The food and processing industries are the backbone of the country’s economy, affecting agricultural markets as well as food and economic security.Investments in food stocks will not cease to be relevant due to market stability.There are now many companies in the food industry claiming to be regional or world leaders.Therefore, their stocks are an opportunity to invest effectively.
Gainy focuses on a favorable tax environment, the passage of administrative procedures and reducing bureaucratic delays when companies decide to invest in specific regions.In this way, investors can see the potential profit and payback period of their financial investments as accurately as possible.
This growth is said to be mainly due to the wide variety of products made in Vietnam and affordable export prices, which in turn is due to the favorable climate and agricultural orientation of the country’s economy.
The report cited Vietnamese government policies as another factor in the development of the food industry.Under the national development strategy, the food industry has been selected as one of the key industries for economic development.This policy is reflected in Vietnam’s provision of income tax exemptions for businesses engaged in the food and canning industries.
In addition, it is important to conclude free trade agreements, which have greatly increased Vietnam’s imports of frozen agricultural products.
Turning to the reality of Vietnam’s investment market, a large number of foreign investors holding stakes in the country’s large agricultural companies include companies from South Korea, Japan, Singapore, Thailand and the United States.
A major event is the implementation of a multi-million dollar investment project by a well-known Korean company “CJ Group”.Along the way, the company has made a series of mergers and acquisitions, greenfield investments and joint ventures in various sectors of the food industry, including food production and distribution, as well as catering.
At the same time, the variety of food and the development of catering business.It has beneficially impacted other related sectors, such as online food delivery, opening up new attractive investment areas for domestic and foreign investors.
All of this undoubtedly paints a bright outlook for investment in Vietnamese food stocks in the coming years.
Digital technologies offer unique opportunities to improve food production and trade, especially for smallholder farmers, and contribute to the achievement of the Sustainable Development Goals.In fact, the challenge now is to provide food of sufficient quality to feed a growing, ageing and migrating population.
Today, 588 million of the world’s 7.7 billion people live in extreme poverty, 820 million suffer from hunger and 2.5 billion suffer from some form of micronutrient deficiency.
Populations are also growing, ageing and migrating to cities, which affects agricultural production and food demand.This has changed the way market chains work, but it has also transformed the world around us due to the overexploitation of natural resources and potentially catastrophic land degradation, as well as the impact of climate change on global food security.
In addition, inequality, discrimination and human rights violations, including the right to adequate and safe food, are exacerbating the impact, especially on smallholder farmers.
Against this backdrop, agri-food systems are in desperate need of innovative solutions, and digitalization is one approach.
Digitization increases the connectivity of agri-food systems and reduces inefficiencies, as the Internet provides access to technical information and encourages collaboration and communication throughout the value chain.Big data provides insights into productivity improvements and decision-making through real-time alerts such as natural disasters.Open information sharing also helps increase transparency and trust among buyers, producers and investors.This makes the market more reliable.
However, the agri-food system is lagging behind other sectors in adopting digitalization.One reason is personality, and small farms are generally less receptive to new digital technologies than larger farms.However, smallholder farmers play a vital role as they account for 80% of global food production.
Venture capital funds are investing in the digital farming revolution.Corporations, small farms and large corporations are becoming platforms for long-term global investment.
Digitization improves communication between all players in the agri-food system and reduces inefficiencies and barriers in different ways.Farmers and large companies can even receive and share technical information internationally, improving productivity, sustainability and market access.
Post time: Jul-26-2022