Hung Nhon Group Chairman Shares Expertise in International Standard Livestock Farming

 At this Forum, Mr. Vu Manh Hung, who serves as Vice Chairman of the Vietnam Digital Agriculture Association (VIDA), Head of the EuroCham Agriculture Sub-committee's Connectivity Working Group, and Chairman of Hung Nhon Group, represented agricultural businesses. He shared insights into the current state of agriculture and his investment experience in the sector, with a particular focus on applying high technology to livestock farming models that meet international standards.

Hung Nhon Group: Navigating Challenges and Embracing Transformation in Vietnamese Agriculture

Mr. Vu Manh Hung of Hung Nhon Group recently shared his candid assessment of the current state of Vietnamese agriculture and his company's response to its challenges.

According to Mr. Hung, Vietnam's agricultural sector largely remains extensive and managed on a small-scale farming model. This leads to high risks and low efficiency, with the added value of agricultural commodities being particularly low. He highlighted that agro-processing and deep-processing industries are underdeveloped, often characterized by small scales and outdated technology. Furthermore, many policies designed to attract investment into agriculture have not proven effective.

Mr. Hung frankly stated, "For businesses operating in agriculture, the difficulties aren't just limited to the issues I've just presented. 2024, in particular, can be described as an unforgettable moment as we are witnessing unprecedented challenges. From abnormal weather phenomena and global geopolitical tensions to economic recession… All of these are having a very negative impact on the production and business activities of enterprises, especially agricultural enterprises."

Despite these systemic and current challenges, Hung Nhon Group's trajectory, as previously discussed, indicates a proactive shift towards high-tech, closed-loop models to overcome these very obstacles.

"After the failure of our small-scale farming model, we decided to partner with top 10 global agricultural corporations like De Heus (Netherlands) and Belga (Belgium)," said Mr. Hung. "Through this collaboration, Hung Nhon quickly established itself as one of the leading agricultural groups, achieving a series of international GlobalG.A.P. certifications comprising 349 stringent criteria."

Mr. Hung proudly shared: "Above all, what makes me happiest is that the joint venture model between De Heus and Hung Nhon (DHN) not only helps Vietnam's agricultural sector embrace a 'new wave' in applying technology for sustainable production and integrating production with consumption, along with high-tech agricultural cooperative models based on Dutch experience; it also serves as a highlight for the friendly relations between Vietnam and the Netherlands. In 2022, when we signed the memorandum of understanding for investment cooperation in the Netherlands, it was witnessed by both Prime Minister Pham Minh Chinh of Vietnam and the Prime Minister of the Netherlands."

DHN Drives Green Transformation with Major High-Tech Livestock Investments

DHN (the joint venture between De Heus and Hung Nhon Group) is making significant strides in sustainable, high-tech livestock farming.

Currently, Phase 1 of their 200 billion VND high-tech livestock breeding complex is complete and has been operational since Q2. Looking ahead, Phase 2 (2025-2030) is set to see DHN invest simultaneously in six new high-tech livestock projects, with a colossal total investment exceeding 3,200 billion VND.

A standout feature of DHN's projects is their commitment to sustainable technology. As Mr. Hung proudly states, "DHN's projects all apply modern technology and closed-loop processes according to international ISO and GlobalG.A.P. standards. Crucially, all projects utilize a grid-connected solar power system, using 30% clean electricity, significantly reducing CO2 emissions compared to traditional power sources." This represents a major step towards green transformation within the agricultural sector.

This trend is particularly vital for livestock farming, as it demands synchronized efforts across the entire model, from breeding stock and feed production to actual farming, processing, and food supply.

Mr. Hung also acknowledged the hurdles faced: "Although we encountered several challenges related to land clearance and compensation, especially in adapting to the new regulations of the 2024 Land Law, which takes effect on August 1st. These are major changes that require us to enhance our leadership capabilities and improve our information systems to manage and monitor projects accurately and promptly."

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