Short Report on Agriculture, Forestry, and Fisheries in Vietnam

Primary industries such as crop cultivation, livestock farming, fisheries, and forestry form the foundation of the country. They account for 12% of GDP and support the livelihoods of millions. Even as the economy shifts its focus toward industry and services, these sectors remain robust, with agricultural exports experiencing significant growth125 . Fisheries, rice, coffee, fruits, and rubber are particularly strong. Riding the wave of increased FDI and policies promoting high-tech, organic, and sustainable agriculture, the transition from traditional rural areas to a modern agricultural economy is gaining attention.

Basic Statistics

Regulation

Agriculture, forestry, and fisheries are heavily regulated industries, but regulations have been relaxed in recent years to attract investment. Plant and livestock production are included in the conditional business list. Investors must obtain an investment license and meet industry-specific requirements (such as business scale and technology), but there is no foreign ownership cap. The Land Law (2013) prohibits foreign companies from owning agricultural land. Foreign investors must establish a local subsidiary, which then leases land from the state 126 (often under long- term contracts).

The 2020 Investment Law and related decrees provide incentives for agriculture. For example, Decree 57/2018 stipulates tax and fee exemptions for new agricultural investments, as well as subsidized loans. Projects meeting specific rural development criteria can receive infrastructure cost exemptions (e.g., water, electricity) and funding from provinces and cities. The government’s “Sustainable Agriculture Strategy 2021–2030” (Decision 150/QĐ-TTg) promotes high- tech, organic, and clean agriculture to increase added value127 . These policies aim to modernize production, improve food safety, and connect farmers to global value chains.

Market Overview

Agriculture, forestry, and fisheries form a key pillar of the economy. While its contribution to GDP is declining, it has maintained an average annual