FPT IS's Digital Ecosystem Promotes Sustainable Agriculture – Circular Agriculture

Jun 09, 2024
Vietnamese Agriculture is Gradually Shifting from Traditional to Modern Production, Actively Applying Digital Technology, Aiming for More Sustainable Development. However, the Process of Digital and Green Transformation in the Agricultural Sector Still Faces Many Challenges. At the Agriculture Digitization Conference, FPT IS Experts Shared Initiatives to Promote Green Agriculture, Contributing to Enhancing the Competitiveness of Vietnamese Agricultural Products in the International Market.

The Agriculture Digitization Conference was chaired by Deputy Prime Minister Tran Luu Quang, with co-chairs Minister of Agriculture and Rural Development Le Minh Hoan and Minister of Information and Communications Nguyen Manh Hung, to exchange knowledge and share initiatives on implementing digitization in agriculture, contributing to sustainable agricultural development, improving productivity and production efficiency, optimizing production processes, ensuring traceability, and reducing environmental emissions.

At the conference, Deputy Prime Minister Tran Luu Quang highlighted issues hindering the digitization of the agricultural sector, such as institutional reforms, administrative procedures, digital infrastructure, digital data, and digital workforce. The Deputy Prime Minister called for technology enterprises to step in and drive digital transformation based on the information and data provided by the agricultural sector, to increase productivity and enhance the competitiveness of Vietnamese agricultural products.

The Agriculture Digitization Conference was organized to exchange knowledge and share initiatives on implementing digitization in the agricultural sector.

Currently, Vietnamese agriculture is gradually transitioning from traditional to modern production models to meet green growth and consumption. Green agriculture aims to enhance the competitiveness of agricultural products, improve the quality of life for farmers, protect resources and agricultural ecosystems, and thereby promote sustainable agriculture across economic, social, and environmental pillars, contributing to the development of a green economy.

Speaking at the conference, Mr. Vu Minh Quang – Consulting Director, Enterprise Division, FPT IS, expressed: “To promote green and sustainable agriculture, greenhouse gas inventory is an important first step, contributing to promoting green projects and creating green certificates so that domestic goods can surpass mechanisms such as carbon taxes and have opportunities to penetrate green supply chains globally.”

However, conducting greenhouse gas inventories remains challenging for enterprises. The complexity of the agricultural sector's emission models, diverse emission factors, specialized technical regulations/guidelines, and the lack of personnel with environmental expertise make the implementation process lengthy and costly, yet with limited effectiveness. “With the goal of promoting green agriculture and circular agriculture, FPT IS proposes two ecosystems of solutions for sustainable agriculture,” Mr. Quang shared.

Mr. Vu Minh Quang – Consulting Director, Enterprise Division, FPT IS, shared at the event

FPT IS has researched and developed Vietnam's first greenhouse gas inventory solution – VertZéro. This solution helps fully digitize the process of collecting environmental data, calculating, managing, and reporting emissions, meeting global emission reporting standards such as ISO 14064-1, GHG Protocol, and others. FPT IS is actively collaborating with leading green transition partners, such as Carbon EX (Japan's carbon credit trading platform) and Faeger (Japan's carbon reduction-oriented agricultural development company), to share implementation experiences and expand green projects between Vietnam and international markets.

Simultaneously, to maximize working capital funding and cross-border business opportunities, FPT IS has developed the Digital Financial Ecosystem – TradeFlat. This solution provides an end-to-end trading platform, solving the complete working capital funding problem for agricultural enterprises from sourcing raw materials to distributing products in domestic and international markets.

TradeFlat is supported by leading commercial banks in Vietnam to effectively implement working capital funding programs for enterprises in the domestic agricultural supply chain. Additionally, by partnering with national platforms from Japan, New Zealand, and other countries, the solution reduces the total international trade transaction time from 7-10 days to 0.5-1 day. This platform will promote trade and commerce, and import-export activities in Vietnam's potential agricultural sector.

FPT IS's solutions were showcased in the exhibition area of the event

At the event, Mr. Quang made several recommendations: “Firstly, green transition and emission reduction should be seen not just as commitments but as opportunities for enterprises and agriculture to transform. Secondly, the Ministry of Agriculture and Rural Development and related ministries need to quickly issue guidelines, regulations, and decrees related to greenhouse gas inventory and emission reduction. These processes need to be aligned with the national roadmap and, more importantly, with the roadmaps of the target markets for products. Thirdly, there needs to be communication with business communities about the significance and opportunities of conducting and reducing emissions, emphasizing that greenhouse gas inventories are neither costly nor difficult if we apply digital technology. Finally, FPT IS wishes to collaborate with the Ministry's specialized agencies in integrating digital applications into greenhouse gas inventories and, further, in managing emission reductions, aiming to build a sustainable agricultural sector.”

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