Bringing International “Green” Standards Closer to Vietnamese SMEs

The completion of the Vietnamese translation of the GRI Standards is expected to help enterprises, especially small and medium-sized enterprises, easily access international sustainability reporting benchmarks, thereby enhancing their ability to join global supply chains and access green capital sources…

At the event announcing the latest Vietnamese version of the GRI Standards held on July 29 in Ho Chi Minh City, representatives of the Global Reporting Initiative (GRI) stated that the entire set of GRI Standards, including the Universal Standards, Sector Standards, and Topic Standards, has now been translated into Vietnamese and provided free of charge.

According to GRI, the localization of the world’s most widely used sustainability reporting framework will help Vietnamese businesses identify, manage, and disclose significant impacts on the economy, environment, and society in line with international practices.

This is regarded as a step toward expanding access to sustainability reporting in Vietnam, amid an environment where transparency, traceability, and ESG standards are increasingly becoming prerequisites for participating in global value chains.

SMEs NEED “BARRIERS REMOVED” TO GET STARTED

According to Ms. Esther An, Member of the GRI Supervisory Board, sustainability reporting is not merely a disclosure exercise, but also helps businesses build trust with investors and stakeholders.

“By providing reliable and comparable information on their impacts, enterprises can enhance resilience, attract investment, and increase competitiveness in the global economy,” Ms. Esther An noted.

The translation of the GRI Standards into Vietnamese is one of the solutions helping enterprises access sustainable development requirements more easily.

Alongside the translation process, we also conducted a mapping between current Vietnamese legal regulations and the requirements of the GRI Standards. Our goal is to help enterprises clearly understand how domestic regulations align with international standards.

Speaking with VnEconomy, Mr. Nguyen Cong Minh Bao, GRI Country Manager for Vietnam, shared that sustainable development is increasingly having a direct influence on investment decisions, credit activities, and partner selection within supply chains. This trend is driving an escalating demand for data that is comparable to international standards.

According to Mr. Bao, the biggest barrier for small and medium-sized enterprises lies not only in the lack of resources, but also in the complexity of the international standards framework.

“When talking about sustainable development, businesses encounter numerous acronyms such as CBAM, CSRD, EUDR, or standard systems such as GRI, ISSB, ESRS… This leaves many businesses unsure of where to begin,” he said.

He assessed that the value of the translation lies not merely in rendering the text into Vietnamese, but also in benchmarking the requirements of the GRI Standards against current Vietnamese legal frameworks.

“Enterprises will realize that applying GRI is not only for preparing sustainability reports, but also helps comply with domestic regulations while enhancing competitiveness when entering international markets,” Mr. Bao emphasized.

UNLOCKING GREEN CAPITAL FOR VIETNAMESE SMEs

From a regional perspective, Dr. Allinnettes Adigue, Head of the ASEAN Regional Hub at GRI, stated that Vietnam’s challenge is also the shared reality across ASEAN economies, where small and medium-sized enterprises account for the majority.

According to Ms. Adigue, most SMEs have not implemented sustainability reporting not out of a lack of goodwill, but due to three primary barriers: limited resources, the absence of mandatory requirements, and the lack of dedicated personnel.

“In small businesses, a single individual may concurrently serve as chief executive, head of sales, operations manager, and finance lead. In such cases, it is extremely difficult for them to allocate additional time to compile sustainability reports,” she analyzed.

She advised that rather than viewing sustainability reporting as a mere compliance burden, SMEs should begin by identifying the most significant risks to their business operations.

At the event, a partnership agreement was signed by GRI through the ASEAN Sustainability & Impact Alliance with Golden Gate BCE Group. Under this agreement, Golden Gate BCE becomes a new member of the alliance, focusing on fostering transparent and more resilient agri-food value chains in Vietnam.

Dr. William L. Nolten, Chairman and CEO of Golden Gate BCE Group, observed that Vietnamese agriculture is confronting mounting pressure from climate change, as well as international market demands regarding traceability and sustainable development.

Vietnam currently accounts for only about 1% of global cocoa production, while only about 5% of that volume is used to produce premium chocolate for Belgian brands.

However, this remains a sector with significant potential to create added value if developed sustainably and targeted at the premium chocolate segment. If developed sustainably, Vietnam can fully participate in this high-value segment, creating momentum to build national brands for both Vietnamese cocoa and coffee in international markets.

He stated that Golden Gate BCE is developing solutions to mitigate climate risks for crops, thereby facilitating easier access to capital for farmers and businesses.

Taking the cocoa industry as an example, Dr. Nolten stated that Vietnam currently accounts for only about 1% of global cocoa production. However, this remains a sector with substantial potential for value creation if developed sustainably and oriented toward the premium chocolate segment.

According to him, developing a transparent value chain that meets sustainable development standards will not only elevate the value of Vietnamese cocoa beans, but also contribute to building a national brand. This model can be fully expanded to other agricultural commodities, particularly coffee.

“If executed well, Vietnam could accelerate its roadmap toward the net-zero emissions target instead of waiting until 2050, while elevating the standing of its agricultural products in international markets,” Dr. William commented.

Golden Gate BCE announced that it has currently mobilized approximately 210 million USD to implement pilot projects. Although the funding scale remains modest relative to the needs of the entire sector, these projects will help demonstrate the feasibility of the sustainable agricultural development model in Vietnam, establishing a foundation for scaling up in the period ahead.

According to GRI, expanding the sustainability reporting ecosystem through localized standards, training programs, and regional collaborations will assist Vietnamese enterprises, especially SMEs, in progressively fulfilling international “green” standards, enhancing competitiveness, and participating more deeply in global value chains.

GRI (Global Reporting Initiative) is an international non-profit organization that develops the GRI Standards, the most widely used sustainability reporting framework globally.

In Southeast Asia, GRI operates through its regional network based in Singapore and is currently implementing the STAR Accelerator Program in Vietnam in collaboration with the Agency for Private Enterprise and Collective Economy Development under the Ministry of Finance, aiming to support small and medium-sized enterprises in accessing sustainability reporting tools, enhancing global market access, and securing sustainable financing.

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Source: https://vneconomy.vn/dua-tieu-chuan-xanh-quoc-te-tiep-can-voi-sme-viet-nam.htm