Large sugar inventories, shrinking market outlets, weak consumption and falling sugar prices are the most pressing challenges currently facing the sugarcane and sugar industry.

According to a representative of Dak Lak Cane Sugar JSC (in Ea Bung commune), in 2021, amid a surge of Thai sugar entering the Vietnamese market, the imposition of high tariffs on imported sugar was considered a timely trade defence measure, helping the domestic sugar industry avert a serious decline. The subsequent expansion of anti-circumvention measures also contributed to stabilising production.

Farmers harvesting sugarcane in the 2025 - 2026 crop.

However, by the end of May 2025, when sugar inventories at many factories accounted for over 70% of total output, pressure on sugar enterprises intensified once again. In response, the Ministry of Industry and Trade has conducted a final review of anti-dumping and countervailing measures on imported sugar in order to consider the continuation of appropriate policies to support the domestic sugar industry.

Dak Lak currently has more than 46,000 hectares of sugarcane, ranking second nationwide, after Gia Lai. Sugarcane cultivation not only contributes to poverty reduction but also plays an important role in local socio-economic development.

Against this backdrop, the National Assembly delegation of Dak Lak province is organising surveys to assess the operational situation of the cane sugar industry in the province, with a view to promptly proposing and submitting recommendations to the National Assembly, the Government, ministries, sectors and local authorities on solutions to address difficulties and bottlenecks, and to strengthen the cane sugar production linkage chain.

The National Assembly delegation of the province surveying the operations of cane sugar companies in the province.

Le Dao An Xuan, Full-time Deputy Head of the Dak Lak National Assembly delegation, said the delegation has recommended that the Ministry of Industry and Trade continue to review anti-dumping tax policies on imported sugar.

In the period ahead, the delegation will propose the development of a control mechanism for the use of HFCS, in order to safeguard consumer health and create a fair competitive environment. It has also called on the Department of Agriculture and Environment to support the stabilisation of production areas of enterprises affected after storms and floods, and to pay attention to irrigation infrastructure so that sugarcane output can achieve high productivity.

The Department of Industry and Trade is focusing on controlling the origin of goods, combating trade fraud, and enforcing policies on the destruction of smuggled goods. In the process of formulating local policies, the provincial People’s Council’s Economic and Budget Board needs to pay due attention to the cane sugar industry, with priority given to policies supporting the recovery of cane sugar enterprises after storm and flood damage.

Translated by KHUONG THAO