Solving ESG financial difficulties for export enterprises

(HTV) - Financial investment capital flows are shifting towards social responsibility (ESG) criteria. This trend brings many values ​​to the community but also poses many challenges for export enterprises.

ESG is not only a standard when entering a difficult market but also a decisive factor in sustainable development capacity. Many businesses have "entered the playing field", but to stay in the long term requires significant effort and resources.

ESG – A problem that needs many solutions

First steps in the ESG "game"

Phuc Sinh Joint Stock Company has exported about 80,000 tons of coffee and 30,000 tons of pepper for many years at high prices. To achieve this result, the company has taken advantage of financial resources from investment funds to implement a green, sustainable production model, thereby increasing the value of the products.

Phuc Sinh's export achievements do not come from luck but from efforts to effectively exploit foreign investment capital.

“Businesses have large investment funds because we are committed to using money to not only bring results to the business but also to society. For example, if the market price of coffee is 135,000 VND, customers are willing to pay more for sustainable products; the difference is paid back to farmers participating in sustainable production…”

Mr. Nguyen Duy Tam - ESG Director, Phuc Sinh Joint Stock Company

Clearly, opportunities will open up when ESG standards are met. However, the initial costs are high and finding and effectively using financial support sources for ESG remains a big challenge.

ESG is both an opportunity and a challenge to help Vietnamese products enter the international market.

ESG opens up opportunities, but to take advantage of them, businesses must have a clear roadmap: defining priorities, data transparency and measuring results. Capital can come from investment funds, government support programs or supply chain partners, but effectiveness depends on risk management and continuous improvement. When sustainability standards become a "common language" with international customers, businesses that convert early will have an advantage. That is the way to go with the market, instead of chasing the market.

>>> Please watch HTV News at 8:00 p.m. and 24G World Program at 8:30 p.m. every day on HTV9 channel.

Source: https://htv.com.vn/go-kho-tai-chinh-esg-cho-doanh-nghiep-xuat-khau-222251008112349712.htm