Vietnam and Denmark Deepen Ties for Sustainable Agricultural Future
The two countries are dedicated to advancing green transition and growth, supporting Vietnam in building a green economy and fulfilling its commitment to achieving net-zero emissions by 2050.
In a significant move to bolster their partnership in sustainable agricultural development, Vietnam and Denmark have signed a Memorandum of Understanding (MoU) to engage in high-level policy dialogues. The agreement focuses on promoting sustainable food production and efficient, resource-saving supply chains.
Danish Minister for Food, Agriculture, and Fisheries, Jacob Jensen, recently visited Vietnam from May 14 to 16, accompanied by a delegation of Danish agricultural and food companies specializing in green transformation and sustainability. The delegation included firms with cutting-edge technology and expertise in sustainable development.
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The two countries are dedicated to advancing green transition and growth, supporting Vietnam in building a green economy and fulfilling its commitment to achieving net-zero emissions by 2050. Denmark has been actively supporting Vietnam during its war for independence as well as during its national construction and development.
Strengthening Cooperation through Strategic Sector Cooperation (SSC) Program
The Strategic Sector Cooperation (SSC) program, managed by the Danish Animal and Food Authority (DVFA) and the Ministry of Agriculture and Rural Development of Vietnam (MARD), has been instrumental in leveraging Danish expertise and experience to address local priorities, conditions, and needs in Vietnam. The program aims to foster sustainable and responsible growth, create jobs, and enhance prosperity in Vietnam, while also eventually opening business opportunities for Danish companies.
The SSC program is divided into two phases:
- Phase 1 focuses on enhancing the foundational conditions for developing the animal feed industry by building the capacity of state officials and improving the legal framework for the prudent use of veterinary medicines.
- Phase 2, spanning from April 2020 to April 2024, concentrates on increasing the capacity of local officials at all stages of the food chain from farm to table, combating antibiotic resistance (AMR), controlling animal feed, and ensuring the traceability and recall of unsafe foods.
Vietnam's Agricultural Potential and Importance
Agriculture contributes a substantial share of Vietnam's GDP, although its relative contribution has been decreasing as other sectors such as manufacturing and services grow. Despite a gradual shift towards industrialization and services, agriculture remains a crucial sector, employing a large portion of the population, particularly in rural areas where about 60 percent of the country's workforce is engaged in agricultural activities.
Vietnam's agriculture sector has substantial potential for growth due to favorable climatic conditions, fertile land, and a diverse range of agricultural products. The government has prioritized agriculture as a key area for development, implementing policies and programs aimed at modernizing farming practices, improving productivity, and promoting sustainable agriculture.
Opportunities for Danish Businesses
Vietnam presents an important market for Danish companies in the agricultural sector, with agri-food products making up approximately half of Dutch exports to Vietnam. At present, Denmark is one of the EU countries with the highest export per capita to Vietnam, and the agri-food sector constitutes approximately half of total Danish exports to the Southeast Asian country.
Danish Minister Jacob Jensen emphasized the significance of the partnership, stating, "Vietnam has become an important and attractive market for Danish businesses and investors. Although Vietnam and Denmark are geographically very far from each other, we are facing many of the same challenges and we have to continue working together to find ways to use resources effectively in a smart way to increase competitiveness and sustainability."
In conclusion, the strengthening of ties between Vietnam and Denmark in sustainable agricultural development is a testament to the shared commitment of both countries to address global challenges and promote green growth. Through the Strategic Sector Cooperation program and the involvement of Danish companies with cutting-edge technologies, this partnership has the potential to transform Vietnam's agricultural landscape and open up new opportunities for businesses in both countries. As Vietnam continues to prioritize agriculture as a key sector for development, the collaboration with Denmark will undoubtedly play a crucial role in realizing its full potential while ensuring a sustainable future for the sector.