Digitalization in agricultural sector as key fundamental for Vietnam's growth

The agricultural sector through the digitalization process could become a key fundamental for Vietnam’s economy in the coming time.

Minister of Foreign Affairs Bui Thanh Son gave the remarks at the Vietnam Agricultural Digital Transformation International Forum 2021, themed “Keeping up with market trends, promoting the pivotal role in supporting the economy during and after the Covid-19 pandemic”, held today [September 16].

Overview of the online forum.

The forum, jointly held by the Ministry of Foreign Affairs (MoFA), Vietnam Digital Agriculture Association (VIDA), and VnExpress e-newspaper,  drew the participation of more than 1,300 Vietnamese and international delegates from many countries around the world.

“The large attendance at the event demonstrates the huge attention of the society for agricultural digitalization in Vietnam,” said Son.

According to the minister, the Vietnamese Government has identified the importance of actively grasping opportunities from Industry 4.0 and speeding up digitalization, seen as a breakthrough solution for socio-economic development.

Son referred to the national digitalization strategy until 2025, with a vision to 2030, that stresses the focus on promoting a digital economy based on science, technologies, and innovation.

“Such a move would help Vietnam enhance the country’s economic competitiveness to further integrate into the global economy,” he continued.

“Successful digital transformation is the priority for Vietnam to realize the goal of becoming a modern industrial country by 2030 and join the high-income group by 2045. In this regard, the agricultural sector should be the first to go through this process,” Son said.

The MoFA is committed to cooperating with provinces/cities and the business community during Vietnam’s process of global integration and to embark on digitalization in major economic fields, including the agricultural sector.

Sharing the view, Minister of Agricultural and Rural Development Le Minh Hoan noted over the years, the agricultural sector has been instrumental to support economic growth during difficult periods.

Production at Nhat Viet Vegetable Company. Photo: Phuong Nga

At present, the agricultural sector makes up 14% of the GDP and employs 40% of the total workforce.

Hoan said the labor productivity and output in the agricultural sector have reached their limit in terms of technological level, affected by depleted natural resources and negative impacts from climate change.

“It is essential for the sector to change the mindset from agricultural production to the agricultural economy,” Hoan added.

Truong Gia Binh, president of the Vietnam Digital Agriculture Association, noted a strong push for digitalization, especially in e-commerce, e-payment, logistics, and production, could turn Vietnam into a global power in agricultural production.

“Favorable weather conditions in Vietnam means farmers could work all year round, even in winter, not to mention two-thirds of the population dwell in the rural area,” Binh added.

“Combining all the factors, Vietnam could soon become a global basket of farm produce,” he said.

Vice Minister of Information and Communications Nguyen Huy Dung said Vietnam, given its starting point as an agricultural country, has banked on the sector to grow both in the past and at present.

“During the pandemic situation, the role of the sector is increasingly important to ensure the society’s survival,” Dung said.

Meanwhile, the pandemic has proved the inevitable trend of digitalization to pursue sustainable development and growth in every economic sector, including agriculture, Dung stated.

At the forum, delegates have discussed the difficulties and advantages in the digital transformation process, breakthrough opportunities for the country's agriculture, thereby offering strategies, solutions, and resources for Vietnamese digital agriculture.