Production linkage creates resonance for economic development

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The linkage in agricultural production is showing effectiveness against competition in domestic and international markets. Source: Internet.

The story of the connection has many difficulties

Nguyen Thi Huyen, General Director of Vietnam Cinnamon Production and Export Joint Stock Company (Vinasamex) shared, The company always aims to export agricultural products to many markets around the world. Therefore, since 2012, Vinasamex has been aiming to build a value chain, working directly with farmers in the northern mountainous provinces such as Lao Cai, Yen Bai, and Bac Kan. Currently, the business is associated with 3,000 farmers.

However, when building this link, Nguyen Thi Huyen said that she encountered many difficulties in the early stages because at that time the link building and value chain building were not strong, and people did not believe it. afraid of business. low-price buying. It took Vinasamex about 3 years to convince people and train farmers to produce products that meet international standards. In addition, this position also said that the State has many policies to support inter-regional development and clean agriculture development, but the proximity to businesses is still very limited. If this ends, the regional linkage story will have a significant effect on all parties involved.

According to Tran Thi Thu Hang, General Director of Vietnam Agro-Food Import-Export Company, the connection with farmers' children, especially cooperatives in remote and isolated areas, is still very weak. For example, the Company signs a contract to sell products to a number of cooperatives at a price twice as high as the market price, but every harvest season, the cooperative brings good products to sell to supermarkets, and new goods of type 2 are supplied to the Company.

Also on this issue, Khuc Tien Ha, Senior Domain Manager, Walmart retail chain - Wincommerce Company shared, The company wishes to bring products of many domains to customers with the best price, quality, and quality. Good. However, in order for the products from the farm to reach the consumer in the fastest, newest, and best way, the company has to set up a logistics chain, but logistics costs are currently very high, using 30% of the total cost. Therefore, Ha is concerned about how to reduce logistics costs because it affects the competitiveness of industries.

Another story told from the producer level is the collective economy. According to Ta Viet Hung, Director of Ba Vi Green Farm Cooperative (Hanoi), the distribution business is the subject of output consumption for farmers, who decides what to produce and for whom. … The distribution business is trying to sell organic agricultural products, but the producer has no experience and knowledge about organic standards, product design, or packaging… Ta Viet Hung said that: As a "chain link" in the link chain, producers need to access information to redirect production as required, facilitating product output.

Similarly, Ngo Duy Duong, Director of Phuc Lam Trading and Service Co., Ltd., said that businesses and production cooperatives in localities need information as well as be able to participate in support programs supporting trade promotion activities, promoting regional-specific products that ministries and branches are building, etc., so that there are opportunities to cooperate, link, understand the market's needs and how to replace output base.

Need policy "osmosis" for links

The stories mentioned above show the "heart" of all parties when participating in the association of production and consumption to create a value chain. From the perspective of the management agency, the representative of the Ministry of Industry and Trade said that it is necessary to have policies to support enterprises, cooperatives, and farmers' households in provinces and cities to grasp the market supply-demand situation, and consumption trends. using goods to actively organize production and business towards stabilizing output, reducing oversupply or undersupply of products, limiting losses for farmers; increase product value. The management agencies also need to maintain and promote support to connect the consumption of products and goods between localities, and at the same time, connect the production and distribution enterprises of provinces and cities together.

In fact, from 2022, for the first time, the Politburo has issued 6 resolutions on socio-economic development, national defense, and security assurance in 6 regions by 2030, with a vision to 2045, including China tourism and mountainous areas of the North; Mekong Delta; Highland; Southeast region; the North Central and Central Coast regions and the Red River Delta. Each region has its own characteristics, potentials, advantages as well as difficulties and challenges, so Politburo's resolutions believe that, in addition to the general development guidelines and policies for the whole country, it is also necessary to have specific development guidelines and policies suitable to each region.

At the regular Government meeting on August 5, 2023, Prime Minister Pham Minh Chinh requested to speed up the implementation of regional development resolutions, activities of the Regional Coordinating Council, etc. On July 7, 2023, the Prime Minister signed decisions to establish the Coordination Council for the North Central and Central Coast regions, the Southeast region, the Red River Delta and the Central Highlands. 4 The Regional Coordinating Council was established to renew the regional coordination mechanism, promote regional socio-economic development for rapid and sustainable development, protect the environment, and ensure national defense and security.

It can be seen that the mechanisms, policies as well as guidelines of the Party and State in the linking issue are basically adequate. Businesses want the policy to be "absorbed" faster and more effectively, helping to link in production and business of localities in particular, and the whole country's economy in general to grow stronger, and businesses better promote their role and potential for the process of recovery and development.