With socio-economic stability, Vietnam stands firm against challenges
The Vietnamese economy is making a rapid recovery in almost all sectors and localities, providing favourable conditions and resources for carrying out economic policies in 2023. Opportunities remain abundant but challenges are also present, requiring leaders of sectors and localities to have a strong determination and dare to take responsibility to open the resources for development.
Ho Duc Phoc - Member of the Party Central Committee and Minister of Finance:
Continuing to maintain macroeconomic stability and keep inflation in check
2023 is a highly significant year, pivotal to the implementation of the targets of the 2021-2025 plan. While global economic growth slows down and rising inflationary pressure is forcing many countries to tighten fiscal and monetary policies, the resilience and resources of the Vietnamese government, enterprises and people, will be affected.
Based on the government’s main tasks and solutions, the Ministry of Finance has determined that to fulfil the finance and budget tasks for 2023
- It is first necessary to conduct a flexible and cautious fiscal policy in line with actual developments and in close alignment with monetary policy and other macroeconomic policies, to boost socio-economic recovery and development.
- Secondly, it is necessary to focus on building and fine-tuning financial institutions and policies, step up administrative reform, tighten financial discipline, and accelerate digital transformation to help build a digital government.
- Thirdly, the ministry will work to sustainably develop and securely operate the financial market and financial services, manage prices in line with the market mechanism, promote fair competition between economic sectors, enhance the effective use of resources, stabilise major balances, and support economic growth. Particularly, it is necessary to improve the performance of state-owned enterprises and ensure budget collection.
- Finally, the ministry will strive to manage public debt and national reserves and combat trafficking effectively.
Dao Hong Lan - Member of the Party Central Committee and Minister of Health:
Facing challenges bravely, perfecting legal frameworks
The year 2022 presented major challenges that the health sector must be brave to face and find out effective solutions. Preventing COVID-19 remains one of the top priorities in 2023 to protect the achievements of coronavirus containment efforts and prevent the epidemic to flare up again and avoid the state of concurrent epidemics.
The Ministry of Health will work closely with the relevant ministries and agencies to fine-tune the legal frameworks and draft laws, as well as work to propose special mechanisms to remove the institutional obstacles in socialisation and the autonomy mechanism for public healthcare facilities.
The ministry will radically resolve the shortage of medicines and medical supplies at healthcare facilities nationwide. At the same time, the ministry will step up the completion of the medical facility network planning, so that healthcare stations will be set up by population size, irrespective of geographical boundaries.
The ministry will continue creating a favourable legal framework to reform training in the direction of international integration and propose and apply appropriate salary and benefit policies to ensure healthcare workers’ devotion to duty.
The whole sector will complete its organisational restructuring, transfer several central hospitals to local authorities, and implement the task of granting certificates and licenses to private healthcare facilities. The ministry will step up administrative reform and digital transformation, and enhance information and communication work, to win the support of the whole society.
Nguyen Van Quang - Member of the Party Central Committee and Da Nang Party Secretary:
Creating breakthroughs to form a regional financial centre
The Politburo’s Resolution 26-NQ/TW dated November 3, 2022 on promoting socio-economic development and ensuring defence, and security in the north-central and central coastal region until 2030, with a vision towards 2045, reflects the Politburo’s vision in the strategy to develop the region. The resolution highlights an important task, which is building Da Nang into a regional financial centre.
To implement the above policy, the city has actively and proactively worked with ministries, sectors, and domestic and foreign experts to complete the project of building Da Nang into a regional financial centre and has submitted it to the Government for consideration.
Accordingly, the city has selected a financial centre model with three functions: offshore financial centre, fintech and supportive services for financial activities.
The permission to develop the financial centre model in Vietnam in general and Da Nang in particular is a new issue at the national level, presenting major challenges in fine-tuning the institutions and legal frameworks to ensure safety and manage risks in the field of finance and money.
Therefore, Da Nang needs further support to make stronger breakthroughs in mechanism and policy building, develop a synchronous and highly attractive legal framework in line with international practices, and design a suitable roadmap for implementation.
At the same time, the city has identified a number of key tasks for the coming time, including continuing to coordinate with ministries and branches to complete the project on building Da Nang into a financial hub; researching and gaining practical experience from financial centres in the world; and evaluating the possibility of attracting investment when building Da Nang as an international financial centre. The city will also give priority on perfecting technical infrastructure, modernising social infrastructure and infrastructure for digital transformation in line with the smart city model, with a focus on the transport infrastructure connecting Da Nang with domestic and international areas via Da Nang International Airport, Tien Sa Seaport and Lien Chieu Seaport. Attention will be paid to researching and proposing mechanisms and policies to encourage investment activities and enhance human resource training, which can facilitate the building of Da Nang as a financial centre, an innovation and start-up centre, and a centre for hosting international events. At the same time, the city will work to establish high-quality services in health, culture, and education at conference centres, the non-tariff zone, and high-class entertainment resorts, contributing to establishing ecosystems and living and working spaces which can meet the demand of international and regional financial investors.
Dao Ngoc Dung - Member of the Party Central Committee and Minister of Labour, War Invalids and Social Affairs:
Developing comprehensive, inclusive and sustainable social policies
In 2022, in implementing Government Resolution No. 01/NQ-CP on the socio-economic development plan and State budget estimate for 2022, the Ministry of Labour, War Invalids and Social Affairs exerted efforts and took drastic measures to support employees and employers in resuming production and business activities, gradually improving people's livelihoods, and preventing disruption of the labour supply chain. In particular, the ministry joined the promulgation and implementation of many unprecedented policies to support workers and businesses which were affected by the COVID-19 pandemic.
In 2023, following the motto ‘Solidarity, Discipline, Innovation and Development’, the Ministry will continue to focus on building and perfecting institutions on labour and social affairs and national contributors, ensuring efficiency and effectiveness to make positive contributions to the country's socio-economic development. The ministry will provide directions and guidelines for localities supporting workers whose incomes are reduced, those who lost their jobs and the underemployed due to the impact of natural disasters and pandemic. Measures will be taken to support disadvantaged workers in returning to their hometown to celebrate Tet (lunar New Year) Festival and back to work after the festival, thus maintaining the supply chain of human resources and ensuring labour supply for businesses.
Gifts presented to needy workers. Photo: NGOC VY
Gifts presented to needy workers. Photo: NGOC VY
In addition, drastic solutions will be taken to develop the labour market in a synchronous, flexible and modern manner, meeting requirements of multi-layer, multi-industry, multi-field, multi-regional and international integration, for effective connection and regulation between labour supply and demand. The ministry will promote innovation to create a strong breakthrough in the quality and effectiveness of vocational training, contributing to improving labour productivity and national competitiveness. It will also support functional authorities in the promulgation of the project on renovating social policy by 2035, with a vision to 2045, towards inclusiveness, comprehensiveness and sustainability.
Moreover, the ministry will better the implementation of social assistance projects and policies, and the national target programme on sustainable poverty reduction for the 2021-2025 period, while accelerating administrative reform and digital transformation, creating synchronisation and database connection between the ministry’s units as well as between the ministry with the national population database in order to facilitate the management, direction and administration of labour affairs, national contributors, and social affairs.
Nguyen Hong Dien - Member of the Party Central Committee, Minister of Industry and Trade:
Actively responding to market developments
In order to overcome difficulties and challenges, continue to stabilise the macro-economy, and ensure the implementation of the development goals in 2023 and the 2021-2025 socio-economic plan, the Ministry of Industry and Trade will focus on the following key tasks:
Regarding industrial production, the Ministry will increase support for enterprises in seeking sources of raw materials for production in order to limit risks of supply chain disruption; continue to implement programmes on connecting domestic enterprises with the supply chains of FDI enterprises and global major enterprises; promote the implementation of support packages for businesses; and ensure the production and import of electricity and petrol to meet the energy demand for business production activities and people's daily life.
Regarding import and export, the Ministry will adjust and make appropriate responses to market developments. In addition, attention will be paid to helping businesses get updated information and get access to markets, and to removing the barriers and obstacles facing businesses in accessing export and import markets. Efforts will be made to effectively tap opportunities from signed free trade agreements (FTA), accelerate digitisation in handling Certificate of Origin - C/O procedures and other procedures related to import and export activities. The Ministry will also facilitate businesses to access the Government's post-COVID-19 recovery support packages, and further promote the role of Vietnamese trade offices abroad.
Regarding the development of the domestic market, the Ministry will focus on coordinating with localities and businesses operating in the field of distribution and logistics services in to grow domestic market, which still has vast room to expand in the context that foreign markets tend to be narrow.
In addition, the Ministry will take bolder actions to ensure the supply and demand of domestic goods, and stabilise the prices of essential commodities. As for petroleum products in particular, the ministry will work to prevent any disruptions in petroleum supply in the business system, ensure energy security, and avoid supply shortage in any circumstance. At the same time, the Ministry will thoroughly review and consult the Government to amend and supplement Government Decree No. 83/2014/ND-CP and Decree No. 95/2021/ND-CP on petrol and oil trading.
Import and export containers handled at Dinh Vu port, Hai Phong city. Photo: DUY LINH
Import and export containers handled at Dinh Vu port, Hai Phong city. Photo: DUY LINH
The years see the record high of Vietnam’s import and export goods from 2007 to 2022. (Source: Ministry of Industry and Trade)
The years see the record high of Vietnam’s import and export goods from 2007 to 2022. (Source: Ministry of Industry and Trade)
Do Duc Duy - Member of the Party Central Committee and Secretary of the Yen Bai Provincial Party Committee:
Consistent goal of “green, harmony, identity and happiness”
The growth rate of Gross Regional Domestic Product (GRDP) of Yen Bai Province is estimated at 8.05%, which is the province's highlight of 2022. The economic structure continued to shift positively, achieving a higher growth rate than forecast at the beginning of the year as well as compared with localities in the Northern midland and mountainous region. The agriculture, forestry and fishery sector grew by 5.67%, the industry and construction sector grew by 13.83%, and the service sector grew by 5.39%. The main sectors and fields of the economy recovered and had strong developments.
The year of 2023 has been identified by Yen Bai Province as a breakthrough year, speeding up the implementation of the Resolution of the 19th Party Congress of the province. Accordingly, the Yen Bai Provincial Party Committee issued Action Programme No. 135-CTr/TU, dated November 18, 2022, on leadership in the implementation of political tasks in 2023, in which, the year's theme was identified, including improving the Party’s capacity in leadership and ruling; drastically and effectively implementing the National Target programmes and the Socio-economic Recovery and Development programme; focusing on infrastructure development, promoting investment attraction, making breakthroughs in digital transformation; maintaining fast and sustainable socio-economic development; and ensuring a peaceful and happy life for people with the action motto of "Drasticity, Discipline, Acceleration, Effectiveness".
Dao ethnic minority people in Van Yen district, Yen Bai province harvest cinnamon. Photo: THANH SON
Dao ethnic minority people in Van Yen district, Yen Bai province harvest cinnamon. Photo: THANH SON
With the overarching goal of comprehensively completing all political targets and tasks in 2023, Yen Bai has been making determined efforts to overcome all difficulties and challenges, comprehensively and successfully implement the set political goals and tasks in 2023; make step-by-step contributions to realise the goal of developing Yen Bai quickly and sustainably in the direction of "green, harmony, identity and happiness"; and becoming a fairly developed province by 2025 and in the group of leading developed provinces of the Northern midland and mountainous region by 2030.
Le Quang Manh, Member of the Party Central Committee and Secretary of the Can Tho City Party Committee, Head of the Delegation of the National Assembly deputies of Can Tho City:
Marking the 20-year journey of the city under the Central Government
Overcoming the difficulties in 2022, thanks to strong efforts, Can Tho City achieved impressive growth with an estimated GRDP of 9.88% (with a set target of 7.5%). The GRDP per capita reached VND 83.99 million (exceeding the Resolution target by 8.37%), an increase of 14.48% compared to 2021.
Star apple harvested in Truong Khuong A Cooperative, Truong Long commune, Phong Dien district, Can Tho meets export standards to the US. Photo: THANH TAM MY
Star apple harvested in Truong Khuong A Cooperative, Truong Long commune, Phong Dien district, Can Tho meets export standards to the US. Photo: THANH TAM MY
Entering 2023 - the year marking the 20-year journey of Can Tho City under the Central Government and also the middle year of the implementation of the Resolution of the 14th Party Congress of the City Party Committee (term 2020-2025), the Can Tho City Party Committee identifies the year's theme “Strengthening a clean and strong Party and political system; focusing resources to promote the city's socio-economic development".
Can Tho has continued to thoroughly grasp and effectively implement the conclusions and resolutions of the Politburo, the Communist Party of Vietnam Central Committee, the Government, and the National Assembly, such as: Conclusion No. 42-KL/TW (dated October 20, 2022) of the Communist Party of Vietnam Central Committee on socio-economic in 2022-2023; resolutions of the National Assembly and the Government on the socio-economic development plan and the budget estimate for 2023; Resolution No. 45/2022/QH15 (dated January 11, 2022) of the National Assembly on piloting a number of specific mechanisms and policies for Can Tho City's development and the resolution of the 13th National Party Congress; and the resolution of the 14th Party Congress of Can Tho City for the 2020-2025 term. The city continues to effectively implement solutions on preventing and controlling the COVID-19 epidemic in the city. The city also strictly implements the documents of the Party and State related to the work of preventing and combating corruption, wastefulness and negative phenomena. The city will also push forward with administrative procedure reform and improving the business investment environment. Meanwhile, the city will continue to strengthen the quality and efficiency of the implementation of economic restructuring in association with renewing the growth model, improving productivity, quality, efficiency, competitiveness and resilience of the economy; and develop and complete a synchronous and modern socio-economic infrastructure system, especially transport infrastructure, climate change prevention infrastructure, and digital infrastructure. At the same time, the city will direct the implementation of measures to improve the quality of education, the programme "Enhancing education of revolutionary ideals, morality and lifestyle and arousing aspirations to contribute to young people, teenagers and children in the 2021-2030 period", and dissemination of legal education in schools.
Le Quoc Phong, Member of the Party Central Committee and Secretary of the Dong Thap Provincial Party Committee:
Investing all resources to maintain the impressive GRDP growth
2022 is the first year that Dong Thap Province has achieved the highest growth rate of GRDP at 9.11%. The result is thanks to the Provincial Party Committee, which has performed many important tasks including implementing, mastering and organising the implementation of six resolutions, 10 thematic conclusions on concretising the implementation of the resolution of the 11th Provincial Party Congress for the 2020-2025 term, and contributing to creating new impulses, new momentum and new successes.
Dong Thap's GRDP growth rate in 2022 is 9.11%, which is said to be the best result in recent years. Photo: dongthap.gov.vn
Dong Thap's GRDP growth rate in 2022 is 9.11%, which is said to be the best result in recent years. Photo: dongthap.gov.vn
Identifying people as an important resource in realising the aspiration to raise the status of Dong Thap, the province has developed the Education Project of Dong Thap Province to 2030, with a vision to 2045, calling for the construction of the first book street in the Mekong Delta, creating a favourable learning environment for the community. Towards this goal, the province has also opened Digital Transformation Centres and Smart City Operation Centres in some localities and built and operated a number of software applications in the field of agriculture, education and healthcare, towards publicity, transparency and convenience for people and businesses.
Entering the new year, Dong Thap will focus on further accelerating the investment and development of the connected transport system. Efforts will be made to build Cao Lanh City and Sa Dec City towards the criteria of a grade I urban areas and Hong Ngu City towards a grade II urban standard while developing satellite towns and new urban projects to gradually increase the rate of urbanisation.The province will improve the quality of human resources to meet development requirements; focus on investment and development of education towards becoming a learning locality; and gradually build a digital government, digital economy and digital society in the three key areas of agriculture, healthcare and education.
Leaders of Dong Thap province visit the rice field of farmer Trinh Van Hien in My Hoa commune, Thap Muoi district. Photo: VIET TIEN
Leaders of Dong Thap province visit the rice field of farmer Trinh Van Hien in My Hoa commune, Thap Muoi district. Photo: VIET TIEN
For the purpose of restructuring the agricultural sector, the focus will be on creating value chains of key commodities; building and upgrading agricultural infrastructure; promoting innovative start-ups; OCOP program and rural tourism.The whole political system of Dong Thap Province is being operated for the purpose of cross-cutting, improving people's living standards and improving the quality and growth of sustainable development.
Nguyen Thanh Ngoc - Deputy Secretary of Tay Ninh Provincial Party Committee and Chairman of the Provincial Peoples Committee:
Building a border of peace, friendship and cooperation
Despite facing many difficulties in 2022, Tay Ninh continues to gain positive socio-economic development results, achieving and exceeding all 19 set targets. Accordingly, the Gross regional domestic product (GRDP) is estimated to increase by 9.56% (the set target of 6.5%), higher than the average growth rate of the whole country. The GRDP per capita was estimated at 3,700 USD, exceeding the set plan, while export turnover, budget revenue, and investment attraction all increased by 25.9%, 17% and 36.1% respectively. Tay Ninh continues to be in the group of five provinces and cities with the lowest poverty rate, while effectively maintaining foreign affairs and upholding national border sovereignty.
In 2023, the Tay Ninh political system will focus on implementing Resolutions of the Government, the Provincial Party Committee, and the Provincial People’s Council, on socio-economic development, right from the beginning of the year, with the highest determination. The province will also actively coordinate with other provinces and cities in the region, to implement Politburo’s Resolution No. 24-NQ/TW and the Government’s Action Plan on socio-economic development and ensuring national defence and security in the Southeast region to 2030, with a vision to 2045. Tay Ninh will also promote investment attraction in socio-economic development according to the planning while boosting the development of transport infrastructure, high-tech agriculture, tourism, administrative reform and digital transformation, in addition to creating favourable conditions for all economic sectors, especially small and medium enterprises, cooperative economy, and cooperatives, to restore and expand production.
The province determines that traffic infrastructure is extremely important, so it focuses on compensation and land clearance to accelerate the progress of key projects in the locality. Tay Ninh also supports investors to implement projects that were approved, especially industrial, urban, tourism, and logistics development projects. It will also effectively implement foreign affairs and build a border of peace, friendship and cooperation.
Le Ngoc Tuan - Deputy Secretary of Kon Tum Provincial Party Committee and Chairman of the Provincial People’s Committee:
Striving to become a key national herbal area
Kon Tum is the northernmost province of the Central Highlands, located in the central area of the Vietnam-Laos-Cambodia “development triangle”. The Politburo’s Resolution No. 23-NQ/TW dated October 6, 2022, on the direction of socio-economic development and national defence and security in the Central Highlands until 2030, with a vision to 2045, has helped Kon Tum and the Central Highlands provinces, in general, to have a guideline on the next stage of development.
Kon Tum will continue to focus on developing areas of its strengths, such as the agro-forestry economy, production of coffee, rubber, macadamia, vegetables, flowers, precious medicinal plants, such as Ngoc Linh ginseng, renewable energy, eco-tourism, resorts, and others.
Kon Tum will expand the planting area, enhance deep processing and diversify products and goods from Ngoc Linh ginseng, the ‘national treasure’ of Vietnam. To promote the potential and strengths of local medicinal herbs, the Kon Tum Provincial Party Committee issued a Resolution on the development of medicinal herbs, to form a concentrated medicinal planting area by 2030, with about 10,000 ha of Ngoc Linh ginseng and 15,000ha of other medicinal plants, with the total output of medicinal herbs of over 130,000 tonnes.
Farmers plant Ngoc Linh ginseng in the forest in Mang Ri commune, Tu Mo Rong district, Kon Tum province. Photo: SONG NGAN
Farmers plant Ngoc Linh ginseng in the forest in Mang Ri commune, Tu Mo Rong district, Kon Tum province. Photo: SONG NGAN
Kon Tum will continue to create the most favourable conditions to attract potential and prestige businesses to invest in building agricultural and pharmaceutical processing plants. The province will attract resources to promote the development of spearhead economic sectors, to become a major medicinal hub of the country, with 16,000 ha of Ngoc Linh ginseng and 20,000 ha of other medicinal plants by 2045.
Nguyen Huong Giang - Deputy Secretary of Bac Ninh Provincial Party Committee and Chairwoman of the Provincial People's Committee:
Economic restructuring associated with the renewal of the growth model
On the road to becoming a centrally run city, Bac Ninh is facing challenges such as ineffective economic restructuring associated with growth model renewal, the development of supporting industry incommensurate with its potential, environmental pollution, increasing cost of land rent and business investment, decreasing budget revenue from the auction of land use rights, environmental tax, and land clearance.
Entering 2023, Bac Ninh is determined to restructure the economy in association with the renewal of the growth model, improving total factor productivity (TFP), promoting the digital economy and circular economy, and accelerating the restructuring of agricultural production.
The province will also accelerate the progress of land clearance and complete the technical infrastructure of industrial parks, to develop in-depth industry and high-tech industry. In addition, Bac Ninh will focus on the implementation of the Provincial Planning for the 2021-2030 period, with a vision for 2050 and the general planning of the Bac Ninh urban area until 2045.
The province will also focus on overcoming limitations to speed up the disbursement of public investment, striving to complete the disbursement of 100% of the public investment set out for 2023. Bac Ninh will strengthen the management of land and natural resources, soon overcome inadequacies in granting land use right certificates and effectively implement the Master Plan on Environmental Protection and soon complete the construction of waste treatment plants, especially high-tech power generation waste incinerators. In addition, environmental pollution in industrial clusters and craft villages will be resolutely handled.
Nguyen Van Tung, Deputy Secretary of the Hai Phong Municipal Party Committee cum Chairman of the Municipal People's Committee:
Taking the lead in enhancing competitiveness from three main pillars.
Setting the goal of becoming the leading city of the whole country in industrialisation and modernisation, Hai Phong is determined to focus on accelerating innovation, restructuring, improving capacity and competitiveness in 2023 in order to promote the city's economic growth in the direction of developing three main pillars: high-tech industry, seaport-logistics, and tourism-trade, while striving to achieve a 12.7%-13% growth rate of GRDP compared to 2022, in which the industrial and construction groups are to increase by 15.9%-16.2% and the service group by 9.1%-9.5%. This is the basis for bringing the GRDP per capita to 8,150 USD. Specifically, the city will focus on developing industry in the direction of modernity, smart and sustainability, the main pillar of the city's economic growth, with a focus on developing the processing and manufacturing industry, the electronics industry, high technology, and industry support. The index of industrial production (IIP) is expected to increase by about 13.5%-14.5%, the proportion of processing and manufacturing industry in the GRDP will reach 46%, and the proportion of the value of high-tech industrial products in the processing and manufacturing industry will reach 54.26%.
Hai Phong aims to promote the city’s economic growth towards three main pillars, including high-tech industry, seaport-logistics, and tourism-trade. (Photo: haiphong.gov.vn)
Hai Phong aims to promote the city’s economic growth towards three main pillars, including high-tech industry, seaport-logistics, and tourism-trade. (Photo: haiphong.gov.vn)
Hai Phong will accelerate construction and development progress of new industrial zones: Nam Trang Cat, Thuy Nguyen, Trang Due 3, Giang Bien 2, Vinh Quang, An Hoa, Tan Trao, Quang Phuc, Dung Tien, An Tho, etc.; complete the work of the Nam Dinh Vu encroaching sea dike; attract investment in projects of offshore wind power industry and garbage power; concentrate resources on completing key projects such as: Ben Rung Bridge, Nguyen Trai Bridge, embellishment of Tam Bac River, ring road 2, and the administrative-political centre and infrastructure of the new urban area north of Cam River.
In addition, the city will step up administrative reform, create a favourable investment environment for production and business, strive to attract 190 trillion VND in development investment capital; accelerate investment projects to build the next container terminals of Hai Phong’s international gateway port and build a national logistics service zone in this area, striving to achieve an output of 185 million tonnes of goods through the port in 2023; and strongly develop tourism infrastructure, especially international-class, high-class tourism and resort projects in Do Son and Cat Ba, such as Dragon Hill, Cat Ba Amanita, Cat Don, and Central Bay of Cat Ba, striving to attract 7.3 million tourists next year.
Le Minh Hoan, Member of the Party Central Committee cum Minister of Agriculture and Rural Development:
Mindset on agriculture cannot be left unchanged
Many assessment reports on the agricultural sector share the same statement: besides the achievements, “growth is tending to decrease”. The growth model in agriculture as well as the entire economic sector has reached a threshold. Land resources are shrinking and, without another approach, agricultural growth will continue to decline.
As the growth model is slowly transformed, the “support” role of agriculture will be lost. That is the need for the issuance of Resolution No.19-NQ/TW, setting the three components of “agriculture, farmers and rural areas” as a whole. The world has not stopped changing, it is getting faster and faster. From the knowledge economy to the 4th industrial revolution, from information technology to the digital revolution, from a green economy to a green transition to cope with climate change. Diseases on crops and livestock are becoming more and more unusual. Natural disasters are becoming more and more erratic, taking place on a large scale. In a world of VUCA: volatility, uncertainty, complexity and ambiguity, the mindset on agriculture cannot be left unchanged.
The mindset on agricultural production must gradually shift to an agricultural economic mindset: taking output as the goal, with quality and added value of the chain of goods as the destination. The production mindset creates a large output suitable for a large market, however, sometimes the output of goods exceeds demand, which will lead to congestion and falling prices. It is necessary to focus on the added value and raising income for farmers. That is the view on taking “Agriculture as the national advantage and the pillar of the economy”. Economic thinking is market thinking, which means that the product must become a commercial item meeting the characteristics and requirements of the market, derived from market trends.
Multi-valued integrated thinking instead of single-valued thinking. Agricultural products, in addition to food, include pharmaceuticals and cosmetics. There has appeared a trend of food consumption towards the following factors: health, happiness, and harmony. Today's consumers pay more attention to ensuring nutrition, seeing eating as an experiential need. Agricultural products must be integrated with many values, from emotional stories of origin to association with elements of indigenous culture, local communities, historical traditions, etc.
An inclusive growth mindset instead of simply pursuing growth. It is necessary to approach the goal of job creation in addition to the goal of growth. The scientific and technological revolution will reduce the number of agricultural workers. Without solving the problem of rural labour it is impossible to achieve the goal of “separation from agriculture and no separation from home”. Rural economic development based on the chain of goods will both create higher value and create more jobs.
People-centred thinking. The resolution stated that “Farmers are the subject and centre of the process of agricultural development, rural economy and new rural construction”. The first and most important solution identified by the resolution is “improving the role, position and capacity of mastering and comprehensively improving the material and spiritual life of farmers and rural residents”. In order for farmers to be able to achieve mastery, it is necessary and urgent to form a contingent of knowledgeable and professional farmers.
New rural thinking is a harmonious living space. Harmony is the ultimate goal in creating the new countryside. The new countryside is an economic, cultural and a rural social space, all towards symbiosis and harmony. When there is a spirit of cooperation, the “fragile, small and spontaneous” curse will be overcome.
The high-tech strawberry farm in Lam Dong run by Bio Fresh Limited Company. Photo: MAI VAN BAO
The high-tech strawberry farm in Lam Dong run by Bio Fresh Limited Company. Photo: MAI VAN BAO
Bac Kan OCOP products are displayed at the provincial exhibition location of agricultural products. Photo: sonnptnt.backan.gov.vn
Bac Kan OCOP products are displayed at the provincial exhibition location of agricultural products. Photo: sonnptnt.backan.gov.vn
Assoc. Prof. Dr. Huynh Thanh Dat, Member of Party Central Committee and Minister of Science and Technology:
Science and technology for creative innovation, strengthening national potential
The reality of industrialisation and modernisation over recent times has shown that scientific and technological advances and creative innovation have had a direct and positive impact on improving the economic potential of the country. According to an assessment of the Asian Productivity Organisation (APO), during the 2010-2019 period, Vietnam was recorded as one of the countries with a positive growth rate of total factor productivity (TFP) and in the group of countries with the highest increase in its production efficiency index, with an average growth rate of TFP at 1.4% per year during the 2010-2019 period (higher than the average growth rate of about 1% per year of member countries). The TFP contributed about 37% to Vietnam's economic growth.
In addition to TFP, another composite index that has also reflected Vietnam’s contributions on science, technology and creative innovation in recent years was the Global Innovation Index (GII). In the last 10 years, Vietnam's GII has witnessed a clear upward trend. Out of 34 low-middle-income countries included in the GII ranking list in 2021, Vietnam continued to hold the top and 4th position in ASEAN. Besides, the innovation startup ecosystem of Vietnam has made it the country with the third largest innovation startup ecosystem in Southeast Asia.
However, the innovation capacity of Vietnam is still low as the rate of investment in technological innovation by Vietnamese enterprises is less than 0.5% of revenue (while India at 5% and the Republic of Korea at 10%). The annual renewal of machinery and equipment is only about 10% (while regional countries are 15-20%). In 2019, Vietnam's total expenditure on science and technology was still low as reaching only about 0.53% of GDP, while the RoK, Japan and China recorded 4.63%, 3.21%, and 2.23%. Intellectual property has not been considered an effective tool of science, technology and creative innovation. The science and technology market has not been closely linked with the goods/services, labour and capital markets. Current mechanisms and policies have not yet created maximum favourable conditions for the scientific and technological products that have been exchanged and purchased in the market.
Ranking of the global innovation index of ASEAN countries in the 2014-2021 period. (Source: Global Innovation Index 2014-2021)
Ranking of the global innovation index of ASEAN countries in the 2014-2021 period. (Source: Global Innovation Index 2014-2021)
The Ministry of Science and Technology highly concurs with the views, goals and tasks stated in the Resolution No.29-NQ/TW dated November 17, 2022 at the sixth session of the 13th Party Central Committee with the view that science, technology and creative innovation is the foundation of industrialisation and modernisation. The Ministry also agrees with the solution to develop science, technology and creative innovation that in the near future, it is necessary to focus on improving the qualifications of the productive forces, speeding up economic restructure, developing the infrastructure system, and giving priority to the development of industries and fields with high technology and added value. The Ministry concurs with the view of prioritising investment in science, technology and creative innovation as well as agreeing with the requirement of increasing the ratio of expenditure from the state budget as of GDP for science, technology and innovation with the goal that Vietnam is among the top three countries in the region in terms of the proportion of state budget expenditures for this area by 2030. Vietnam needs to form a national innovation system associated with domestic and global value chains from now until 2030. It is necessary to build and develop open innovation platforms and open innovation networks as well as strongly promote the role of science, technology and creative innovation in businesses and really take them as the centre in research, development and application of science, technology and innovation.
It can be said that the domestic and international context for the implementation of industrialisation and modernisation during the 2021-2030 period, with a vision to 2045, is different from previous periods. Science, technology and creative innovation, the fourth industrial revolution, and the process of digital transformation have been happening very quickly with strong breakthroughs and far-reaching and multi-dimensional impacts on a global scale, fundamentally changing people’s thinking about industrialisation and modernisation. The solutions related to science, technology and creative innovation mentioned in the Resolution No.29-NQ/TW are truly fundamental and comprehensive ones.
Published: January 2023
Content: Nhan Dan newspaper
Translation: NDO
Design: TRUNG HUNG - PHAN ANH
Photos: Nhân Dân Newspaper, VNA, VGP
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