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Drought land turns into raw-material fields: Vietnamese sorghum targets the Middle East through Halal

Processed products made from sorghum grown on dry land in southern Vietnam are being exported to the Malaysian market for the first time. On June 26, 2026, Vietnam's QHC Group signed a US$5 million first export contract with Antah Group—which has ties to the Malaysian royal family—covering sorghum processed products such as syrup and resistant starch. Turning low-rainfall idle land into raw-material fields, a circular design that uses up even the by-products, and a Halal-ready stance eyeing the Middle East make this a move that Japanese food manufacturers and buyers looking to diversify their sourcing cannot overlook. This article confirms the primary reporting and then organizes the points Japanese ingredient-procurement staff should grasp.

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The US$5 million first export contract: what was decided

On June 26, QHC Group (chaired by Le Thi My Hanh) signed a first export contract for sorghum processed products (contract value US$5 million) with Antah Group in Malaysia. The covered items are said to include syrup, resistant starch and protein. Antah Group is a major business group linked to the Malaysian royal family, and Tunku Naquiyuddin, a senior member of Malaysian royalty, is reported to have been involved in the signing.

Alongside the contract, the two companies also agreed on strategic cooperation to build an ecosystem of sorghum products that conform to Halal standards. The arrangement jointly advances the planned development of raw-material production areas, transfer of core technology, production, quality control and commercialization—notable for proclaiming the building of an integrated value chain rather than a one-off deal. Antah is said to be asking QHC to expand production of Halal-compliant products in order to add supply sources for Southeast Asia and the Middle East.

A factory built on dry land, and a circular design philosophy

A little over a month before the export contract, on May 23, 2026, Vietnam's first factory producing syrup and high-value products from sorghum began operating in Ham Liem, Lam Dong province (an area of the former Binh Thuan province, merged into Lam Dong in the 2025 administrative reorganization). Making use of sorghum's ability to grow even on low-rainfall land, the first phase combined 70 hectares of cultivation with the processing plant.

At the core of this venture is a circular idea that throws nothing away. According to reports, sorghum by-products are routed to raising black soldier fly larvae, from which a protein source for livestock feed is extracted. What remains is further processed into porous carbon, aerogel and boiler fuel. The main products line up as natural syrup aimed at diet-conscious consumers, purified water drawn from sorghum stalks, organic juice, and resistant starch for food processing. What runs through this factory's design is not a single raw-material track but multi-stage use that branches into sweeteners, starch, beverages, materials and energy.

The verified points, captured in figures

The facts that could be confirmed from this announcement are organized as follows. To avoid exaggeration, only figures that agreed across multiple local reports are listed.

Item Details
First export contract value US$5 million
Contract signing date June 26, 2026 (Malaysia)
Counterparty Antah Group (Malaysian royal-affiliated)
Factory start-up date May 23, 2026
Factory location Ham Liem, Lam Dong province (former Binh Thuan area)
First-phase cultivation area 70 hectares
Main processed products Syrup / resistant starch / purified water / organic juice, among others

On the other hand, figures such as the factory's annual processing capacity, the raw material's per-unit yield and the continuity of the assumed trading volume have not been disclosed in reporting so far. Because it is also not stated whether the US$5 million is a single-year deal or a multi-year framework, you need to wait for follow-up reports before factoring it in as a sourcing premise.

How locals and the industry see it

Local agricultural media uniformly praise the turning of dry, hard-to-use land into 'high-value raw-material fields.' Several regional papers positively conveyed the sense of speed, noting that within a little over a month of start-up, success in cultivation was followed by results in processing as well.

Industry attention is centering on an export design built around Halal certification. The view is that Malaysia is one of the international hubs of Halal certification, and using it as a foothold makes it easy to draw a route into the Middle Eastern market. The division of labor—Vietnam handling everything from raw-material production to processing while Malaysian royal-affiliated capital supports the commercial flow—is seen as a realistic model for Southeast Asian food ingredients to reach markets with strict religious requirements.

There are cautious voices as well. Some point out that sorghum carries a strong impression of feed use, and that recognition and application development as a food and functional ingredient still lie ahead; others note that, insofar as it claims to be circular, the quality and safety of the by-products will be questioned. Precisely because this is a theme that tends to be discussed ahead of the evidence, the key will be building up specifications and real demand use by use.

What it suggests for Japanese ingredient-procurement staff

The points this case raises for Japanese food and ingredient procurement can be divided broadly into three.

The first is the ingredient category of resistant starch. As a material expected to act somewhat like dietary fiber, it draws inquiries in baking, confectionery and beverage formulations. In this field, where supply sources tend to concentrate in Europe, the US and Thailand, the significance of adding one Vietnam-origin option is not small. With overlapping climate and uses, the move toward higher value under way in modified cassava starch set alongside it, the overall picture of Vietnam shifting its footing from 'cheap native starch' to 'functional starch' is easy to grasp.

The second is the very idea of turning dry and idle land into raw-material fields. Choosing a crop that grows even on land where water is scarce and planting was difficult, and building even the by-products into the design, resonates with a situation where heat has made conventional varieties unviable and the moves in pineapple regions shifting to heat-tolerant varieties share a common root. The idea of re-choosing variety and land while taking climate as a given is a useful reference when reading sourcing risk from both the geographic and the climatic side.

The third is the Halal exit design. If you are looking at the Muslim markets of the Middle East and Southeast Asia, a supply source that is Halal-ready from the raw-material stage raises the baseline of a deal by a notch. Even for procurement aimed at the Japanese domestic market, given possible future export diversion and inbound-tourism demand, it is worth noting as part of the raw material's provenance.

How far the market ripple will spread

Vietnam has a track record exporting sugar and cassava, but assembling head-on a value chain that, starting from sorghum, bundles 'sweeteners, functional starch, protein, materials and energy' is new. The contract may be modest at US$5 million, but its structure—drawing royal-affiliated capital into the commercial flow and eyeing the Middle East via Halal—carries meaning as a template that could spawn follow-on cases.

From the ingredient-procurement side, what deserves attention is less the price of any single item than whether the growing region, processing, certification and exit are designed as one set. If this model—branching raw material by use to lift unit prices rather than selling it down a single track—gets on track, Vietnam's standing for Japan could shift from 'a source of cheap primary commodities' to 'a supply base of engineered functional ingredients.'

Practical information and related links

If you are considering sourcing resistant starch or modified starch, the starting point is to confirm with the supplier the specifications (particle size, heat resistance and the grade of indigestibility) and whether the necessary certifications, such as Halal, are in place. The moves in Vietnam-origin functional ingredients are easier to see as a whole if you follow the related articles below as well.

Summary

The US$5 million contract between QHC Group and Antah Group embodies a new blueprint for Vietnamese agriculture: turning dry land into raw-material fields, using up even the by-products, and eyeing the Middle East via Halal. There are three actions Japanese ingredient-procurement staff should take next. First, add this Vietnam-origin move to the watch list as a candidate supply source for functional starches, including resistant starch. Second, use follow-up reports to confirm the factory's processing capacity, the continuity of the trade and the build-up of real demand, and judge whether to proceed to sample evaluation. Third, build Halal readiness into the comparison axis for ingredient selection, and review the sourcing design with an eye even to future export diversion.

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Author of this article

While running a food brand in Kyoto, I have worked on products that bring out the appeal of ingredients, such as dried vegetables and vegetable powders. I am now in my second year living in Vietnam, where I am also involved in coffee production on the ground, learning the whole process from cultivation to processing and flavor development. Out of a wish to deliver foods people can enjoy with peace of mind in everyday life, I value products whose production background and the faces of their makers are visible. Drawing on the appeal of both Japanese and Vietnamese food cultures, I aim to bring a little richness to daily life.

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