Lai Chau’s green aspiration: What do investors expect?

On April 23-24, at the Lai Chau Provincial Cultural and Conference Center, the Lai Chau Provincial People’s Committee, in coordination with the Ministry of Agriculture and Environment, will host a conference on developing commodity agriculture and medicinal plants in line with a green economy.

In the lead-up to the event, VAN News is publishing a special feature titled “Lai Chau’s Green Aspiration,” offering a comprehensive overview of the province’s agriculture and environment sector, along with its strategies and ambitions for green and sustainable development.

Market access remains the biggest challenge

Ms. Bui Thi Van, owner of Huy Cuong Cordyceps mushroom facility (No. 553 Tran Hung Dao, Tan Phong Ward, Lai Chau Province), said her family’s production site currently spans about 4,000 square meters, with a maximum capacity of up to 10,000 boxes per day. However, to match market demand, output is typically maintained at around 3,000-4,000 boxes per day. The products are cultivated in a closed-loop process that simulates natural conditions, with the main product line being freeze-dried Huy Cuong cordyceps.

From her production experience, Ms. Van noted that the biggest difficulty for household-scale facilities today lies in accessing markets. Although there are plans to expand production, many barriers remain, particularly in distribution and market connectivity.

“We really hope to bring our products beyond the province, even toward export markets. But for a small, standalone producer like us, promotion and market outreach remain very challenging,” she shared.

At the same time, the facility is planning to develop new product lines and is seeking partner enterprises to collaborate on research and development, especially for products such as cordyceps beverages or combinations like bird’s nest and cordyceps, to reach a broader customer base.

Having gradually mastered production techniques, Ms. Van said her greatest concern now is market output and product value. “We are deeply committed and want domestic consumers to access clean products at reasonable prices. However, to elevate product value, we need support and collaboration from larger enterprises, particularly in the pharmaceutical sector,” she added.

According to Ms. Van, the facility has also explored international standards, including U.S. FDA and EU regulations, with a view toward exporting. However, given its current scale, meeting these requirements remains a significant challenge.

From this reality, she expressed hope for greater support from authorities, experts, and businesses in market linkage, production process improvements, and the development of standard certification dossiers, thereby enabling deeper participation in the value chain and expanding market access.

Unfair competition remains a concern

“Ginseng is a crop that requires very high investment. The capital needed for cultivation is substantial, and if products cannot be sold within a year, it becomes very difficult to continue expanding production,” said Mr. Pham Trung Ngoc, Chairman of the Lai Chau Mountain Ginseng Conservation and Development Cooperative (Ta Leng Commune, Lai Chau Province).

Another notable issue is unfair competition from products of unclear origin. Mr. Ngoc added: “Our ginseng products are fully certified, including cultivation area certification, product protection, a 3-star OCOP rating, and clear traceability. However, there are now some unverified ginseng products being sold at low prices, creating extremely fierce competition.”

“Only those who truly understand ginseng quality choose our products,” he emphasized.

On the other hand, domestic pharmaceutical companies maintain strict control over raw materials but have yet to establish suitable mechanisms for production collaboration. “Companies like Traphaco or Thai Minh apply rigorous testing standards and do not accept unverified ginseng due to concerns over brand reputation and potential toxicity. However, joining their supply chains is not easy, as it requires meeting stringent procedural requirements.”

The cooperative’s products are developed following organic-oriented practices. “Our fresh ginseng, ginseng tea, and ginseng wine contain no preservatives and are packaged under strict processes. Cultivation techniques mainly involve growing under forest canopies or in greenhouse systems, without the use of plant protection chemicals.”

Mr. Ngoc proposed that the province facilitate better access for local producers to central government agencies, research institutions, and scientists; accelerate the inclusion of ginseng in the national pharmacopeia; promote deep processing; expand markets; and strengthen branding and product consumption support.

Procedural barriers

Mr. Nguyen Van Tuan, Director of Phu Hung Phat Co., Ltd., said his family’s farm was established in 2015, producing around 120-150 tons of sturgeon and over a dozen tons of salmon annually on an area of 1.2 hectares. However, in recent years, fish prices have continuously declined; at times, sturgeon has dropped to just over USD 4/kg, making operations increasingly difficult.

From practical experience, the biggest obstacles now are legal procedures and a lack of market transparency.

“For example, if we want to circulate goods or sell to restaurants, we need documents such as origin certification and quality inspection. But in reality, obtaining these papers here is still quite difficult,” Mr. Tuan shared.

Even when procedures are completed, the issue of price stability remains unresolved. He added: “Even with proper documentation, when large volumes of imported fish enter the market at low prices, it is very hard to raise prices.”

According to him, the core issue is market recognition: “Only when we have proper promotion and maintain a strong, trusted brand so that more people are aware of it can we hope to increase prices. Right now, 80-90% of consumers cannot distinguish between imported fish and fish from Lai Chau, so they are unwilling to pay a higher price.”

From this reality, Mr. Tuan’s enterprise proposed synchronized solutions: “Farming facilities need support to complete all required documentation, from farming conditions to traceability of fingerlings. At the same time, imported fish should be strictly controlled in terms of both quantity and quality.”

Untangling processing bottlenecks

Mr. Do Viet Trung, Director of Tan Uyen Tea Joint Stock Company, said the company is currently maintaining a stable off-take partnership with Abdul Hadi Kouchi Ltd (Afghanistan). Each year, this partner purchases around 1,500 tons of tea at about USD 2-3/kg, distributing the products across 34 provinces and cities in Afghanistan.

However, from a value chain perspective, this price level indicates that Lai Chau tea largely remains in the low-value segment, dependent on buyers, with limited value addition. This is not an issue unique to a single enterprise, but rather reflects the broader situation of the tea sector in Lai Chau Province.

In terms of production, the company has developed a raw material area of around 3,000 hectares, linking with more than 1,000 farming households in Khun Ha Commune (former Tam Duong District), Tan Phong Ward, and Tan Uyen Commune. On average, the company exports about 200 batches per year, each batch around 21 tons, with an average value of USD 38,000/batch.

However, economic efficiency is coming under increasing pressure from external factors. Mr. Trung shared: “Recently, due to global fluctuations, costs have risen sharply. ‘War-related fees’ or ‘service charges’ alone have reached over USD 9,500.” Although these are objective risks, they directly affect the company’s competitiveness, especially given its reliance on a limited number of export markets.

The purchase price offered by buyers fluctuates between USD 2-3/kg, depending on the timing. Meanwhile, if the products are deeply processed and sold in the domestic market, prices could reach USD 5.7-9.5/kg. This significant gap shows that the bottleneck does not lie in production volume, but in processing, branding, and market positioning.

Drawing from practical operations, Mr. Trung proposed that Lai Chau Province, the Vietnam Tea Association, and the Ministry of Agriculture and Environment soon provide clear direction for developing tea-growing areas toward organic standards, in line with local ecological conditions and consumption trends. At the same time, establishing and managing planting area codes is essential to ensure traceability and meet both domestic and international market requirements.

In addition, building geographical indications for Lai Chau tea should be prioritized to establish a clear market identity, thereby enhancing product value and competitiveness. This should go hand in hand with issuing standardized technical processes suited to local conditions, ensuring consistent quality across the entire raw material region.

Another key issue is the need for mechanisms and policies that better facilitate enterprises in expanding investment in processing facilities, enabling deep processing and greater access to major domestic markets.

Conference: “Developing commodity agriculture and medicinal plants toward a green economy”

- Organizers: Ministry of Agriculture and Environment in coordination with the Lai Chau Provincial People’s Committee

- Time: April 23-24, 2026

- Venue: Lai Chau Provincial Cultural and Conference Center, Le Loi Boulevard, Tan Phong Ward, Lai Chau Province

- Chaired by: Leaders of the Ministry of Agriculture and Environment; Leaders of the Lai Chau Provincial People’s Committee

- Media partner: VAN News

- Format: In-person and online (via Zoom for the morning session on April 24, 2026)

- Zoom Meeting ID: 975 2537 2977

- Passcode: DL2404