For the sustainable development of OCOP products in Nghe An

Innovate to avoid falling behind.

Vastcom, a Vietnamese algae science and technology company (Quynh Anh commune, Nghe An province), is known for its Spirulina algae product line. This product is produced with the support of German scientist Professor Franz-Peter Montforts and leading Vietnamese professors specializing in algae.

With systematic investment, the product has achieved OCOP 4-star standard and helped the OCOP entity reap many important awards such as First Prize in the Nghe An Province Science and Technology Innovation Award in 2020, Gold Quality Product for Consumer Rights in 2021, Top 10 Leading Reputable Brands in Vietnam in 2024…

However, according to Mr. Nguyen Van Hung, Chairman and CEO of the company, if they are complacent and stop at what they have achieved, they will sooner or later fall behind, or even be eliminated. Because market demands are increasingly high and competitive pressure is growing, manufacturers are forced to constantly update technology, improve processes, and enhance product quality.

This practice has prompted the company to not only produce functional products from Spirulina algae but also to develop preparations for use in aquaculture and livestock farming. In particular, some substances extracted from Spirulina, such as Chlorin e6 trimethylester and Chlorin e6 monomethyl, are being further researched to create products that can support patients during cancer treatment.

Mr. Hung further explained that the unique process of cultivating algae and producing algae-based products requires a system of modern machinery and equipment to control every step from strain isolation to harvesting, processing, and packaging according to standards. This process is built on technology transferred from the Institute of Biotechnology (Vietnam Academy of Science and Technology). However, to meet the goal of developing product lines for aquaculture and livestock farming using algae, the company must continue to invest in research and apply new technologies from the Ministry of Agriculture and Environment.

To avoid falling behind the market, updating equipment, perfecting the closed-loop process, and improving product quality have become mandatory requirements for OCOP businesses.

As for Mom Beauty Production and Trading Co., Ltd. – which won the Special Prize at the 2024 National "Women's Creative Entrepreneurship and Green Transformation" Competition with its 4-star OCOP-certified products including nutritional cereals, nutritional nut milks, and cereal biscuits – the company is constantly improving its production process. To compete with other cereal products on the market, the company must build a clean raw material source, gradually improve product quality and flavor, and especially expand its distribution network and participate in e-commerce platforms, fairs, and exhibitions both within and outside the province.

Mr. Le Van Luong, Head of the Department of Cooperative Economics and Rural Development in Nghe An, shared that in practice, many OCOP products, after a period of operation or winning high awards in competitions, quickly fall behind and lose their market position if they are not improved, upgraded, promoted, and given opportunities to expand their market reach.

In the context of fierce competition, businesses are forced to implement various solutions to remain competitive in the market. Looking at the province as a whole, most of the OCOP businesses that are still operating effectively are actively promoting their product brands to expand their markets, ensuring strong and effective product consumption linkages along the supply chain.

Alongside this, it is crucial to promote the application of science and technology; innovate and improve processing technologies for small and medium-scale products, especially those OCOP products that have already received star ratings. Strengthening technology transfer and application, digital transformation in production, market connectivity, and traceability are key aspects. Simultaneously, focusing on developing OCOP products linked to brand building, industrial design, and the application of VietGAP, Global Gap, and HACCP standards is essential to meet the increasingly stringent demands of the market.

Towards sustainable solutions

Ms. Vo Thi Nhung, Deputy Director of the Department of Agriculture and Environment, affirmed that the One Commune One Product (OCOP) program in Nghe An province has always received the attention and guidance of ministries, central agencies, and the entire political system. This has helped ensure that the policies, programs, and projects on socio-economic development issued and implemented by the province and districts have been effective.

The range of OCOP products is becoming increasingly diverse, abundant, of good quality, and with clearly traceable origins.

However, a realistic assessment reveals several limitations: While the province has a large number of OCOP products, there is a lack of truly representative products. Many products are similar, lacking significant differentiation from comparable products, leading to a lack of competitiveness in the market. Some OCOP products are still produced manually, with limited application of scientific and technological advancements and insufficient attention to design and packaging, resulting in low market competitiveness and high production costs.

Some localities are still struggling with how to identify advantages, potential, and production entities, focusing only on perfecting existing products and not paying much attention to developing new products linked to raw material areas, especially traditional craft products. Although mechanisms and policies have been issued, the resources for implementing the Program are limited, mainly through integration, leading to difficulties in implementation in some localities.

In the future, to overcome these shortcomings, according to Ms. Vo Thi Nhung, it is necessary to consider, select, and focus support on a number of key products, aiming to improve quality rather than increase quantity, thereby building OCOP products with unique characteristics and becoming distinctive local brands.

It is also necessary to propose, adjust, and supplement new policies to promote the development of the province's key agricultural products and OCOP products. This includes focusing on orienting the development of raw material areas to create linkages in product production; innovating technology; and building value chains. Simultaneously, it is crucial to build an advanced quality management system; and to manage and access markets for product groups that have met export criteria…

It is crucial that all sectors coordinate closely, listen to the opinions of businesses and people, so that support policies are truly appropriate and effective. In particular, funding from programs and projects, especially the National Target Program for New Rural Development and Sustainable Poverty Reduction, along with other support projects, needs to be effectively integrated. This is an opportunity to support OCOP (One Commune One Product) entities in innovating products, applying technology, improving quality standards, perfecting packaging designs, ensuring traceability, and providing systematic management training, contributing to sustainable development.