
billion in 2019, more than 1.5 times more than in 2018, with this revenue, the

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company's profit is VND 33 billion. In fact, in 2020 because of the Global Covid

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epidemic, the company's profit is only VND 3 billion compared to 2019, the

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growth rate decreased by 0.86% and profit plummeted b91%.

In general, despite the low starting point, capital, assets, labor are still

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limited, but with the consensus to work together with the right policies, the

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company has steadily overcome difficult times, especially the period of impact of

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the Covid epidemic. This is evident through the company's annual revenue and
growth rate.
For a long time, Tan Long oriented the company's main item is rice
export. Tan Long has the capacity to produce 350,000 tons of rice per year with
a system of food processing factories distributed in key raw material areas,
convenient transportation, warehouse capacity of over 70,000 tons and a system
of modern rice milling and wiping machines, product quality according to ISO

9001:2000.
Each year the company exports from 300,000 – 350,000 tons of rice to

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markets such as Singapore, Malaysia, Philippines, Indonesia, Africa, Iran, Iraq,

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Cuba, Hongkong, Cambodia. Tan Long's products include 5% rice, 10% plate,

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15% plate, 25% plate, Jasmine rice, glutinous plate, Jasmine sheet, Lady Nhen

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rice, Seasonal Rice, Japanese rice ... Currently, Tan Long's business sector

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includes:

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Purchasing, milling, processing rice for export, in addition to supplying

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domestic rice. The main types of rice are rice 5% plate, Rice 10% sheet, Rice

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15% sheet, Rice 25% sheet, glutinous rice, fragrant rice, Japanese rice.

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Import of fertilizers, agricultural supplies, soybean pulp and raw materials

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for processing animal feed.

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The company also joint venture with Viet Argo Company in Malaysia

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established Tan Long – Viet Argo Co., Ltd. producing, processing, and trading rice.
supermarket system.

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As a capital contributor with Siba Food Co., Ltd. retail business through

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Tan Long is currently the leader in rice exports in Viet Nam and ranks in

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the top 10 in ASIAN in terms of rice import and export. In general, Tan Long

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diversification of business sectors and has many customers. If the company has
a good customer care policy, this is a favorable to improve its reputation

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2.2.2. Development orientation of the company

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Investing in more fields such as expanding the business of new products,

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gradually increasing the proportion of services in addition to rice in the revenue
structure of the company, especially the high-tech industry.
Maintaining good food and food business, expanding exports to Africa
and Asia, increasing production in the European market. Exporting high quality
rice to suitable retail markets, gradually branding rice, to be the leading

company in Vietnam in food in 2030.
Continue to maintain and improve the ISO 9001 – 2000 system. Improve
qualifications, skills and incomes for employees and employees. Maintaining the
title of one of Vietnam's 500 largest enterprises

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