E-commerce platforms are considered a solution to create a new and modern distribution channel to support farm producers in Hanoi as well as position the brand value of products.

However, much work remains to be done to bring the city’s agricultural products to consumers through e-commerce platforms, according to local insiders.

A staff of a local e-commerce company is supporting a producer to sell agricultural products on its e-commerce site. Photos: Vietnam Post

Creating an open business space

As one of the beneficiaries of the capital city's agricultural support policy, Khanh Phong Agricultural Cooperative in Me Linh District, which owns 30 hectares of production area, has gained access to more customers and has signed a number of contracts with distributors to sell their products through e-commerce platforms.

Director of Khanh Phong Agricultural Cooperative Nguyen The Lam said that his cooperative currently sells guava at a price of VND25,000 (US$1) per kilo at convenience stores and e-commerce platforms instead of only about VND10,000 ($0.4) per kilo at some brick-and-mortar stores.

Another business, Huong Ngai Agricultural Cooperative in Thach That District sells 500-700 kilos of vegetables and fruits per day on average, making its revenue of VND18-20 billion ($762,585-847,317) per year.

Hanoi Farmers' Union Chairman Pham Hai Hoa said that in 2022, his organization, in collaboration with the Hanoi Post Office, has supported more than 160,000 business households in the sale of agricultural products on e-commerce floors Postmart.vn, Agri-postmart.vn and other retail stores.

Head of the Hanoi Agro-Forestry and Fisheries Quality Management Sub-Department, Nguyen Thi Thu Hang, said the department has provided guidance and financial support for households and cooperatives to put clean agricultural products on e-commerce platforms.

Besides, to improve the quality and value of the supply chain of agricultural, forestry and fishery products, Hanoi has opened accounts for 3,135 cooperatives and farming establishments through the Hanoi Agro-Forestry-Fisheries and Food Traceability System at the website www://check.hanoi.gov.vn. More than 11,200 codes for traceability have been issued for agricultural, forestry and fishery products.

Boosting sales on the e-commerce platform

The city set a target of training 2,000 businesses and household business owners, public servants, and students to be trained in e-commerce skills this year.

E-commerce floors are not only a safe and effective distribution channel but also help build brands for agricultural products. However, the number of products sold through the floors remains modest due to the lack of interest from sellers, meanwhile, sales prices are not adjusted proportionally to market fluctuations.

Dao Thi Luong, Director of the Cooperative for the production and trading of safe vegetables, tubers and fruits in Phu Xuyen District said local authorities need to organize training courses, including creating more accounts and booths for farmers on e-commerce platforms. 

Nguyen Xuan Lam from the Vietnam Post Corporation suggested that the city should build incentive programs taking into account the farmers' demands.

Chu Phu My, Director of the Hanoi Department of Agriculture and Rural Development, said they continue to coordinate with relevant authorities and localities to organize digital skills training programs for farmers, as well as help them create accounts and posts on e-commerce sites. 

Training courses on e-commerce skills

The city set the target of training 2,000 enterprises and home business owners, public servants, and students on e-commerce skills this year, according to Plan 04 on the city’s e-commerce development in 2022, which was issued by the municipal People's Committee in April.

The plan aims to deploy solutions to encourage local businesses and people to use e-commerce, as well as support manufacturers in expanding consumption markets for agricultural and consumer goods, handicrafts, as well as products certified as meeting the One Commune One Product (OCOP) program’s standards through cross-border e-commerce channels.

My said his department also supports the testing and certification of the quality of agricultural products for sale on the e-commerce platform and carries out inspection and supervision of food safety. They will soon build parameters on the planting area, the production process, and the sake holders. 

"Putting agricultural products on the e-commerce floor and promoting the development of the digital economy in agriculture and rural areas is of particular importance in improving production and business efficiency and ensuring the supply of essential goods to Hanoi," My said.