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C.P. Vietnam. Most have built plants, oriented socio-economic development,” Mr. Nguyen
long-term investment, and recorded signifi- Foreign investors will Van Chau, Deputy Director of the department,
cant achievements. Information from the be able to find market was quoted as saying.
Japan External Trade Organization (JETRO) opportunities both in Vietnam
Hanoi shows that in food manufacturing, and in its partner countries.” Investment advantages
Acecook and Nissin are the most notable Vietnam possesses a host of advantages
examples of Japanese investors. In the service MS. LE VI AN TAM, in attracting FDI to agriculture. Ms. Le Vi An
industry, Japanese restaurants, traders, and Economics Associate Lecturer, Tam, Economics Associate Lecturer at RMIT
retailers are keen on the growing Vietnam RMIT University University, told VET that one of the greatest
market. Significant examples include Gyu- is its diversity of natural resources, ranging
Kaku, Pepper Lunch, Beard Papa’s, and Pizza from type of land and soil fertility levels to
4P’s, to name just a few, and all source local river density in the northern and southern
ingredients. Localities are also working to pull in agri- deltas and the long coastlines. Thanks to this
Mr. Nakajima Takeo, Chief Representative cultural FDI. In the northwest of the country, key factor in agricultural production, Vietnam
of JETRO Hanoi, told VET that although FDI Dien Bien province is actively seeking FDI in has become a major producer of different
data does not show a strong capital flow into agriculture, forestry and fisheries during the kinds of agricultural products in world markets,
agriculture, a growing number of Japanese 2021-2025 period, according to the provincial such as seafood, high-quality rice, fruit and
companies have indeed entered Vietnam’s Department of Planning and Investment. vegetables, pepper, cashew nuts, and meat.
agriculture market. JETRO has conducted a With 17 projects surveyed and researched, “Though production areas have become smaller
series of agri-related programs to promote taking the next step and attracting investment and moved farther away from the cities over
FDI and trade over recent years. One example shows the important role the sector will play the last two decades due to urbanization and
is an annual business mission from Japan in the province’s socio-economic development industrialization, the productivity of natural
held between 2016 and 2019, with was can- in the years to come. resources is relatively high compared to other
celled in 2020 and this year due to Covid-19. With advantages and potential in agricul- countries in Asia,” she added. “Foreign investors
Some 80 Japanese companies participated, tural development, the central highlands’ may find these conditions beneficial, as they
and there were more than 1,100 business Lam Dong province has attracted 103 FDI can be flexible in deciding which products or
meetings held with potential Vietnamese projects to date with total investment of services they can produce or provide in Viet-
partners. Given Covid-19, five online agri- $533.29 million, according to the provincial nam and be able to enlarge production scale
business events were held in 2020 instead, Department of Agriculture and Rural Devel- in a long-term business plan.”
together with more than 50 one-on-one busi- opment. There are 77 FDI enterprises involved Mr. Takeo agreed that Vietnam has rich
ness meetings, mostly between Japanese man- in its agricultural sector, with investment of and varied food resources. “It has a unique cli-
ufacturers and Vietnamese buyers. “Overall, nearly $267 million. “Investment projects in mate, with plains, mountains, and seashore,”
the agriculture and food industry is one of agriculture and rural areas in Lam Dong have he said. “The southern region offers natural
the more active sectors in business between contributed to accelerating the pace of indus- food resources to make outstanding products.”
the two countries,” Mr. Takeo added. trialization and modernization as well as Vietnam also holds a comparative advan-
tage in terms of is agricultural workforce.
Farmers are greatly experienced in cultivation,
FDI IN AGRICULTURE, FORESTRY AND FISHERIES
adaptive to climate change, and flexible in
switching production plans to meet market
Projects Investment capital % of total FDI demand. They are also more aware of proce-
dures and protocols in quality control systems
thanks to their engagement in contract farming
1H 2021 7 $78.65 million 0.5 with high-value agri-food firms. Farmers are
also becoming more comfortable with record-
ing information of their farming practices in
computer systems. Vietnam itself also has
agricultural engineers who are graduates of
2020 12 $210.63 million 0.7
agricultural universities and research insti-
tutions. These are young and professional
individuals who have done a great job of
working with farmers in quality and safety
2019 16 $99.32 million 0.26 assurance of agricultural products, and they
seek new skills to improve productivity and
the quality of agricultural production.
Amid Covid-19, Vietnam’s GDP growth in
the first half stood at over 3.6 per cent, of
2018 11 $140.85 million 0.4
which agriculture rose 3.51 per cent. In the
second half and the year as a whole, the sector
is striving for growth of 3-3.2 per cent, with
production value to rise 3.2-3.5 per cent.
2017 17 $191.55 million 0.5 Moreover, total export turnover in the first
half increased sharply, by 28.2 per cent year-
on-year to $24.23 billion, according to a report
from the Ministry of Agriculture and Rural
Development (MARD). Mr. Takeo also pointed

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