Up to 70 percent of Japanese businesses want to expand investment in Vietnam, especially in agriculture, a recent survey conducted by the Japan External Trade Organisation (JETRO) showed.
With huge consumption demand, stable economic growth and low labour costs, Vietnam boasts various advantages to attract Japanese firms, said Kazuko Nagura, Deputy Chief Representative of JETRO Hanoi.
As many as 48 Japanese companies invested in Vietnam’s agricultural sector in the first nine months of this year, with combined registered capital of 270 million USD.
The projects were mainly invested in the northern province of Ha Nam and the Central Highlands province of Lam Dong.
Japanese investors are seeking a key partner for agricultural cooperation, while Vietnam, with huge potential for high-tech agriculture, is looking to bolster cooperation in the field.
According to the Japan International Cooperation Agency (JICA), the number of Japanese businesses doing market surveys to start investment in the country has been on the rise.
Mentioning Japan’s agricultural development policy, JICA’s Senior Advisor on Agricultural Development Police Yoshihisa Kimura said that the Japanese agricultural sector has succeeded in expanding its husbandry sector and fruit and vegetable planting, as well as given priority to large-scale rice cultivation.
He also shared measures to improve productivity through developing large-scale rice fields, which enable easier access to traffic and irrigation systems.
In addition, Japanese firms have paid special attention to international recognition on good agricultural practices (GAP) to gain consumers’ trust and improve quality of products.
Japan is willing to share experience in the field with Vietnam to attract investment and boost farm produce trading, he said.