HÀ NỘI — The central province of Thừa Thiên-Huế plans to give a geographical indication (GI) tag to Huế’s cajuput tree oil, helping consumers recognise the origin as a characteristic of the product.

The provincial People’s Committee has identified Huế’s Tràm oil as a local special product to be built into a brand with funds from the Ministry of Science and Technology.

Cajeput (Tràm) oil is good for relieving cough, sore throat, burns and aches. It can be used on sensitive skin and infants.

A GI tag is expected to develop the product in the domestic and export market as well as prevent fake products.

Deputy director of the provincial Industry and Trade Department Nguyễn Duy Thành said the province would set up an association comprising cajeput oil producers and businesses to build the brand and improve exports.

“There is a need for policies supporting cajeput tree-growing areas. We should not only depend on natural cajeput trees for production,” Thành said.

According to Nguyễn Bá Hội of the Consulting and Research Company for Technology Transfer and Investment, the limitation of Huế’s Tràm oil production is not concentrated. The production is mainly based on nature while its scale is small, providing uneven quality products.

He said if the oil got a GI tag, it would provide a lot of opportunities to affirm its brand value and develop its market. In addition to this, oil producers and businesses would have more chances to be supported by the State in promoting their products as well as solving difficulties, including the shortage of areas growing raw materials.

Currently, Phú Lộc District is seen as the hub of Huế Tràm oil as it has 80 oil processing units, supplying nearly 2,000 littres every month. Trường Hải unit, one of the leading oil processors in the district, needs 60 tonnes of raw materials per month for production and provides the market with 200 littres of oil.

The district has introduced a project to grow 20ha of Tràm trees, which will be submitted to the provincial Department of Science and Technology. It will select one or two capable production households, who will be transferred advanced technology with high capacity to meet the market’s demand.

In 2017, the provincial Department of Science and Technology, in collaboration with Phú Lộc District, announced standards for Tràm oil. All producers have to ensure that these standards on smell, taste, colour as well as physical and chemical indicators are met. — VNS