Vietnamese goods exports to Europe must be green and sustainable

Ms. Ly Kim Chi, Chairwoman of the Ho Chi Minh City Food and Foodstuff Association, stated that some major export markets in the food and foodstuff industry, including the EU, have issued warnings regarding the necessity for products to meet green criteria to export to these markets.

Alongside challenges concerning logistics management costs and input raw materials, Vietnamese enterprises are currently changing management approaches to aim for sustainable development and integrate ESG standards (Environment, Social, Governance) into their business strategies.

According to Ms Chi, these requirements pose challenges for domestic enterprises as they lead to increased goods production costs, eroding profits.

These criteria include producing environmentally friendly goods, fostering local economic development, supporting communities, and focusing on producing green products with recognized green labels by reputable domestic organizations.

According to Ms Nguyen Thi Hoang Thuy, the Commercial Counselor of Vietnam in Sweden, also responsible for the Nordic countries, major corporations in Northern Europe are keen to purchase goods from Vietnamese suppliers, prioritizing those who share values ​​regarding sustainability.

"For food businesses, products must not only meet the mandatory requirements of the EU such as product safety, pesticide residue limits but also meet the very strict requirements of buyers such as environmental certifications, social responsibility," Ms. Hoang Thuy further shared.

Products from businesses will be accepted by Northern European buyers if they adhere to sustainable initiatives. For example, for renowned buyers like FH in Sweden, apart from basic standards, they emphasize finding suppliers with BSCI/Amfori (Business Social Compliance Initiative) certification.

For the food industry, the EU's implementation of the Carbon Border Adjustment Mechanism, the European Green Deal, and the "Farm to Fork" policy pose significant challenges. Most Vietnamese businesses lack sufficient information, knowledge, and resources to comply with these policies.

Meanwhile, developing the export supply chain, including businesses, agricultural product purchasers, producers, processors, distributors, and logistics service providers, will help ensure products meet high-quality and safety standards, with competitive prices in the international market, contributing to the sustainable development of the national economy.

According to Mr. Luu, Vietnam can leverage its export potential in major markets such as the United States, the European Union, China, and Japan due to the diversity and high quality of products such as coffee, rice, and cashew nuts.

However, Vietnam also faces challenges in complying with environmental requirements and pressure from trade protectionism, as well as the need for investment in technology to enhance competitiveness in the global market.