Safe and sustainable credit for businesses and farmers
In his opening remarks at the forum, Mr. Ho Xuan Hung, President of the Vietnam General Association of Agriculture and Rural Development, emphasized that agriculture has always played a particularly important role in the Vietnamese economy , not only as a pillar of the economy but also ensuring food security, social stability, and livelihoods for tens of millions of people.
According to Mr. Ho Xuan Hung, in the context of a complex global economy, increasing trade competition, worsening climate change, and the growing demands for green transformation, digital transformation, and international standards, Vietnam's agricultural sector is facing the need for strong restructuring towards a modern, ecological, circular, and sustainable direction. However, the key issue remains the flow of capital.
In reality, many businesses, cooperatives, and farmers still face difficulties in accessing credit due to a lack of collateral, small-scale production, limited financial management capacity, while also facing risks from natural disasters, diseases, and rising input costs. In particular, green agriculture, organic farming, or high-tech applications often require large capital investments with long investment periods and slow return on investment.
Besides facing difficulties with domestic capital, Vietnamese agricultural export businesses also encounter numerous risks in international transactions. The organizers cited the case of nearly 100 containers of cashew nuts exported to Italy in 2022, which risked losing control of the original documents, with a total value of goods reaching tens of millions of USD, or the case of a pepper export business to Pakistan whose partner misappropriated goods, causing hundreds of thousands of USD in losses.
According to the Vietnam General Association of Agriculture and Rural Development, these incidents highlight the crucial role of the banking system in supporting businesses with international payments, credit guarantees, partner verification, and trade risk prevention. The Association expects banks to not only provide credit but also act as strategic partners for businesses and farmers.
At the forum, many opinions suggested that the State and the banking sector need to have special preferential policies to facilitate capital flows into agriculture, thereby promoting the development of an ecological, modern, and sustainable agricultural sector.
Launching the program to survey, rank, and publish the credibility of Vietnam's agricultural sector.
Within the framework of the program, all delegates attending the Forum witnessed the Launch Ceremony of the Vietnam Agriculture Reputation Index (VARI), a survey, ranking, and announcement program for entrepreneurs and businesses in the Vietnamese agricultural sector, and the launch of the online portal www.vari.org.vn.
Accordingly, Vietnam's agricultural sector is currently undergoing a strong transformation towards modernization, green practices, transparency, and sustainable development. However, the reality shows that there is still a lack of transparency in information, substandard goods, and violations of commitments in some areas, which have significantly affected the trust of farmers and consumers, as well as the cooperation and investment environment in the agricultural sector.
The Vietnam Agriculture Reputation Index (VARI) program, which surveys, ranks, and publishes the credibility of entrepreneurs and businesses contributing to sustainable agricultural development, was created to scientifically , objectively, and transparently research, survey, and assess the credibility of businesses and entrepreneurs in the agricultural sector. This helps consumers in general, farmers, and economic entities in particular to identify genuine, responsible, and trustworthy businesses and entrepreneurs to prioritize cooperation and development. Simultaneously, the program contributes to raising business ethics standards, promoting healthy competition, and creating value for society.
The launch ceremony of the Vietnam Agriculture Reputation Index (VARI) program and the launch of its online portal, www.vari.org.vn, was a great success, promising to create an effective communication and promotion channel for the agricultural business community, as well as an environment for equal, fair, transparent, and high-quality networking and exchange.
The Vietnam General Association of Agriculture and Rural Development is committed to continuing to work alongside the business community, farmers, and the banking system to build a modern, green, and effectively integrated Vietnamese agriculture.
Source: https://tienphong.vn/go-nut-that-von-cho-nong-nghiep-post1845378.tpo
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