Dutch and Vietnamese businesses sign cooperation agreements for Mekong Delta

March 22, 2024 | 17:02
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Vietnamese and Dutch businesses signed 18 cooperation agreements at the third Vietnam-Netherlands Mekong Delta Business Forum on March 21 in Ho Chi Minh City.

The event was part of the programme for the March 18-21 visit of a 140-member delegation led by Dutch Minister of Agriculture, Nature, and Food Quality Christianne van der Wal, president of the Confederation of Netherlands Industry and Employers Ingrid Thijssen, and Dutch Minister of Infrastructure and Water Management Mark Harbers.

The sectors in focus for this mission are water management and technology solutions, agri-food and horticulture, and green and digitalised logistics.

Dutch and Vietnamese businesses sign cooperation agreements for Mekong Delta

Four projects are under the Netherlands’ Mekong Delta sustainable aquaculture project, which focuses on the economic opportunities of the transition to sustainability. This integrated effort aims to mobilise public and private stakeholders to work together and support the growth of climate-smart and sustainable aquaculture, with a focus on nature-based solutions, reducing diseases and the use of antibiotics, and supporting farmers and cooperatives with knowledge and technologies.

Other projects with Dutch financial contributions include organic shrimp farming, sustainable rice cultivation, and sugar substitutes.

The two sides also implemented the building of a food supply chain to meet the growing demand for sustainable products in Europe, creating more business opportunities for Dutch agricultural companies in Vietnam through an innovative IT platform.

There is also a project to deploy a comprehensive farming process with seed treatment and product preservation techniques - part of an integrated rice growing strategy to achieve one million hectares of high-quality rice, supported by a loan worth $90 million.

The collaborative projects aim to bring new business opportunities, create long-term employment, and promote sustainable economic development activities.

Harbes said, "Vietnam and the Netherlands are similar in that we both have deltas and large rivers flowing through them. Therefore, we also share the same challenges such as climate change, rising sea levels, saltwater intrusion, and the burden of urbanisation and industrialisation. The Netherlands has 50 years of experience in water governance, as does Vietnam. But those experiences are not enough, and we must be ready to take appropriate action in the future."

Speaking at the forum, Deputy Minister of Agriculture and Rural Development Tran Thanh Nam said, "The Mekong Delta contributes about 56 per cent of Vietnam's total rice output, 70 per cent of its aquaculture output, and 64 per cent of its fruit production, of which a large proportion is exported. So it is vital we address the region's challenges, such as climate change, the environment, and volatile market prices, as they put tremendous pressure on agricultural production."

Dutch and Vietnamese businesses sign cooperation agreements for Mekong Delta

According to Nam, the Ministry of Agriculture and Rural Development's (MARD) focus is on restructuring the agricultural sector towards improving product quality, enhancing value, and adapting to climate change via three solutions that will to call on firms from both countries to participate.

“Firstly, we are focusing on synchronising the mechanisation of agricultural production to reduce manual labour and improve productivity. Secondly, we will focus on digital solutions in production and traceability to ensure product quality. And third, we are developing a project to build an agricultural logistics chain to reduce costs and increase added value,” said Nam.

According to director of the Vietnam Chamber of Commerce and Industry in Can Tho Nguyen Phuong Lam, all 18 cooperation agreements focus on technology issues, logistics fields, and industry value chains.

"We urgently need cooperation on the Mekong Delta with businesses outside the region, especially international cooperation, such as from the Netherlands, a country with a lot of experience in water treatment and land reclamation," said Lam.

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By Bich Ngoc

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