Illustrative image (Photo: VNA)Hanoi (VNA) - Vietnam is working towards achieving higher levelsof food security. In recent years, the country has adopted various measures to boostagricultural product exports, filling gaps in the global food market.
Vietnam’s Ministry of Agriculture and RuralDevelopment (MARD) reported that export earnings from farm produce in the firstnine months of 2017 were estimated at 15.62 billion USD, a year-on-year increaseof 15.2 percent. Meanwhile, aquatic and forestry products brought home 6.73 billionUSD and 6.44 billion USD respectively, up 17.6 percent and 9.9 percent from thesame period last year.
The ten-month export volume and value ofVietnamese rice hit 5.05 million tonnes and 2.25 billion USD, annual increasesof 22.3 percent and 21.1 percent, respectively. The country earned 206 millionUSD from exporting 430,000 tonnes of rice in October alone.
China, Japan, the United States and theRepublic of Korea were the top four importers of Vietnamese vegetables andfruits, though China remained the biggest importer of Vietnamese rice, snappingup 39.3 percent of the country’s rice exports.
With climate change’s impacts on agriculturehaving been a pressing issue for years, policies of the Government and the engagementof localities and businesses have contributed significantly to producing suchoutcomes.
Boostinglocal agricultural standards
In 2008, based on the Global Good AgriculturalPractice (GlobalGap), EurepGAP, ASEANGAP,and Hazard Analysis and Critical Control Points (HACCP), among other sets of standards,Vietnam developed its own VietGap standards, with criteria more suitable to thelocal agriculture sector. VietGap, consisting of 65 standards, helps ensuresafe production and traces the origins of agro-aquatic products.
To encourage the engagement of farmers, inearly 2012, the Government issued support policies for VietGap followers in theagro-forestry-fishery sector. As part of the policies, the State offers tofully pay soil and water assessment costs for VietGap farmers and up to 50percent of construction costs for relevant infrastructure.
The MARD, with the assistance of theJapanese International Cooperation Agency (JICA), also built the Basic GAP,including the 26 most basic criteria among 65 standards of VietGAP, helpingfarmers reshape their practices gradually.
In response to the Government’s efforts toboost the quality of domestic production, several localities have issued theirown support policies for VietGap farms. They include Son La, Lao Cai, DienBien, Hau Giang, Long An, Tien Giang, Lam Dong, Binh Duong, and Ho Chi MinhCity.
Farmers in Ba Don town in the central province of Quang Binh grow safe vegetables under VietGap standards (Photo:VNA)
The Cultivation Department said in the firstsix months of 2017, VietGAP certification agencies accredited 306 production establishments,which operated on a total of 2,720 hectares. As of Jun 30, 2017, the nation had1,390 VietGap-certificated farms spanning 18,235 hectares, of which about 10,796hectares grew fruit trees, over 4,385 hectares vegetables, 1,933 hectares tea,993.53 hectares rice, and 127 hectares coffee trees.
Technology is the key to the agriculturalgrowth in the long run. In 2012, the Government approved a national plan on thedevelopment of high-tech farming by 2020. As of March 2017, the country had 15hi-tech agricultural projects nationwide. The Government has to date approvedthree high-tech farming zones in Hau Giang, Phu Yen and Bac Lieu provinces,while the Ministry of Agriculture and Rural Development has licensed 26high-tech businesses, nine of which invest in advanced cultivation technology.Under the Government’s Decision 176/QD-TTg, by 2020, Vietnam aims to house 200high-tech agricultural firms and 10 high-tech agricultural zones, and thesector is expected to grow by more than 3.5 percent annually.
Organic farming has also emerged in Vietnam.In 2015, the Ministry of Science and Technology issued a set of standardsguiding the producing, processing, labeling and marketing of organic foodproducts. Deputy Minister of Agriculture and Rural Development Tran Thanh Namsaid organic farming areas in Vietnam have been increasing in recent years,reaching 76,000 hectares in 2015, 3.5 times more than in 2010.
Attractinginternational investment and cooperation
Vietnam considers foreign investment animportant part of the economy. In December 2014, the country passed theInvestment Law, aiming to improve the investment climate. The Government’s Resolution19 on improving the business environment and national competitiveness wasapproved the same year and adjusted in 2016.
In 1997, Vietnam became a member of theInternational Fund for Agricultural Development (IFAD), an agency of the UnitedNations. According to Deputy Minister of Finance Tran Xuan Ha, the IFAD ishelping Vietnam to carry out 17 projects worth about 500 million USD across 11provinces, focusing on disadvantaged mountainous areas.
Canada is asignificant supporter of Vietnam’s agriculture. With an advanced farmingsector, the country has provided the Vietnamese Ministry of Agriculture andRural Development with funding for two projects.
The first one wasthe “Food and Agriculture Products Quality Development and Control Project”worth 17 million CAD (12.9 million USD). It aimed to improve the quality,safety and market accessibility of Vietnamese products, including vegetables,tea, pork and poultry, via production and processing renovation. The projecthelped Vietnam build and complete regulations and technical quality control onfood safety and put several production chain models into practice.
The second project hada budget of 500,000 CAD (379,377 USD) and ended in December 2016. It wasdesigned to encourage private investment in the agriculture sector, renewpolicies and improve productivity.
Illustrative Image (Photo: VNA)
On a smaller scale,in March 2017, Loc Troi Group, a leading provider of agricultural services andproducts in Vietnam, and the World Bank’s International Financial Corporation(IFC) launched a project on sustainable rice production.
With the Canadian Government funding theproject via the IFC and the International Rice Research Institute providingtechnical assistance and training, Loc Troi is expected to become the firstfirm in Vietnam to adopt the standards of the Sustainable Rice Platform (SRP),a multi-stakeholder partnership to promote resource efficiency andsustainability, both on farms and throughout the rice value-chain.
The two-year scheme was subsequently scaledup to train up to 4,000 farmers in the Mekong Delta region, who work in the LocTroi network, to grow rice following SRP standards by 2018.
“The project will provide effective trainingto ensure a consistent application of SRP standards to meet performanceindicators in the material area, which will help us build a specifichigh-quality rice brand, able to compete in international markets,” Huynh VanThon, Chairman of the Loc Troi Group, said in an IFC press release.
To date, Loc Troi has exported its riceproducts to 36 countries worldwide, including the US and Australia.
At a Q&A session of the 14th NationalAssembly’s third meeting in June this year, Minister of Planning and InvestmentNguyen Chi Dung said overseas capital in agriculture remains a fraction oftotal foreign direct investment in Vietnam.
Despite its small amount, the funding has createdopportunities for the sector to grow, as it often comes with technologytransfer or export of farm produce in Vietnam back to the investors’ countriesor other overseas markets.
Improved local farming production and flow of foreigninvestment will help the country expand its global market share.-VNA
The ten-month export volume and value ofVietnamese rice hit 5.05 million tonnes and 2.25 billion USD, annual increasesof 22.3 percent and 21.1 percent, respectively. The country earned 206 millionUSD from exporting 430,000 tonnes of rice in October alone.
China, Japan, the United States and theRepublic of Korea were the top four importers of Vietnamese vegetables andfruits, though China remained the biggest importer of Vietnamese rice, snappingup 39.3 percent of the country’s rice exports.
With climate change’s impacts on agriculturehaving been a pressing issue for years, policies of the Government and the engagementof localities and businesses have contributed significantly to producing suchoutcomes.
Boostinglocal agricultural standards
In 2008, based on the Global Good AgriculturalPractice (GlobalGap), EurepGAP, ASEANGAP,and Hazard Analysis and Critical Control Points (HACCP), among other sets of standards,Vietnam developed its own VietGap standards, with criteria more suitable to thelocal agriculture sector. VietGap, consisting of 65 standards, helps ensuresafe production and traces the origins of agro-aquatic products.
To encourage the engagement of farmers, inearly 2012, the Government issued support policies for VietGap followers in theagro-forestry-fishery sector. As part of the policies, the State offers tofully pay soil and water assessment costs for VietGap farmers and up to 50percent of construction costs for relevant infrastructure.
The MARD, with the assistance of theJapanese International Cooperation Agency (JICA), also built the Basic GAP,including the 26 most basic criteria among 65 standards of VietGAP, helpingfarmers reshape their practices gradually.
In response to the Government’s efforts toboost the quality of domestic production, several localities have issued theirown support policies for VietGap farms. They include Son La, Lao Cai, DienBien, Hau Giang, Long An, Tien Giang, Lam Dong, Binh Duong, and Ho Chi MinhCity.
Farmers in Ba Don town in the central province of Quang Binh grow safe vegetables under VietGap standards (Photo:VNA)The Cultivation Department said in the firstsix months of 2017, VietGAP certification agencies accredited 306 production establishments,which operated on a total of 2,720 hectares. As of Jun 30, 2017, the nation had1,390 VietGap-certificated farms spanning 18,235 hectares, of which about 10,796hectares grew fruit trees, over 4,385 hectares vegetables, 1,933 hectares tea,993.53 hectares rice, and 127 hectares coffee trees.
Technology is the key to the agriculturalgrowth in the long run. In 2012, the Government approved a national plan on thedevelopment of high-tech farming by 2020. As of March 2017, the country had 15hi-tech agricultural projects nationwide. The Government has to date approvedthree high-tech farming zones in Hau Giang, Phu Yen and Bac Lieu provinces,while the Ministry of Agriculture and Rural Development has licensed 26high-tech businesses, nine of which invest in advanced cultivation technology.Under the Government’s Decision 176/QD-TTg, by 2020, Vietnam aims to house 200high-tech agricultural firms and 10 high-tech agricultural zones, and thesector is expected to grow by more than 3.5 percent annually.
Organic farming has also emerged in Vietnam.In 2015, the Ministry of Science and Technology issued a set of standardsguiding the producing, processing, labeling and marketing of organic foodproducts. Deputy Minister of Agriculture and Rural Development Tran Thanh Namsaid organic farming areas in Vietnam have been increasing in recent years,reaching 76,000 hectares in 2015, 3.5 times more than in 2010.
Attractinginternational investment and cooperation
Vietnam considers foreign investment animportant part of the economy. In December 2014, the country passed theInvestment Law, aiming to improve the investment climate. The Government’s Resolution19 on improving the business environment and national competitiveness wasapproved the same year and adjusted in 2016.
In 1997, Vietnam became a member of theInternational Fund for Agricultural Development (IFAD), an agency of the UnitedNations. According to Deputy Minister of Finance Tran Xuan Ha, the IFAD ishelping Vietnam to carry out 17 projects worth about 500 million USD across 11provinces, focusing on disadvantaged mountainous areas.
Canada is asignificant supporter of Vietnam’s agriculture. With an advanced farmingsector, the country has provided the Vietnamese Ministry of Agriculture andRural Development with funding for two projects.
The first one wasthe “Food and Agriculture Products Quality Development and Control Project”worth 17 million CAD (12.9 million USD). It aimed to improve the quality,safety and market accessibility of Vietnamese products, including vegetables,tea, pork and poultry, via production and processing renovation. The projecthelped Vietnam build and complete regulations and technical quality control onfood safety and put several production chain models into practice.
The second project hada budget of 500,000 CAD (379,377 USD) and ended in December 2016. It wasdesigned to encourage private investment in the agriculture sector, renewpolicies and improve productivity.
Illustrative Image (Photo: VNA)On a smaller scale,in March 2017, Loc Troi Group, a leading provider of agricultural services andproducts in Vietnam, and the World Bank’s International Financial Corporation(IFC) launched a project on sustainable rice production.
With the Canadian Government funding theproject via the IFC and the International Rice Research Institute providingtechnical assistance and training, Loc Troi is expected to become the firstfirm in Vietnam to adopt the standards of the Sustainable Rice Platform (SRP),a multi-stakeholder partnership to promote resource efficiency andsustainability, both on farms and throughout the rice value-chain.
The two-year scheme was subsequently scaledup to train up to 4,000 farmers in the Mekong Delta region, who work in the LocTroi network, to grow rice following SRP standards by 2018.
“The project will provide effective trainingto ensure a consistent application of SRP standards to meet performanceindicators in the material area, which will help us build a specifichigh-quality rice brand, able to compete in international markets,” Huynh VanThon, Chairman of the Loc Troi Group, said in an IFC press release.
To date, Loc Troi has exported its riceproducts to 36 countries worldwide, including the US and Australia.
At a Q&A session of the 14th NationalAssembly’s third meeting in June this year, Minister of Planning and InvestmentNguyen Chi Dung said overseas capital in agriculture remains a fraction oftotal foreign direct investment in Vietnam.
Despite its small amount, the funding has createdopportunities for the sector to grow, as it often comes with technologytransfer or export of farm produce in Vietnam back to the investors’ countriesor other overseas markets.
Improved local farming production and flow of foreigninvestment will help the country expand its global market share.-VNA
VNA
