Promoting green logistics

With a growth rate of 14-16% per year and a market size of approximately $40-42 billion, the logistics industry is playing a pivotal role in the Vietnamese economy.

Developing green logistics is a trend towards sustainable development.

Currently, green logistics is one of the key pillars helping Vietnam achieve its net zero emissions target committed at COP26. However, experts believe that green transformation cannot operate independently without sufficient, timely, and targeted financial policies.

Furthermore, businesses aiming for green transformation also need to invest in environmentally friendly transportation, energy-efficient warehousing, and digital emission management systems. These conditions, however, require significant costs and strong financial support from government agencies.

Commenting on the development of the logistics industry, Mr. Tran Thanh Hai - Deputy Director of the Import-Export Department ( Ministry of Industry and Trade ) said that green logistics will be the key to helping Vietnamese businesses increase their resilience to global fluctuations and meet market requirements, especially the EU's carbon tax policies (CBAM).

“Investments in smart containers, optimized operating systems, and electric vehicles not only help protect the environment but also reduce long-term costs, especially in the context of constantly fluctuating energy prices. Furthermore, the advantages of green logistics lie not only in cost but also in its ability to create competitiveness. Green certification will soon become an important ‘trade visa’ helping businesses penetrate demanding markets,” Mr. Hai emphasized.

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In reality, Vietnamese businesses, especially small and medium-sized enterprises (SMEs), are still facing numerous obstacles in their journey towards green logistics. According to Ms. Ngo Thi Thanh Vy, Deputy General Director of Long An International Port, Vietnam has recently proactively developed a national logistics development strategy and invested heavily in port infrastructure.

As a strategic transit hub in the South – accounting for approximately 45% of the country's total port traffic – Long An International Port is demonstrating that a seaport is not just a loading and unloading center, but also a hub for green innovation throughout the entire logistics chain. However, to realize these ambitious plans, the port urgently needs strong support from financial policies: from green credit and tax incentives to logistics development funds.

According to Ms. Vy, investments in environmentally friendly transportation, energy-efficient warehousing, or digital emission management systems are substantial, and not all businesses have the resources to implement them without appropriate support mechanisms. To overcome these difficulties, businesses hope to expand their cooperation networks with domestic and international partners to build a comprehensive, modern, and sustainable logistics ecosystem and accelerate digitalization.

Mr. Dao Duy Tam, Head of the Customs Supervision and Management Board (General Department of Customs), said that the customs sector has comprehensively digitized the customs clearance process with the support of AI, blockchain, big data, QR codes, etc., helping to shorten time, reduce costs, and especially contribute to reducing emissions in logistics operations.

Accordingly, 99.56% of businesses have implemented electronic customs procedures. However, for green logistics to truly become a mainstream trend and spread to all business segments, regulatory agencies need to focus on building and regulating a synchronized financial ecosystem. Specifically, preferential policies on taxes, green credit, loan guarantees, support for technological innovation, and simplification of administrative procedures are needed, all integrated within a comprehensive and unified policy framework.

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Experts believe that without a comprehensive financial policy, businesses will not be able to transform independently, and the Vietnamese economy will struggle to achieve its greening or digital transformation goals effectively within the global supply chain. Therefore, to promote the development of this sector, the government needs to promptly issue a comprehensive policy package, clearly designing financial tools suitable for each business size and each stage of transformation.

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Source: https://baolaocai.vn/thuc-day-logistics-xanh-post878596.html