top of page

The sustainable trend in the Vietnam's agricultural ecosystem

With the collective efforts from various parties and sectors, the Vietnam's agricultural ecosystem is working towards a more modern, sustainable future.

According to a report by the Institute for Economic and Policy Research (VEPR), the value of Vietnam's total labour productivity tends to increase at a fairly rapid rate over the years. The average labour productivity increased from 38.64 million VND/person/year in 2006 to 60.73 million VND/person/ 2017. In the period 2012 - 2017, the average labour productivity of the whole economy grew strongly with an average rate of 5.3% per year and the highest growth in 2015 at 6.49%.

In 2020, the Scheme for the development of Vietnam's organic agriculture in the period of 2020 - 2030 was developed as a necessity, especially as Vietnam is working towards net zero by 2050. The strategy for sustainable agricultural and rural development to 2030, with a vision to 2050, marks the first time that Vietnam's agricultural sector has set a specific plan towards an ecological, transparent and responsible agriculture. In order for the goal to soon become a reality, it is imperative to spread awareness and actions on organic farming throughout the country. By 2030, the area of agricultural land group for organic production will reach about 2.5 - 3% of the total area of agricultural land group. The product value per hectare of organic land is aimed to be 1.5 - 1.8 times higher than that of non-organic production.

According to the report of the Ministry of Agriculture and Rural Development, by 2021, 57/63 provinces and cities had implemented organic agriculture development activities. Meanwhile, according to data from the Research Institute of Organic Agriculture and a report of the World Organic Agriculture Organisation, in 2021, the total area of organic agricultural land in Vietnam reached over 174,000 hectares, an increase of 47% compared to 2016. Vietnam is currently ranked 9th out of 10 countries with the largest organic agricultural land in Asia. The area of organic farming land is more than 63.5 thousand hectares, the area of organic aquaculture is more than 100,000 hectares, and the area of natural harvesting of organic agriculture is more than 12.4 thousand hectares. The export turnover of organic agricultural products reaches 335 million USD/year, and the products are exported to 180 countries around the world. The number of organic agricultural producers is more than 17,000 units, 555 processors and 60 exporters. In particular, more than 90% of localities across the country paid attention to and directed, guided and encouraged organic production, creating a ripple effect in the community of producers and businesses.

According to the Department of Agricultural Product Processing and Market Development, Ministry of Agriculture and Rural Development, Vietnam currently has more than 30 exporters of organic vegetables and fruits with the main export market. are France, Denmark, Switzerland, Sweden, China, etc. In addition, there are other organic agricultural products for export worth millions of USD such as coffee, rice, cashew, and pepper. The export turnover of organic agricultural products currently reaches over 335 million USD/year to 180 markets around the world, an increase of more than 418% of the annual export value of organic products in the period 2010-2016. The exported organic products are tea, shrimp, rice, cashew nuts, pepper, cinnamon, anise, essential oils, spices, etc. but in very limited quantities.

Vietnam's fruit export turnover is growing well compared to the same period in 2022. According to the Ministry of Agriculture and Rural Development, many fruit trees have póitive movements such as durian, dragon fruit, mango and jackfruit in the first 6 months of 2023. For example, Vietnam exported 180,000 tons of durian to China, with a turnover of USD 850 million and it is forecasted that by the end of 2023, this number may exceed 1 billion USD.

Exporting rice shows a positive future for the agricultural sector. In 2022, Vietnam set a record when exporting nearly 7.2 million tons of rice, earning nearly 4 billion USD thanks to increased demand and world rice prices. In the first 4 months of 2023, rice exports reached nearly 3 million tons, earning $1.56 billion, up 43.6% in volume and 54.5% in value compared to 2022, which is the highest growth among key export agricultural product groups. In particular, Vietnamese rice has met the strict requirements of the European market and is continuing to grow exports to this market. The EU is a market with very high requirements for food safety. Recently, the EU is expected to apply the maximum residue level regulation for some pesticides (very low, about 0.01 ppm), so businesses and manufacturers should pay attention when using these chemicals. pesticides in rice cultivation for export to this market. In addition, the branding, packaging and labeling must comply with EU requirements. Particularly for the certification of fragrant rice for export to the EU, the quota of 30,000 tons must ensure the correct calculation of varieties according to the list of 9 fragrant rice varieties: Jasmine 85, ST 20, ST 5, Nang Hoa 9, VD 20, RVT, OM 4900 , OM 5451 and Cho Dao Resources.

Beside the government's efforts, many businesses have also joint forces to promote the sustainability within the agricultural sector in Vietnam. For example, in order to fulfill its commitment to sustainable purchasing, Nestlé Vietnam has implemented the Nescafé Plan Sustainable Coffee Farming Program in the Central Highlands provinces since 2011. To date, the programme has supported more than 22,000 farmer households, approached and practiced coffee production according to 4C criteria, training for more than 330,000 farmers, distributing 63.5 million disease-resistant and high-yielding seedlings to help replant old coffee trees old. The programme has contributed to reducing the amount of fertiliser by 20%, saving 40% of irrigation water in coffee cultivation, and helping farmers to increase their income by 30-100% by applying reasonable intercropping models. The program also applies digital technology to support the development and construction of a household diary tool, helping farmers manage production and business activities effectively through software application, replacing administration process.

Source: the Internet



bottom of page