Update: 09:31 | 26/06/2019
Vietnamese firms can expand exports and reap “sweet fruits” in picky markets by investing in clean production technology, a leading businessman has said.
General Director of Aeon Topvalu Vietnam Limited Company Yuichiro Shiotani recently called on local firms to do more to meet strict standards in some export markets.
In the coming year, the value of Vietnamese goods sold into modern retail system Aeon Group (Japan) will likely reach 500 million USD and is expected to reach 1 billion USD in the next five years, according to thoibaokinhdoanh.vn.
However, Shiotani cautioned that Vietnamese suppliers have to invest more in equipment.
Shiotani said once Vietnamese suppliers invest in equipment, they will receive more orders.
As a distributor, Aeon understands the risks businesses face, so he has sent advisers to help businesses invest appropriately in order to receive orders.
Aeon hopes to sign up 2,000-3,000 Vietnamese suppliers which can export products to Aeon’s supermarkets in Japan, Shiotani told thoibaokinhdoanh.vn.
It’s important that Vietnamese manufacturers' production processes meet clean standards, which will require investment, according to Shiotani.
Vo Quan Huy, director of Huy Long An – My Binh Co., Ltd., said that to stabilise exports to picky markets, the State needs to build standards for companies in production development to help them meet criteria set by the purchaser or the standards of the importing country.
According to Huy, firms should be consistent and think for the long-term in meeting standards of importing countries to develop sustainably.
For example, pomelo can be exported to the EU, but some firms have had problems with pesticide residue. To deal with this issue, Huy called for the establishment of a clean growing area to attract enterprises to invest in exports.
Meanwhile, exports of lychees into fastidious markets have improved after firms adopted a clean process. This year, the US Department of Agriculture has granted codes to 18 lychee growing areas in seven communes in Luc Ngan district (Bac Giang province) with a total area of 217.89ha.
On exports to Japan, with many years of experience exporting bananas to the country, Huy said this market consumed a lot but his enterprise was stuck with the problem that workers could not afford to pack bananas in line with Japanese standards.
To conquer a difficult market like Japan, many businesses have decided they must persevere with a clean production process.
In May, Vietnamese firm Seagull Agricultural Development Corporation became the first Vietnamese enterprise granted JAS organic certification by Japan’s Ministry of Agriculture - a very strict certification.
To achieve this certification, the company had to spend three years practising standards with clean agricultural production process and had to avoid the overuse of chemicals in farming.