Failure to meet "green" standards, businesses may not be able to export goods

VCN - Emphasizing the rapid change of the market towards the "green" criteria of products, Vu Ba Phu, Director of the Trade Promotion Department - Ministry of Industry and Trade, forecast that if there are no certifications, acceptance that markets with green standards or customers with green standards require, in 5 years Vietnam in general and many enterprises, in particular, may not be able to export goods.
Mr. Vu Ba Phu, Director of Trade Promotion Department -  Ministry of Industry and Trade.
Mr. Vu Ba Phu, Director of Trade Promotion Department - Ministry of Industry and Trade.

More countries are interested in developing a green and sustainable economy, how does this affect consumption trends in these countries, sir?

Globally, and especially in Europe, green and clean consumption has become an official trend, not a niche market as before. Previously, green and sustainable standards were only seen in high-end segments, but now they have become common requirements in all segments and markets.

It is clear from EU laws banning all imports related to deforestation, regulations on legal fishing in fisheries, promotion of green products, emission reduction and most recently, sustainability reporting regulations for European businesses were issued on November 10, 2022 to ensure transparency, clearly define responsibilities for stakeholders across the supply chain into the market.

It can be seen that the frequency of issuing legal regulations to promote green growth is increasingly dense, in accordance with the spirit of the Green Agreement.

Thus, green growth, green development, and circular economy are becoming global trends and are practiced fiercely in the most developed economies in the world such as the European market. Because, this has been confirmed as a solution to reduce greenhouse gas emissions, toward a carbon-neutral economy in the long term.

What challenges does this new trend pose for Vietnamese businesses?

For products of existing categories, a major risk is that they cannot be exported to markets that are raising green standards if they do not meet the standards. The market for certified products has skyrocketed in the last 15 years and if Vietnamese exporters don't have the certifications required by green-standard markets or customers with green standards.

Next year Vietnam and many enterprises will not be able to export goods. Therefore, it is necessary to meet these green standards quickly to gain a competitive advantage, before other exporting countries get ahead.

In such a context, how can we quickly meet green standards to gain a competitive advantage before other exporting countries take the lead?

It should be affirmed that green growth is the hedging strategy of both the public and private sectors. Because green growth reflects how economies respond to the complex developments of climate change and the depletion of natural resources; reflects trends in search of new growth models with green industries as the spearhead, creating new growth engines and being highly competitive.

I think from the perspective that the units that have the closest and earliest access to brands, buyers, and trade promotion agencies will have the most accurate information to coordinate and transfer these signals and requests to management units and domestic enterprises.

From there, it is possible to jointly develop a set of green standards to help guide Vietnam's exports to promptly respond to the new requirements of the market. The trade promotion system must support so that industries and Vietnam, in general, are more active, in a position of mastery, and self-develop green standards that are recognized by the world market and customers.

However, it is necessary to review the domestic trade promotion network, which has some limitations, not really meeting the mission of providing a "special" service because of many difficulties and challenges both internally and externally.

The majority of corporate customers are small enterprises, only a few enterprises are really medium-sized, especially in the areas of agriculture, forestry and fishery.

Enterprises can hardly invest in market research and marketing activities themselves. But it is also necessary to recognize that there is still a lot of psychological dependence, waiting for help from subsidized thinking, so paying for services is still very limited.

Meanwhile, according to the public service function with support from the state budget, due to the perception of commercial promotion function services, there are differences between localities, so the organizational model and organizational method are not synchronized and not stable. Many localities have not paid attention, leading to inadequate investment resources.

So, what solutions are needed?

First of all, it is necessary to quickly raise awareness of all levels of sectors and the whole society about the green transformation that is taking place very strongly; they must have a specific strategy to be able to position Vietnam as the "green supply" of the world.

Along with that, it is necessary to form a legal system on green standards in production, supply chain and trade, with priority given to the circular economy; deploying new business models, applying digital technology, developing new products, environmental products and goods; enhancing products that help reduce carbonization.

At the same time, it is necessary to develop policies and support mechanisms for green transformation.

In particular, trade promotion plays a very important role in helping to orient the economy to connect with the global economy. Therefore, it is necessary to strengthen the coordination of the trade promotion industry with specialized agencies to synchronize solutions to raise awareness of the whole society; provide technical support for compliance and meeting green standards; promulgate legal regulations suitable to the development level of the economy on green standards.

At the same time, this agency will promote policies and mechanisms to support the transition to green production and trade.

From the Department of Trade Promotion, we will also supplement and coordinate with international organizations, projects, and programs to improve internal capacity for promotion and support staff and apply digital transformation tools by expanding and integrating centers into the digital trade promotion ecosystem.

We will also apply and supplement tools to continuously improve internal capacity as well as the whole network with digital tools.

By Khai Ky/ Huu Tuc

Related News

Enterprises expect easier access to credit

Enterprises expect easier access to credit

Enterprises expected access to banking credit to be made easier to quench their thirst for capital during the process of recovering production and business.
Maintain "credibility" to stabilize agricultural product exports to the EU

Maintain "credibility" to stabilize agricultural product exports to the EU

VCN - As one of the potential markets for Vietnamese agricultural products, the EU market share for Vietnamese agricultural products has recently developed as much as expected.
Trade forum looks to expand supply chain to EU

Trade forum looks to expand supply chain to EU

In the context of supply chain fluctuations, the European Union (EU) is promoting the diversification of supplies and choosing Vietnam as a strategic destination in the Asia–Pacific region, heard a trade forum in Ho Chi Minh City.
Unsustainable goods will be less competitive in the EU market

Unsustainable goods will be less competitive in the EU market

VCN - The European Green Deal will significantly impact some areas of Vietnam's exports to the EU, and businesses need to be aware of these changes to take advantage of new opportunities.

Latest News

Semiconductors a future key industry of Vietnam

Semiconductors a future key industry of Vietnam

To maintain a high growth rate of exports, it was necessary to target new trends, including semiconductors, said experts.
Nearly 50 Vietnamese companies join trade promotion event in India

Nearly 50 Vietnamese companies join trade promotion event in India

Nearly 50 enterprises from Vietnam attended a trade promotion and business matching programme on September 22-23 as part of the Uttar Pradesh International Trade Show (UPITS), held for the first time by the administration of the Indian state of Uttar Pradesh.
The food industry has many advantages in increasing exports

The food industry has many advantages in increasing exports

VCN - Although Ho Chi Minh City's food industry is facing many difficulties and challenges, it is gradually recovering and it is predicted that in the near future, there will be many opportunities to increase export orders. Customs Magazine discussed this content with Ms. Ly Kim Chi, President of the Ho Chi Minh City Food Association.
A "moderate" increase in VND and US$ exchange rates will boost exports

A "moderate" increase in VND and US$ exchange rates will boost exports

VCN - According to experts, in recent times, the moderate depreciation of VND compared to USD will help promote export activities and increase the competitiveness of Vietnamese exports.

More News

Vietnam’s aquaculture top position on world map

Vietnam’s aquaculture top position on world map

The growth in Vietnam's seafood export turnover in recent years has been created from the foundation of the aquatic farming, exploitation and processing industry.
Compliance with quality standards – a must to bolster fruit exports: insiders

Compliance with quality standards – a must to bolster fruit exports: insiders

Farmers and businesses must improve product quality, and strictly follow the rules of origin and ensure food safety to boost fruit exports, experts said.
Implement effectively stimulus policies to promote growth

Implement effectively stimulus policies to promote growth

VCN - Export is one of Vietnam's important growth drivers, but this pillar is facing difficulties due to a decline in orders for many export industries. Supporting businesses in restoring production and strengthening the export capacity of localities, especially key areas, solutions are needed, while maximizing the capacity to overcome challenges. Economic expert, Associate Professor, Dr. Dinh Trong Thinh had a discussion with Customs Magazine about this issue.
The United States - a potential market for exporting goods

The United States - a potential market for exporting goods

VCN - For many consecutive years, the United States has been the most important trading partner and largest export market of Vietnam with a proportion of nearly 30% of Vietnam's total export turnover. In 2022, Vietnam has become the 8th largest trading partner of the United States.
PM’s Brazil visit to promote bilateral cooperation in new fields: expert

PM’s Brazil visit to promote bilateral cooperation in new fields: expert

The upcoming visit to Brazil by Vietnamese Prime Minister Pham Minh Chinh will create opportunities for the two countries to renew their strategic partnership and promote their bilateral cooperation in new areas, an expert has said.
Vietnam – poweful magnet for foreign direct investment

Vietnam – poweful magnet for foreign direct investment

Vietnam has become one of the leading countries in Southeast Asia in attracting foreign direct investment (FDI), according to an article published on September 21 on the website gfmag.com of Global Finance Magazine.
Veggie, fruit exports to China enjoy double-digit growth rate

Veggie, fruit exports to China enjoy double-digit growth rate

Vietnam’s turnover of vegetable and fruit exports to China has seen double-digit growth since the beginning of the year, maintaining China's position as the largest importer of these products.
Green industrial real estate attracts FDI investment capital

Green industrial real estate attracts FDI investment capital

VCN - The industrial real estate market in Vietnam is recording an increase in foreign direct investment (FDI). In particular, besides traditional investors such as Japan, Korea, China, Taiwan, Vietnam is welcoming more capital from new investors from Western Europe and North America.
Export highlights come from electronics, computers and components

Export highlights come from electronics, computers and components

VCN - As a product with a key position in the economy and a strong impact on other industries, the export value of electronics, computers and components in the first eight months of 2023 is estimated at US $ 36.2 billion, accounting for 14.9% of total export turnover, decreased slightly by 1.5% over the same period last year, this is also the lowest decrease among the group of products with leading export value.
Read More

Your care

Latest Most read
Semiconductors a future key industry of Vietnam

Semiconductors a future key industry of Vietnam

To maintain a high growth rate of exports, it was necessary to target new trends, including semiconductors, said experts.
Nearly 50 Vietnamese companies join trade promotion event in India

Nearly 50 Vietnamese companies join trade promotion event in India

Nearly 50 enterprises from Vietnam attended a trade promotion and business matching programme on September 22-23 as part of the Uttar Pradesh International Trade Show (UPITS), held for the first time by the administration of the Indian state of Uttar Pradesh.
The food industry has many advantages in increasing exports

The food industry has many advantages in increasing exports

VCN - According to statistics from Ho Chi Minh City, the industrial production index (IIP) of Ho Chi Minh City in the first 6 months of 2023 increased by 1.9% compared to the same period in 2022, but the IIP index of the food processing industry decreased
A "moderate" increase in VND and US$ exchange rates will boost exports

A "moderate" increase in VND and US$ exchange rates will boost exports

VCN - According to experts, in recent times, the moderate depreciation of VND compared to USD will help promote export activities and increase the competitiveness of Vietnamese exports.
Vietnam’s aquaculture top position on world map

Vietnam’s aquaculture top position on world map

The growth in Vietnam's seafood export turnover in recent years has been created from the foundation of the aquatic farming, exploitation and processing industry.
Mobile Version