Digital transformation not only improves production efficiency but is also considered the “key” for cooperatives, especially agricultural cooperatives, to participate more deeply in domestic and international value chains.
Efforts still face difficulties
Since 2022, Minh Trung Agricultural Services Cooperative in Tan Phu Commune, Tay Ninh Province, has implemented a high-tech agricultural model for custard apples. Thanks to the application of production management software and connections with distribution systems and e-commerce platforms, the cooperative’s output has remained stable. In 2025 alone, output reached more than 4,000 tonnes, with revenue exceeding VND 40 billion.
However, difficulties emerged after a period of digital transformation implementation. First, many members were unfamiliar with using smartphones, with inconsistent data entry resulting in a lack of synchronisation in the system, at times leaving it almost unused. In addition, synchronously deploying management software, sensor equipment, and product traceability labels requires substantial capital, while the cooperative’s financial capacity remains limited.
Le Minh Trung, Director of the cooperative, shared that the biggest obstacle is farmers’ limited awareness of digital transformation. At the same time, the cooperative lacks resources to hire personnel to collect and update data. The issue does not lie in developing more new software, but in effectively utilising existing tools and changing mindsets so that farmers proactively participate.
As a pioneer in applying digitalisation in agriculture in Ha Noi, Chuc Son Clean Vegetable and Fruit Cooperative in Chuong My Ward has deployed the iMetos weather warning station and the eGap traceability system as well as placed products on e-commerce platforms. However, the digital transformation process has yet to meet expectations due to many barriers. The main reason is that digital transformation does not stop at equipment or software but requires restructuring management methods.
Meanwhile, the cooperative’s management team still has limitations in digital thinking and skills, lacking the capacity for data management, platform operation, and digital business strategy development. Therefore, data digitalisation and consumption linkages still depend heavily on external technical support.
Cooperative Director Hoang Van Tham expressed concern that many cooperative managers view digital transformation as a campaign-driven task, while members are mostly elderly farmers who face difficulties using smartphones and updating data, making the transformation process fragmented and lacking a long-term strategy to bring products to the international market.
Removing obstacles to digital transformation
In reality, amid the wave of digital transformation, the collective economy and cooperative sector cannot remain outside the process and must innovate to adapt to the market. However, agricultural digitalisation requires substantial investment for equipment, software, traceability systems, automation, and human resource training. These are considered burdens beyond the capacity of many cooperatives.
Leaders of the two abovementioned cooperatives said that due to limited accumulated capital and difficulties in accessing credit, digitalisation items have only been implemented on a small scale and have yet to create breakthroughs. Therefore, cooperatives need practical support mechanisms in terms of capital, digital governance training, consultancy on suitable models, and connections with technology enterprises and digital markets to build long-term production and business plans.
Since the issuance of the Politburo’s Resolution No. 57-NQ/TW, many support programmes for cooperative digital transformation have been implemented. However, there remains a gap and barriers between policy and practice that need to be removed.
Specifically, many support policies related to training, technology consultancy, preferential loans, and digital trade promotion remain fragmented or overlapping and are difficult for the collective economy in agriculture to access. Many cooperatives are confused due to a lack of information and guidance, or because they do not meet the conditions to benefit from state support policies. Others wish to access support policies to obtain investment resources but find it difficult to satisfy the requirements set by state management agencies.
According to Mai Quang Vinh, Chairman of the Board of Directors of the Viet Nam Digital Economy Cooperative Alliance, many cooperatives currently do not have staff dedicated to digital transformation, making access to and operation of technology very limited. Many localities implement digital transformation in a scattered manner, lacking data transparency and post-training support, resulting in projects being abandoned halfway and movements quickly losing momentum.
The digital transformation process in the collective economy and agricultural cooperative sector is facing many challenges because investment resources remain very limited due to the small scale and low capital, while digital transformation requires large initial costs. Accessing state support policies remains difficult, with complicated procedures. Many cooperatives want to carry out digital transformation but do not know where to start, while their ability to connect with technology enterprises is limited.
Director General of the Department of Cooperative Economy and Rural Development under Ministry of Agriculture and Environment Le Duc Thinh
Director General of the Department of Cooperative Economy and Rural Development under the Ministry of Agriculture and Environment Le Duc Thinh stated that the digital transformation process in the collective economy and agricultural cooperative sector is facing many challenges because investment resources remain very limited due to the small scale and low capital, while digital transformation requires large initial costs. Accessing state support policies remains difficult, with complicated procedures. Many cooperatives want to carry out digital transformation but do not know where to start, while their ability to connect with technology enterprises is limited.
To remove these “bottlenecks”, it is first necessary to focus on promoting training and improving digital skills for people through small and practical tasks. Cooperative leaders themselves must regard improving digital governance capacity as a breakthrough step, and digital transformation must begin with a change in mindset from directors to every member. The state needs appropriate credit mechanisms for the collective economy to invest in technology.
“We have concluded that each cooperative may spend VND 200-300 million annually on digital transformation. However, cooperatives do not need to do everything at once; they should be selective and proceed gradually from easy tasks to more difficult ones. What is closely linked to production requirements should be implemented first,” Thinh shared.