The agreement between Bunge Agribusiness Singapore Pte. Ltd. and Baria Serece Joint Venture Company, operator of Phu My Port, commits Bunge to use the port to supply its customers in Vietnam. In return, Bunge is provided with exclusive access to the facility for shipments of agricultural commodities, according to the company's Dec. 14 news release.

The two parties have also agreed to partner on future logistics improvements at the port.

"Vietnam is the fastest growing market for the domestic use of soybean meal and corn in ASEAN and is among the fastest growing in the world," said Christopher White, Asia General Manager of Bunge Limited. "Bunge's partnership with Baria Serece will enable us to be the leading supplier to this promising market."

"In the last five years, commercial feed production in Vietnam has grown at more than 10 per cent per year and annual per capita growth in meat consumption has exceeded seven per cent," continued Mr. White. "We believe that this growth will continue or even accelerate due to continued increases in population and per capita income."

Soybean meal is the primary protein component in commercial animal feed formulations. The U.S. Department of Agricultures Foreign Agricultural Service estimated that Vietnam imported 990,000 metric tons of soybean meal in 2003.

The countrys livestock sector is estimated to contribute around 20 per cent of the total value of Vietnam's agricultural production.

Phu My Port is located on the Thi Vai River, about 70 kilometers from Ho Chi Minh City. It is Vietnam's leading port for dry bulk cargo and one of the country's only ports capable of receiving the large Panamax class ships.