Consumers are increasingly interested in and choosing green products. Photo: N.Linh

Innovation is an inevitable trend

Green innovation is a development approach that is increasingly being promoted by countries around the world, especially in the current context when the impacts of climate change, environmental pollution, overexploitation of resources, etc. are becoming increasingly serious. Green innovation is gradually becoming a decisive driving force in the process of market expansion and sustainable economic development of many countries.

Mr. Ta Dinh Thi, Deputy Chairman of the National Assembly's Committee on Science, Technology and Environment, affirmed that sustainable production and consumption have a particularly important meaning and position in the sustainable development process not only in Vietnam but also in the region and around the world. Realizing that, since 2015, as a member of the United Nations, Vietnam has signed a commitment to implement the 2030 Agenda with 17 sustainable development goals, including goal 12 on ensuring sustainable production and consumption.

The National Assembly and the Government of Vietnam have proactively and consistently implemented the viewpoint of promoting sustainable production and consumption, especially in the work of building policies and promulgating legal documents. Mr. Ta Dinh Thi said that the system of policies and laws on sustainable production and consumption has been and is being increasingly improved. Vietnam has issued and is implementing laws that play a very important role in promoting sustainable production and consumption in many fields and aspects of economic and social life such as: Law on Environmental Protection, Law on Forest Protection and Development, Law on Fisheries, Law on Tourism, etc.

However, according to Mr. Ta Dinh Thi, most businesses are aware of the role of sustainable production in their existence, enhancing their competitiveness and sustainable development, but there are still many difficulties and confusion in finding, mobilizing and using capital for green production investment, scientific research, technology application, innovation, and market expansion to create high-value, environmentally friendly products.

Ms. Mette Ekeroth, Charge d'Affaires of the Danish Embassy in Vietnam, at a recent workshop, also assessed that Vietnamese small and medium-sized enterprises account for 95% of Vietnamese enterprises and the Government strongly encourages them to participate in green transformation. Green transformation will take advantage of competitive advantages and maximize resources so that businesses can develop sustainably, contributing to Vietnam's goal of protecting the environment and achieving net zero emissions by 2050.

The research report "Promoting green innovation in small and medium-sized enterprises in Vietnam" by the Central Institute for Economic Management and the Embassy of Denmark in Vietnam also pointed out that green innovation helps businesses access the market, increase profitability along the value chain, help businesses meet increasingly stringent standards and regulations, attract investment and help businesses increase productivity and technological capacity.

Green transformation - market access solutions

Green innovation activities in small and medium-sized enterprises are still quite limit ed. The level of technology application and updating in enterprises is still quite low, the products produced have low added value, the products are new to enterprises but not new to the market. Small and medium-sized enterprises in Vietnam mainly "green innovation" in the use of input materials in small-scale handicraft, agricultural and food enterprises; or apply circular processes such as agricultural, forestry and fishery enterprises. The number of enterprises applying and updating green technology is still quite low.

To promote green transformation of enterprises, many mechanisms and policies have been introduced. Notably, financial policies such as incentives and support on taxes and fees have contributed to attracting many resources outside the state budget, especially from enterprises, corporations and international organizations. Other groups of solutions such as technical support, communication, trade promotion... have encouraged many businesses to innovate green. However, the above policies have not really created strong motivation for businesses to change their technological chains to create significant changes in production processes.

To continue promoting green innovation in small and medium enterprises, experts say that Vietnam needs to focus on perfecting the legal corridor and policy system to support green innovation, including regulations on standards, technical regulations, tax, finance, investment policies; policies on markets, consumption.

From the perspective of businesses, to catch up with the trend of sustainable consumption and production, Mr. Mac Quoc Anh, Permanent Vice President of the Vietnam Association of Small and Medium Enterprises, said that on the one hand, businesses must "transform" more strongly. Specifically, businesses need to invest more in environmentally friendly production technology, including energy-saving equipment and efficient waste treatment technology. At the same time, deploy solar, wind, and other renewable energy projects to reduce dependence on fossil fuels. Develop new products and services with less environmental impact, such as products made from recycled materials or products with longer lifespans. On the other hand, businesses need to work closely with suppliers to ensure their entire supply chain meets environmental and social standards. “These changes not only help businesses meet environmental protection requirements but can also open up new opportunities for sustainable development and enhance competitiveness in the international market,” Mr. Mac Quoc Anh emphasized.