How should businesses in Nghe An act in building a green production ecosystem?

Climate change has become an existential challenge, forcing every country and every economy to change their thinking and actions. In that context, the green transition is an inevitable imperative for Vietnamese enterprises in general, Nghe An enterprises in particular, especially those targeting export markets.

Activities at the dairy farm cluster of TH Nghe An Group . Photo: Dinh Tuyen

In this field, Nghe An Newspaper and Radio and Television reporters had an interview with economic expert Huynh Thi My Nuong - General Director of Sustainable Development Services and Leadership Training Company Limited (SDLT).

Requires close and effective coordination of resources

Reporter: Many people believe that "Connecting businesses with partners, markets and resources is the key to building a sustainable green production ecosystem". What is your opinion on this issue?

Ms. Huynh Thi My Nuong: Vietnam is currently an active member of many AFTA Free Trade Agreements. This opens wide doors for businesses to access potential international markets such as ASEAN, Canada, Australia, Japan, UK, EU... These markets are increasingly placing more stringent requirements on imported products. That is, businesses must meet standards on the environment, labor safety and sustainable development.

Thus, the three factors connecting businesses with partners, markets and resources are only "necessary but not sufficient factors" to create a truly effective green production ecosystem. Resources are a synthetic factor, including the remaining factors, in which people, finance and technology are essential internal factors of businesses. Meanwhile, connecting markets and partners are external factors, playing an important role, especially in the context of Vietnam having signed nearly 20 new-generation Free Trade Agreements (FTAs). And FTAs ​​are governing the rules of the global game. However, without a strong and consistent "push", the path of business transformation will be thorny and lack consistency.

Economist Huynh Thi My Nuong.

That driving force is the "creating" and "leading" role of the State. At the COP26 Conference, Prime Minister Pham Minh Chinh made a commitment to achieving net zero emissions by 2050, creating a clear strategic direction for the entire Vietnamese economy.

It is not only a political commitment but also a legal basis for creating policies, regulations and mechanisms to support businesses to participate in transformation in a systematic and correct way. No matter how flexible and proactive a business is, it cannot go fast and far alone if it does not work together and take the country's general policies and orientations as a guide.

In addition, among the above factors, the core factor is human resources. After all, people are the factor that creates and leads most of all changes. In particular, the thinking and vision of the business leader plays a decisive role. If business leaders truly understand and desire transformation, they will be the ones to spread this spirit to their entire ecosystem. On the contrary, if there is a lack of will and awareness, any support efforts from the outside will hardly be effective. This is completely consistent with the United Nations' viewpoint in promoting the Sustainable Development Goals (SDG), emphasizing that change is only sustainable when there is participation and response from the whole society, in which the private sector plays a pivotal role.

The green production ecosystem is not just the story of a few pioneering enterprises, but a synchronous revolution, requiring close and effective coordination of resources between the State - Enterprises - Society.

Breakthrough solutions from the government

Reporter: In your opinion, to remove difficulties for businesses in converting to green production, what breakthrough solutions should authorities at all levels prioritize?

Ms. Huynh Thi My Nuong: To remove difficulties for businesses, especially small and medium enterprises (SMEs), authorities at all levels need to prioritize breakthrough and practical solutions.

First, it is necessary to streamline administrative procedures and promote digitalization. Although it has been mentioned many times, in reality, accessing support capital sources from the State is still cumbersome and complicated. Digitalizing the process will help to make it transparent, shorten time and costs, and create the most favorable conditions for businesses. A "one-stop shop" model or a single digital portal for procedures related to green transformation will be an important step forward.

Closing the production process and complying with quality requirements is an important "link" in clean production. Photo: Document

Second, it is necessary to establish a comprehensive support center dedicated to green transformation enterprises. This center will act as a "transit station", providing a full range of solutions from finance (preferential loan packages, green investment funds) to technology (connecting with research institutes, innovation centers) and strategic orientation. This is a big challenge, but completely feasible if there is public-private coordination, taking advantage of the strengths of financial institutions, investment funds, non-governmental organizations and large enterprises.

At the same time, it is necessary to consider building a "National Green Enterprise" title. Vietnam already has titles for Science and Technology or National Quality. Similarly, a title for green enterprises will be a spiritual motivation and enjoy practical incentives. For this title to be valuable, it is necessary to learn from the experiences of other countries, build a set of transparent and strict assessment criteria, based on international standards, as well as lessons learned from existing titles in Vietnam. This not only helps to honor pioneering enterprises but also helps them build prestige in the international market.

Economist Huynh Thi My Nuong at the Sustainable Startup Workshop. Photo: Hoang Dung

Nghe An Enterprises: Mission from tradition and opportunities from the future

Reporter: Meeting the "Green Standard" is an indispensable requirement when targeting the export market of Vietnamese enterprises. From your perspective, what do Nghe An enterprises need to do to proactively seize opportunities?

Ms. Huynh Thi My Nuong: For Nghe An enterprises, meeting the "Green Standard" is not only a requirement of the export market, but also a noble mission. Enterprises need to be pioneers in sustainable economic development. To proactively seize opportunities, in my opinion, Nghe An enterprises can be divided into two groups to have a suitable action roadmap.

Group 1: Businesses with certain experience and success

These businesses should be encouraged to become pioneers in the local ecosystem. They also have an important role in spreading knowledge, experience, and even sharing resources to "pull" smaller businesses to participate.

This is a group of businesses that have clearly understood the value of green manufacturing and have achieved initial success. Their goal is not only to comply but also to pioneer and lead the trend. The roadmap for this group needs to focus on advanced, breakthrough strategies.

“For Nghe An enterprises, meeting the "Green Standard" is not only a requirement of the export market, but also a noble mission” - Economic expert Huynh Thi My Nuong.

First is "Innovation and technology": Continuously invest in research and development (R&D) to find new, more environmentally friendly production solutions. Apply 4.0 technology (such as IoT, AI) to optimize processes, reduce waste of resources and energy.

Next is "Enhancing the value of the green supply chain": Proactively cooperate with partners who share the same environmental commitment to build a completely green supply chain, from input materials to final products.

Green production is being implemented by many cooperatives and enterprises in Nghe An. Photo: Hoang Vinh

Next, “Building a sustainable brand”: Green transformation is not only about production but also about inspiring stories. Enterprises need to strongly communicate their efforts and achievements, turn product stories into unique brand values, and build credibility with international consumers.

Group 2: Inexperienced businesses

These are typically small and medium-sized enterprises, startups, which make up the majority of the economy. For businesses just starting out, the transformation journey can be challenging. However, it is also an opportunity for them to build a solid foundation from the beginning. The roadmap for this group needs to be carefully and systematically built:

First, it is necessary to position, assess internal capacity and develop a plan: Enterprises need to start with self-assessment to know where they are. They need to analyze environmental factors in the current production process to identify areas for improvement, from which they can develop a detailed transformation plan with specific, achievable goals.

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Need to learn and apply from the smallest things: Green transformation does not necessarily have to be a big revolution, businesses can start with simple things like saving electricity, water, classifying waste, or using environmentally friendly raw materials. Initially, you can apply the 5S, 3R, 3T methods... in production and business to comprehensively improve the efficiency of all business activities.

It is especially important to take advantage of support: Proactively seek support from authorities, industry associations and learn from the experiences of previous businesses in both offline and online environments. This helps them avoid unnecessary mistakes and shorten the time to achieve the desired goals.

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Regardless of the stage, understanding the value, being proactive and persistent on the green transformation path is the decisive factor. With consensus and effort, Nghe An enterprises will not only meet export standards but also affirm their position in the international arena, especially in demanding markets such as the EU, the US or Japan, which are increasingly tightening environmental regulations, typically the EU's Carbon Border Adjustment Mechanism (CBAM).

Reporter: Thank you very much!

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Source: https://baonghean.vn/doanh-nghiep-o-nghe-an-can-hanh-dong-nhu-the-nao-trong-xay-dung-he-sinh-thai-san-xuat-xanh-10306214.html