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Vietnam - Indonesia share experiences in agricultural and rural development

15:00 28/08/2025

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On August 27, Deputy Minister of Agriculture and Environment Hoang Trung received a delegation from the Indonesian House of Representatives, led by Major General Sturman Panjaitan, Member of Parliament and Vice Chairman of the Committee.

The meeting took place as Vietnam and Indonesia enter a new stage of cooperation in 2025, following the upgrade of bilateral ties to a Comprehensive Strategic Partnership during Party General Secretary To Lam’s state visit to Indonesia in March. The two countries are also preparing to celebrate the 70th anniversary of diplomatic relations.

At the talks, Major General Panjaitan expressed his delight at the two-way trade volume, which reached USD 16.7 billion in 2024 - double the figure in 2020. He noted that Vietnam and Indonesia share similar development goals, with both aiming to become high-income countries by 2045 while prioritizing science, technology, and energy transition to enhance competitiveness.

Indonesia’s parliament is currently drafting a trade bill covering key agricultural products such as coconuts, cocoa, tea, coffee, and tobacco. Against this backdrop, Jakarta is eager to learn from Vietnam’s experience in formulating and enforcing agricultural legislation, particularly policies related to value chain development and global market integration.

The Indonesian House of Representatives delegation visits and works with the Ministry of Agriculture and Environment. Photo: Kieu Chi.

Building agriculture along value chains

Deputy Minister Hoang Trung stressed that agriculture and environment remain pillars of Vietnam’s economy, contributing significantly to GDP and securing the livelihoods of tens of millions of farmers. The Ministry currently oversees 17 specialized laws covering agriculture, forestry, fisheries, irrigation, and environmental protection, alongside sector-specific strategies linked to resource conservation and climate adaptation.

Vietnam’s crop development strategy, he explained, focuses on entire value chains—from production and processing to consumption and exports—ensuring both economic gains and environmental sustainability. Each sector is built on natural advantages in climate and soil conditions, while prioritizing farmers’ welfare. Strategic products must meet three criteria: high economic value, strong market potential, and sustainable growth.

Deputy Minister Hoang Trung at the working session. Photo: Kieu Chi.

The government, he added, provides support in resources, national branding, and policy frameworks, enabling localities and enterprises to play a leading role in implementation. “Diversifying processing for exports is important, but every product must comply with quality standards,” Deputy Minister Hoang Trung emphasized.

Farmers at the center, enterprises as the driving force

Major General Panjaitan praised Vietnam’s achievements, noting that Indonesia has vast oil palm plantations and other crops but limited efficiency, particularly with cocoa. He expressed hope that Indonesia could learn from Vietnam’s farmer–business partnership model and strategies to enhance deep processing capacity for greater export value.

According to Deputy Minister Hoang Trung, Vietnam’s cooperation mechanisms are based on voluntary participation and mutual benefit. The government provides legal frameworks, while ministries offer support in capital, technology, and trade promotion. Farmers retain production autonomy and can sell products through traders or directly partner with enterprises. Agricultural firms, in turn, not only purchase outputs but also provide seeds, technology, and credit, helping to build sustainable value chains.

In 2024, Vietnam exported 9 million tons of rice, 1.3 million tons of coffee, and large volumes of fruit, reinforcing its position as a global leader. “We clearly identify strategic commodities, organize production on a sustainable basis, adopt advanced technologies, and meet international standards,” the Deputy Minister affirmed.

Major General Sturman Panjaitan at the meeting. Photo: Kieu Chi. 

Toward green and sustainable agriculture

On the issue of organic fertilizers—a key interest of Indonesia—the Deputy Minister noted that Vietnam produces about 20.9 million tons of fertilizer annually, including 3 million tons of organic products. The Ministry is actively promoting the use of organic fertilizers to gradually replace chemical ones, aiming to cut costs, improve crop quality, and protect the environment.

Concluding the meeting, the Indonesian delegation expressed strong appreciation for Vietnam’s farmer-centered agricultural policies and affirmed that bilateral cooperation in agriculture will continue to yield positive outcomes in the coming years.

Kieu Chi