Tay Phuong is known for its traditional crafts, including fine woodwork

Reshaping Production in Traditional Craft Villages

Tay Phuong builds on the results of new-style rural development achieved by localities before administrative reorganization. Former Huong Ngai and Di Nau were recognized as meeting exemplary new rural standards in 2023, while former Phung Xa achieved advanced new-style rural standards in 2024. The area hosts many production establishments and business households, providing a foundation for further development of rural industry.

According to a report prepared for the Commune Party Congress for the 2025-2030 term, the commune has one industrial zone and six operating craft village industrial clusters, providing premises for 1,235 businesses and business households. Alongside these achievements, the locality identified slow progress in resolving existing issues in industrial clusters and managing craft village environments. Reorganizing production space is therefore a direct task in improving the quality of new-style rural development.

In Di Nau, the craft village industrial cluster project invested in by Hoang Hung Tien Joint Stock Company covers an area of 10.7 ha, with total capital of nearly VND267.6 billion (US$10.29 million). Construction began in 2022, with the aim of concentrating production facilities in one area. Funding sources comprise investor equity, capital raised from secondary investors, and credit loans.

By late September 2026, the technical infrastructure of the industrial cluster had been completed. However, site access costs remain a concern for craft households. The investor offered transaction rates of VND18 million to VND24 million (US$692 to US$923) per square meter, depending on location, while committing to set aside approximately 40,000 square meters for craft village production facilities.

Vice Chairman of Tay Phuong Commune People's Committee Nguyen Duc Luong requested the investor to publicly disclose the price frame, application conditions, and priority policies and continue dialogue with residents about their ability to access the land. Negotiations are required to safeguard the legitimate rights of both infrastructure investment enterprises and production facilities.

For craft households, relocating workshops is a long-term investment decision. Beyond land, capital is allocated to construction, machinery, raw materials, and labor costs. The ability to maintain production during the transition directly affects delivery schedules, employment, and income. Therefore, the economic efficiency of new workshops is closely linked to each facility’s actual investment capacity.

Expanding Markets for Local Products

According to Chairman of Tay Phuong Commune People's Committee Can Van Huong, the locality has 10 recognized craft villages and One Commune One Product (OCOP) items rated from 3 to 4 stars. Fine woodwork, Chang Son paper fans, and Che Lam Thach Xa (sticky rice ginger peanut bars) are products associated with the reputation of local craft villages, while also serving as supply sources for commercial and service activities.

In April 2026, the Outstanding Rural Industrial Goods Fair was organized in conjunction with the Tay Phuong Pagoda Festival. Local products were introduced to large numbers of residents and visiting tourists. This activity created direct sales opportunities and enabled production facilities to interact with customers, alongside existing distribution channels.

Also at the event, the decision and protection certificate for the collective trademark of the Canh Nau Fine Woodworking Association were announced and presented. For handicraft products, the craft village name is tied to the skills and reputation of artisans built up over many years. Trademark protection provides another tool for production facilities to establish a shared identity and differentiate their products in the market.

From a business perspective, the fair provided an opportunity for producers to receive feedback on designs, selling prices, and consumer demand. This information is useful for adjusting products, especially when facilities invest in equipment or expand workshops. Market demand affects capacity utilization and the time required to recover investment capital.

The Tay Phuong Pagoda Special National Relic Site, together with the handicraft system, provides opportunities to connect cultural activities, commerce, and tourism. In its development orientation for the 2025-2030 term, the locality focuses on services, craft village tourism, heritage promotion, and technology application. This provides an avenue for expanding revenue sources based on values embedded in community life.

Sustaining Livelihoods, Improving Local Living Conditions

Alongside the craft village economy, agricultural activities remain tied to the livelihoods of a segment of residents. In Huong Ngai, a winter crop potato growing model was implemented with support from the Commune Farmers' Union. The crop has a short growth period, making it suitable for local soil conditions and the growing season and creating additional production options for members.

The model demonstrates that building a new countryside in Tay Phuong offers various ways to generate income. Agricultural production, handicrafts, and services accommodate different labor conditions. In an area undergoing industrial development, maintaining activities suited to each household group is important for livelihood stability.

Social welfare work was also carried out in 2026. At a conference on poor and near-poor household policies in May, the commune requested specialized divisions and villages to review eligible groups, guide residents in completing documents, and ensure transparency. Policy implementation is tied to the specific circumstances of residents, including areas with developed production and commercial activities.

Regarding the landscape, in early spring 2026, the commune organized tree planting at the Tay Phuong Pagoda relic site, linked with campaigns to care for and protect green trees. Along with craft village environmental management requirements, these activities directly contribute to improving living spaces and tourist destinations.

From production sites to residential areas, new rural quality in Tay Phuong is linked with specific changes: craft facilities have suitable conditions for production, households maintain livelihoods, and landscapes are cared for. This connects local economic development with residents’ livelihoods in the process of building a new countryside.