The Power of Modern Commercial Infrastructure: Unlocking the Potential of Highland Ethnic Specialties

New Life in the Highlands: Unlocking Potential, Transforming Lives

In June, the tea hills of Tan Cuong, Phu Luong, and Dong Hy shine with a vibrant green, a quiet yet powerful testament to the resilience and transformation of the land. The gentle breeze carries the scent of tea and whispers of change—from expanded trade routes to emerging wholesale markets, storage warehouses, and logistics centers rising where once there were only remote hamlets.

With a diverse population, including over 30% ethnic minorities, Thai Nguyen is leading the way in commercial infrastructure development among the northern midland and mountainous provinces. This infrastructure is the hidden lifeline of the region, nurturing agricultural production, distribution, and export. It empowers locals to not just grow and produce but also to sell and build sustainable livelihoods from their labor.

June mornings in Tan Cuong, Phu Luong, and Dong Hy hills are a sight to behold, with vibrant green tea plants stretching as far as the eye can see. Photo: Dinh Son

According to the Thai Nguyen Department of Industry and Trade, over 248 local products have been certified under the OCOP (One Commune One Product) program, with tea leading the way. Other unique highland products, such as Vo Nhai custard apples, Viet Cuong vermicelli, Phu Binh hill chicken, and Dinh Hoa forest honey, are also striving to reach a wider audience. However, these efforts rely on a strong foundation of modern commercial infrastructure, including connectivity, storage, distribution, and traceability.

Thai Nguyen Province recognizes that investing in commercial infrastructure goes beyond constructing markets and roads. Their vision is to create a sustainable commercial ecosystem, where every commune has access to fixed retail outlets, every district boasts a logistics center, and each region benefits from a smart transit hub integrated with digital operations.

This ambitious plan is already bearing fruit. In Dinh Hoa District, a specialty showroom and mini logistics hub provide a platform for dozens of households to display, sell, and ship their goods to other provinces. Meanwhile, in Vo Nhai District, the “OCOP Market” periodically coincides with traditional festivals, attracting tourists and offering stable retail opportunities for Dao, Tay, and Nung ethnic vendors.

Nguyen Ba Chinh, Director of the Thai Nguyen Department of Industry and Trade, emphasizes, “We firmly believe that developing commercial infrastructure goes hand in hand with digital transformation and technology adoption. To bring commerce to every village, we must ensure infrastructure reaches every doorstep, and markets come to every home. This begins with empowering people, enhancing their skills, raising awareness, and embracing digital solutions alongside physical infrastructure.”

Commercial infrastructure is the bridge connecting highland products to wider markets and local dreams to success. Photo: The Binh

Preserving Agricultural Value: Overcoming Challenges

Guided by the central government, Thai Nguyen Province has translated Resolution 48/NQ-CP and Decision 964/QD-TTg on commercial infrastructure development into actionable programs for 2021-2025. Significant investments have been made to upgrade rural markets, renovate storage facilities in disadvantaged areas, and develop rest stops and product showcases along key tourism routes like ATK Dinh Hoa and Phuong Hoang Cave – Mo Ga Stream.

Additionally, the province has introduced incentives for enterprises and cooperatives to invest in “soft infrastructure,” including digital sales platforms, traceability systems, and blockchain applications for quality control. Supply chain management software projects have been piloted for key products like tea, vermicelli, and dried bamboo shoots.

One notable initiative is the establishment of “Market 4.0,” a pilot model integrating cashless payments, product QR codes, and live-streaming sales at traditional markets. Basic vendor stalls have been transformed into digitized outlets, empowering ethnic minority sellers from the Dao, Mong, and Tay communities to directly reach urban consumers without intermediaries.

Thai Nguyen Province’s approach to commercial infrastructure development in ethnic and mountainous areas is holistic, multi-tiered, and people-centered. Photo: Dinh Son

However, developing commercial infrastructure in ethnic minority and mountainous regions like Thai Nguyen comes with unique challenges. One significant hurdle is the lack of synchronized planning. While some areas boast unique specialty products, they lack aggregation points and preliminary processing centers, resulting in a loss of product quality during transport.

Transporting fresh produce from Dinh Hoa District to Thai Nguyen City or neighboring provinces is challenging due to a lack of specialized vehicles, weak cold chain infrastructure, and post-harvest handling issues. Additionally, there is a shortage of qualified personnel to operate commercial infrastructure, especially tech-savvy workers in the highlands. Some logistics centers in Dai Tu and Phu Luong districts are underutilized due to a lack of technicians and efficient operating procedures.

These challenges highlight the need for a comprehensive commercial workforce training strategy that considers local contexts and the technological adaptability of ethnic minorities.

Learning from Experience: A Holistic Approach

Thai Nguyen Province’s experience underscores the importance of a holistic, multi-tiered, and people-centered approach to commercial infrastructure development in ethnic and mountainous areas. The state plays a pivotal role by investing in hard infrastructure, such as roads, rural markets, and regional trade centers, coupled with favorable investment and credit policies.

Enterprises and cooperatives serve as operational pillars, adopting technology, managing logistics, and connecting products to markets. Simultaneously, ethnic communities must be empowered as central agents, equipped with the skills and resources to own and manage their storefronts and commercial pathways.

Thai Nguyen is bringing this vision to life through a growing network of “digital OCOP stalls” linked to major domestic e-commerce platforms and the development of a smart agricultural product consumption map. The province has set a bold target: by 2030, 100% of OCOP products rated three stars or higher will have fixed retail outlets and electronic traceability.

Nguyen Ba Chinh, Director of the Department of Industry and Trade, underscores the importance of logistics in the digital economy, stating, “For e-commerce to thrive sustainably, efficient logistics is key. A digital economy relies on the quick, efficient, and affordable circulation of goods.”

To improve the digital supply chain, Thai Nguyen is implementing several strategies. First, they are expanding logistics services, with Plan 89/KH-UBND in place since 2022 to boost competitiveness, clarify agency responsibilities, and foster a professional and efficient logistics environment.

Second, the province actively supports the growth of logistics enterprises. Two leading logistics companies, Thai Hung Logistics Co., Ltd., and ASG Logistics JSC, now provide transport and warehousing services within and beyond the province.

Notably, Thai Nguyen is accelerating digital transformation in the transport sector, encouraging the adoption of technologies for vehicle tracking, route monitoring, cost optimization, and supply chain transparency. Lastly, they are developing strategic logistics infrastructure, leveraging their position as a regional gateway to reduce transportation time and costs for businesses.

These efforts go beyond mere “logistics” investments. Thai Nguyen is building a foundation for modern trade infrastructure, freeing goods from remote mountainous areas and bringing them to e-commerce platforms and domestic markets, ultimately reaching consumers with the expected quality and speed.