€2Mln Euro for Helping SMEs Adopt CSR and Integrated into Global Supply Chain in Vietnam

4:03:21 PM | 10/6/2009

The European Commission (EC), the United Nations Industrial Development Organization (UNIDO), Vietnam Chamber of Commerce and Industry (VCCI) and five other national partners on October 6 signed the technical assistance project entitled “Helping Vietnamese SMEs Adapt & Adopt CSR for Improved Linkages with Global Supply Chains in Sustainable Production”. 
 
Under the innovative partnership modality of EC’s SWITCH Asia Programme, the project will be implemented by UNIDO as the lead partner, VCCI as the line agency, European Chamber of Commerce in Vietnam (EuroCham), Vietnam Leather and Footwear Association (LEFASO), Vietnam Textile and Apparel Association (VITAS), Vietnam Electronics Industry Association (VEIA), Institute of Labour Science and Social Affairs (ILSSA), and the Directorate for Standards, Metrology and Quality (STAMEQ), the National Metal and Materials Technology Center in Thailand, and SEQUA gGmbH in Germany.
 
The project aims to improve the environmental and social performance of Vietnamese small and medium enterprises (SMEs) and enhance their international competitiveness through better understanding of corporate social and environmental standards and strengthened cooperation between Europe and Asia. The total budget of the project is approximately €2 million, out of which €1.6 million is financed by EC’s SWITCH Asia Programme and the rest is co-financed by UNIDO and other partners.
 
Dr. Vu Tien Loc, Chairman and President of VCCI said: “VCCI has been working for promotion of CSR for many years, and is glad to join the new partnership today. In partnership with UNIDO and sectoral business associations, we hope to increase awareness of benefits to embed CSR concept into business practices of enterprises through the project activities. We would like to stress that CSR is not a charity, but will strengthen the competitiveness and brand name of enterprises.”
 
Mr. Sean Doyle, Ambassador-Head of Delegation of the Delegation of the European Commission to Vietnam stated: “EC appreciates the launching of this innovative partnership project which will contribute to sustainable production and consumption in Vietnam. We hope the project will generate tangible results for Vietnamese business and provide practical policy input to the Government that is now drafting the Socio-economic Development Strategy 2011-2020.”
 
Ms. Nilgün F. Taş, UNIDO Representative in Vietnam pointed out that, “As awareness for sustainable economy among consumers and governments increased, transnational corporations are tightening their procurement guidelines to comply with CSR requirements.   While this will improve labour practices and environmental impact, it can be a serious constraint for many SMEs in Vietnam. The project will help SMEs to integrate into Global Value Chains, by promoting technology and knowledge transfer from the European market and companies in a business-oriented manner.”
 
The project will be implemented under the UN’s “One Plan”, a joint action programme between the Government and all 14 resident UN organizations in Vietnam.
P.V