VBCSD: Foundation for a Sustainable Business Community

"The active participation of the business community in the Vietnam Business Council for Sustainable Development (VBCSD) will create a solid foundation for building a Vietnamese business community sustainable, dynamic and successfully integrated in the 21st century, making an important contribution to the national economic development, progress, social justice, poverty reduction and environmental protection,” read the letter sent by Deputy Prime Minister Nguyen Thien Nhan, Chairman of VDCSD, to the Business Forum for Sustainable Development recently held by the Vietnam Chamber of Commerce and Industry (VCCI) in Hanoi.

 

The Business Forum for Sustainable Development is an activity within the framework of the third National Sustainable Development Conference. The forum aimed to promote the role of businesses in the implementation of sustainable development orientations in Vietnam and propose recommendations to strengthen the participation of businesses in realising sustainable development goals.

 

According to Dr Vu Tien Loc, VCCI President, at present, Vietnam is reviewing and evaluating the results of the 10-year socio-economic development strategy from 2001 to 2010 and the 5-year socioeconomic development from 2006 to 2010 and mapping out the socioeconomic development strategy for the next 10 years.

 

Reviewing results achieved and weaknesses thwarting the progress towards sustainable development after five years of implementing the Vietnam Sustainable Development Strategy Orientation is crucial to put forth recommendations to step up sustainable development activities in the coming time and make necessary corrections to the process of building and implementing development strategies, policies and plans in the context that Vietnam is being affected by global economic crisis and climate change.

 

“Business Forum of Sustainable Development held in conjunction with the launch of Vietnam Business Council of Sustainable Development (VBCSD) substantiated the care and the commitment of the State in general and VCCI in particular to promoting sustainable development in Vietnam. VBCSD, with the aim of encouraging businesses to adopt sustainable development practices, is an initiative of the business, by the business and for the business. The council will focus on three main aspects: energy, response to climate change and environmental protection,” said Mr Loc.

 

According to Dr Doan Duy Khuong, VCCI Vice President, VBCSD has 35 founding members, with many being large Vietnamese and international companies like Holcim Vietnam, Unilever, Son Ha Garment Company, Shell, APCO, Rolls-Royce (Vietnam) International Ltd, Hanoi Trade Corporation (Hapro), Vietnam National Coal - Mineral Industries Group (Vinacomin), Nippon Paint Vietnam Corp, Ho Chi Minh City Securities Corporation, FPT Corporation and Saigontourist Group. These companies will have an important role in identifying priority activities, programmes and projects to be implemented by the Council.

 

VBCSD gathers Vietnamese enterprises, multinational corporations and business associations relating to the cause of sustainable development to contribute to encourage the business community to lead the implementation of Vietnam’s Sustainable Development Strategy Orientation.

 

VBCSD will also enhance the dissemination and popularisation of sustainable development policies to foreign enterprises operating in Vietnam to attract more foreign investment and polish the image of Vietnam, function as a bridge for government agencies and businesses to communicate and reflect the actual demand of enterprises in the process of implementing sustainable development programmes. In addition, VBCSD will strengthen the role of advising and recommending policies, involve in activities of the Government, ministries and other authorities.

Nonetheless, it is not simple to catch the attention and participation of businesses in sustainable development as most Vietnamese businesses have medium and small scales, which have to struggle to have enough capital and technology. Learning foregoers is as a way for Vietnamese companies to achieve successful business and pursue sustainable development.

 

Mr Indronil Sengupta, Director of Tata Steel Group in Southeast Asia, said: Many countries in the world have to spend a lot on solving pollution problems. So, why did [they] not choose sustainable development instead of developing for a short time before completely coming to an end?

 

Tata Steel, a steelmaker with a 75-year history, has never suffered any strike or dispute between the group with its employees and the social community. According Indronil Sengupta, businesses need to bring sustainable development to a strategic vision.

 

Mr Nguyen Bao, Sustainable Development Director of Holcim Vietnam Company, said: The best way for businesses is to place a central role of sustainable development in business strategy. Holcim Vietnam’s sustainable development principles are to balance and combine profits with corporate social responsibility and to minimise environmental impacts. Specifically, Holcim - a cement maker - has established Sustainable Development Office to be more active in cooperating with stakeholders.

 

According to Dr Vu Tien Loc, for a middle income country like Vietnam, one of core issues to maintain the high and sustainable growth momentum and open up the prospect of becoming a developed economy is the quality of growth. High continuous economic growth must go in line with macroeconomic stability, growth quality and sustainable development. This is tied with the improvement of competitiveness of national economy, businesses and products of Vietnam. In the current context of globalisation, effectively implementing corporate social responsibility, especially coordinating with stakeholders, will help businesses overcome technical barriers, penetrate international markets, edge up competitiveness and ensure sustainable development of businesses.