However, Vietnamese enterprises are facing difficulties in building their brands in the European market. Businesses here need value-oriented and sustainable products to develop the strength of agriculture in Vietnam.
According to the United States Department of Agriculture, Vietnam ranked the second biggest coffee-exporting country to the European market in the first half of this year, accounting for 24% of the market share, with 10.8 million bags exported. However, the value of coffee brands and agricultural products in Vietnam is merely 4 -to- 5%.
At the forum "Branding Development Experiences from Britain" held in Hanoi last week, brand development firms from the UK, like Crunchy Frog and M & C Satchi, commented that in order to develop brands for agricultural products, Vietnam must further invest in improving quality and reliability in the market.
"The key message is that for Vietnamese brands to sell at high prices in Europe, it must guarantee quality, hygiene, and purity. We believe Vietnamese businesses can work together to communicate this message", Stephen Kreppel, The Nation Consultancy in UK, said.
One solution to enhancing long-term competitiveness for a brand is to build a strong supply chain and ensure the authenticity of its products.
"When you go beyond the price, you start looking at product quality, sustainability, and very importantly, continuity. At this point, branding becomes an issue. It’s not just a question of quality anymore; it is a question of consistency of supply. All these things come together in maintaining a brand", Lord Puttnam, UK Prime Minister's Trade, Cultural Envoy, said.
Currently, Vietnam is in the process of completing (several / a number of) free trade agreements with the European Community; 39 Vietnamese agro products will be protected by geographical indications in the EU market.
This recognition is a great benefit for Vietnamese agro- exporters in getting better access to European consumers and gaining their trust. However, it is necessary for Vietnam to build sustainable value for every product.
