Effective implementation of trade agreements should help Vietnamese handicraft producers use new market opportunities, upgrade production capacity, build stronger brands and capture more value in international supply chains.
Broader opportunities and new requirements
New-generation free trade agreements, including the EU-Vietnam Free Trade Agreement (EVFTA) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), have expanded handicrafts' access to major markets with strong purchasing power.
At the same time, changing consumer tastes and stricter requirements on the environment, social responsibility and transparency are forcing production establishments to change how they organise their operations.
Nguyen Van Hoi, Director of the Vietnam Institute of Strategy and Policy for Industry and Trade, said the new-generation agreements had expanded trade opportunities while also raising standards for the environment, labour and transparency. Businesses therefore need to shift from a production-oriented to a market-oriented mindset and strengthen links to build competitive supply chains.
Businesses also need to develop their own capabilities by researching markets, improving products, organising production and building distribution networks.
Innovation helps retain markets and increase value
Trinh Quoc Dat, Chairman of the Vietnam Craft Village Association, said design innovation was essential to maintaining the interest of international customers. Traditional designs may attract attention at first, but demand can gradually decline without regular updates that reflect changing tastes.
To appeal to overseas customers, designers need to study their preferences and incorporate Vietnamese cultural elements into ceramics, rattan and bamboo products and other handicrafts.
Applying science and technology is another way to improve productivity and quality. Dat said machinery can support physically demanding and labour-intensive stages, while work requiring dexterity and finesse should remain with artisans. This combination can improve production efficiency while preserving the distinctive value of handicrafts.
Green production is also becoming an increasingly important requirement. Dat said customers are now particularly interested in environmentally friendly products. For small household producers and businesses, however, investment in low-emission equipment, environmental treatment systems and pollution reduction remains difficult because of limited capital.
Meritorious Artisan Phan Thi Thuan, Director of My Duc Silk and Sericulture Co., Ltd., stressed that innovation and creativity are essential to preserving traditional crafts. In sericulture, for example, her company developed a method in which silkworms spin an entire silk sheet themselves. This has allowed the material to be used in more everyday products, including blankets, pillows, warm clothing and decorative items. The method has helped create new products and broaden their appeal to consumers.
Thuan noted, however, that craft villages must also address problems involving raw material supply areas, production premises, the transfer of traditional skills and human resources if they are to develop over the long term.
She also stressed the importance of telling the story behind each product. Consumers need to understand the materials used, how the product is made and the values it embodies.
Practical experience shows that the competitiveness of handicrafts depends on more than price and craftsmanship. It also depends on the ability to create products that meet market demand, maintain consistent quality, ensure transparent origins and demonstrate distinctive value.
Effective implementation of trade agreements should therefore do more than help businesses use market-opening opportunities. It should also encourage Vietnamese handicraft enterprises to upgrade production capacity, build stronger brands and capture greater value in international supply chains.
Sources: VietnamPlus / Vietnam News Agency
