VSS

From Mindset to Action for Green Export – Part 5: The “Small but Standard” Strategy – Micro-lot, Product Stream Segregation, and the Build–Measure–Learn Loop

Under limited resources, converting an entire farming area or factory to meet Voluntary Sustainability Standards (VSS) at once can drive up costs and risks significantly. The lean startup mindset offers a more sustainable path: start small with a micro-lot (5–10% of output), segregate product streams to prevent mixing, learn by doing, collect real data, and then scale selectively. This aligns with the Build–Measure–Learn principle: instead of lengthy planning, build a “minimum viable product” (MVP) — a pilot batch — measure technical, commercial, and impact indicators, and learn to adjust or pivot before scaling. This approach, systematized in Lean Startup, has proven effective in reducing waste and accelerating market fit.

Micro-lot: A Laboratory for New Business Models

In the specialty coffee industry, a micro-lot refers to a traceable, segregated batch — distinct in origin and process. Its value lies not in size but in controlled, consistent, and transparent management — enabling storytelling, pricing experiments, and new customer relationships.

In supply chain terms, a micro-lot only adds value when its identity is preserved throughout: physical segregation, dedicated records and logs, batch labeling, and controlled handovers — the logic behind identity preservation, segregation, and traceability in agri-food systems.

Segregation: Turning Data into Assets

“Segregation” is essential to prevent micro-lots from dissolving into bulk commodities. Traceability frameworks like ISO 22005 and GS1 GTS emphasize systems for recording and linking each node in the chain to specific batches. Simply put: no segregation, no traceability; no traceability, no value differentiation.

With new regulations such as the EUDR requiring plot-level geolocation and recordkeeping, segregation becomes a must-have for market access. It should be seen not as a cost, but as an investment in data assets that strengthen buyer negotiations.

Micro-lot as an MVP in the Build–Measure–Learn Cycle

Build – Identify a manageable lot (5–10% output) with uniform variety, ripeness, and process. Design a short SOP, assign batch codes, allocate separate storage, and record in simple digital logs (Google Sheets/Excel). This is your MVP — small, distinct, and low-cost to test and learn quickly.

Measure – Select a minimal set of indicators in three layers:

  • Technical: moisture/defect rate, MRL/microbiology test results, SOP compliance rate.
  • Commercial: offer vs. accepted price, deal closure speed, contract terms.
  • Impact/ESG: water/fertilizer reduction, PPE use, farmer feedback.

Focus on actionable metrics — numbers that drive decisions — not vanity statistics.

Learn – Compare unit price differentials, added costs, and risk reductions between micro-lots and bulk batches. If results fall short, pivot: target a new customer segment, adjust processing, or refine the product story and packaging. The B–M–L loop helps avoid “big spend first, lessons later.”

Premium Potential: “Different Enough” and “Clean Enough”

Evidence from specialty markets shows genuine potential: micro-lot prices often exceed local or bulk prices by 74–327%. Yet, premiums aren’t automatic — they depend on sensory quality, traceability storytelling, and batch uniformity.

Still, the “tuition cost” must be acknowledged: segregation reduces blending flexibility and raises management costs. The premium must offset this loss — a reality highlighted by coffee market analysts.

Designing Micro-lots as Business Model Experiments

A micro-lot is a sandbox for testing all business model variables:

  • Customer segment: experiment with direct sales to roasters or high-end chains instead of bulk traders.
  • Value proposition: offer “uniform–traceable–ESG story” instead of “cheap–fast.”
  • Channels & relationships: small but recurring contracts; season-on-season improvements; price differentiation by quality score.
  • Revenue & cost structure: separate accounting to identify the “premium break-even point.”
  • Impact (E–S–G): measure water savings, reduced chemical use, safety improvements, and data credibility.

This design fits Lean philosophy: test fast – learn fast – iterate fast instead of perfect plans first.

Suggested 90–180–360-Day Roadmap

  • 90 days: select a micro-lot; create short SOPs, batch codes, and separate storage; log data and photos via Google Sheets/Excel for collaboration.
  • 180 days: measure key indicators (technical, commercial, impact); conduct representative lab tests (MRL/microbiology); test tiered pricing with 2–3 buyers.
  • 360 days: review the B–M–L loop; scale selectively (from 5–10% to 20–30% of output) if premium–risk–cost results are positive; align with ISO 22005/GS1 standards for full traceability and VSS readiness.

Common Risks & Mitigation

  • Micro-lot without segregation: loss of identity → loss of premium. → Solution: strict labeling, separate storage, handover documentation per ISO 22005/GS1.
  • Tracking vanity metrics: attractive numbers that don’t guide action. → Solution: focus on 5–7 actionable indicators tied to pricing, volume, or cost decisions.
  • Premium not offsetting costs: weak story or quality differentiation.→ Solution: improve process, pivot customer segment, or refine product/packaging.

Micro-lot and segregation are not just technical measures — they reflect a Lean experimentation mindset: Build–Measure–Learn. Start small to learn fast; standardize data and processes for reliability; scale up with evidence. When micro-lots deliver measurable differentiation, firms both unlock premiums and shorten their path to VSS compliance — since the hardest part (data discipline and traceability) is built from day one.

References
Blank, S. (2013). Why the lean start-up changes everything. Harvard Business Review.

https://hbr.org/2013/05/why-the-lean-start-up-changes-everything (Harvard Business Review)

Blank, S. (2013). Free reprints of “Why the Lean Startup Changes Everything”. Steve Blank Blog.

https://steveblank.com/2013/05/06/free-reprints-of-why-the-lean-startup-... (Steve Blank)

ISO. (2007). ISO 22005:2007—Traceability in the feed and food chain.

https://www.iso.org/standard/36297.html (ISO)

ISO. (2007). ISO 22005:2007 (online browsing platform) — principles & requirements.

https://www.iso.org/obp/ui/ (ISO)

GS1. (2021). GS1 Global Traceability Standard (GTS).

https://www.gs1.org/standards/gs1-global-traceability-standard/current-s... (GS1)

GS1. (2017). GS1 Global Traceability Standard (PDF).

https://www.gs1.org/sites/default/files/docs/traceability/GS1_Global_Tra... (GS1)

European Commission. (n.d.). Traceability and geolocation of commodities subject to EUDR.

https://green-forum.ec.europa.eu/nature-and-biodiversity/deforestation-r...

Driven Coffee. (2024). What is microlot coffee, and what makes it special?

https://www.drivencoffee.com/blogs/blog/what-is-microlot-coffee (Driven Coffee)

Perfect Daily Grind. (2020). What is a micro lot in specialty coffee?

https://perfectdailygrind.com/2020/04/what-is-a-micro-lot-in-specialty-c... (Perfect Daily Grind)

Coffeelands/CRS. (2013, June 26). The economic impacts of microlots.

https://coffeelands.crs.org/2013/06/367-the-economic-impacts-of-microlots/ (coffeelands.crs.org)

Daily Coffee News. (2013, June 26). Exploring the economic impacts of microlots….

https://dailycoffeenews.com/2013/06/26/exploring-the-economic-impacts-of... (Daily Coffee News by Roast Magazine)

Oilslick Coffee. (2023, June 18). Microlots (Coffee Prices: The Big Fix).

https://oilslickcoffee.com/economics/market/coffee-the-big-fix/ (Oil Slick Coffee)

Smyth, S., & Phillips, P. (2002). Product differentiation alternatives: Identity preservation, segregation, and traceability. AgBioForum, 5(2), 30–42.

https://agbioforum.org/wp-content/uploads/2021/02/AgBioForum_5_2_30.pdf (agbioforum.org)

Google Support. (n.d.). Share & collaborate on a spreadsheet.

https://support.google.com/a/users/answer/13309904

Microsoft Support. (n.d.). Collaborate on Excel workbooks at the same time with co-authoring.

https://support.microsoft.com/office/7152aa8b-b791-414c-a3bb-3024e46fb104 (Harvard Business Review)

(Tài liệu bổ trợ: PECB/ISO 22005 overview; GS1 chain-of-custody & DSCSA để tham chiếu mô hình truy xuất/segregation trong các chuỗi khác). (PECB)

Author: 
Nguyễn Đặng Tuấn Minh

From Mindset to Action for Green Export – Part 4: Start with Data: Simple Tools to Unlock ESG & VSS

In the practical implementation of GEVA, we found that the biggest bottleneck does not lie in “which standard to choose,” but in foundational data capability: land plot location, cultivation logbooks, input materials, post-harvest segregation and traceability, test results (MRL/microbiology), and governance evidence.
Without these very basic elements, any VSS (Voluntary Sustainability Standards) or technical requirements (EU/EUDR, MRL) become burdensome and costly.

In fact, the EUDR requires traceability down to the plot level with geographic coordinates: “The Regulation requires that Operators collect and provide… geographic coordinates of the plots of land…” (excerpt). This is a clear reminder: before thinking about certification, design a small, solid data system first.

At the same time, the EU’s MRL (Maximum Residue Limit) barrier remains: “A general default MRL of 0.01 mg/kg applies where a pesticide is not specifically mentioned.” (excerpt). In other words, if you can’t manage field logs and dosage records, you risk failure from the start.

“Must-have” and “should-have” data to join the supply chain

Before investing in expensive software, enterprises or cooperatives should first agree on a minimum dataset of six groups, stored in simple formats (Sheets/Excel, photos–videos with timestamps/geotags):

  • Location & production timeline: plot point or polygon (coordinates), crop/season, harvest date. EUDR requires plot-level data and may require polygons for lots >4 ha (Green Forum).
  • Cultivation log & inputs: date–location–dosage of fertilizers/pesticides; invoices for inputs.
  • Post-harvest & transport: sanitation, drying, packaging, shipping (with time markers).
  • Segregation & lot codes: separate labels/lots, separate temporary storage, handover logs.
  • Testing: MRL/microbiology/heavy metals for representative lots; according to target market criteria (Food Safety).
  • Social & governance evidence: PPE usage, labor contracts, group meetings, training sessions.

Principle: Start small but accurate (a 5–10% “micro-lot”) to capture real data, learn quickly, and then scale up.

Choosing tools: start simple (Sheets/Excel) before upgrading

The best starting point is Google Sheets or Microsoft Excel, as they’re familiar, low-cost (even free), and sufficient for the six minimum data groups.

  • Real-time collaboration: Google states: “Up to 100 people… work on a Google Docs, Sheets, or Slides file at the same time.” (excerpt) — ideal for production, procurement, and QA teams to update one shared log.
  • Excel co-authoring: Microsoft states: “You and your colleagues can open and work on the same Excel workbook. This is called co-authoring.” (excerpt). Upload to OneDrive/SharePoint for near real-time edits.

Cost & basic setup (minimal):

  • Google Sheets: software cost ≈ 0 (free) to low (Workspace); requires internet; 2–3 hours of training on sharing, permissions, filters, basic formulas; 1 part-time “data coordinator” per 30–50 households/hectares.
  • Excel + OneDrive/SharePoint: licensed under Microsoft 365; suitable for strong offline use; 3–4 hours of training (cloud sync, co-authoring, versioning).
  • Scaling up: when lots and partners exceed ~100, consider a specialized traceability/documentation platform (see below).

Golden rule: the simpler the tool, the shorter the training and the higher the adoption rate. Prioritize data discipline and consistency over “fancy features.”

Vietnamese tools: when to use them

Once your data runs smoothly on Sheets/Excel for 1–2 seasons, consider Vietnamese tools for QR traceability, digital logbooks, and government integration:

  • iTrace247 (VIETRADE): a blockchain-based traceability system supporting multilingual QR labels — “The Vietnam Trade Promotion Agency has launched a blockchain-based origin tracing system, iTrace247…” (excerpt). Piloted for Thanh Ha lychee and northern fruits. Ideal when you need QR codes for exports and storytelling. (VnEconomy)
  • National Product Traceability Portal: aims to “connect and share traceability data across sectors and provinces.” “The system allows lookup of agricultural product origin information.” (excerpt, DSMQ). Useful to overcome data fragmentation. (truyxuatnguongoc.gov.vn)
  • VNPT Check, iCheck/CheckVN, Agri360: provide QR tags, digital logbooks, lot management, multilingual support. “CheckVN… record the diary of agricultural production… together with activating traceability stamps.” (excerpt). Suitable for cooperatives or farmer groups needing integrated label–log–traceability functions.

Typical costs & training (based on field projects):

  • QR labels & anti-counterfeit tags: priced per label; cheaper in bulk; 1–2 hours of training for tagging/warehouse staff.
  • Digital logbooks (mobile apps): requires smartphones; 3–4 hours of hands-on training (uploading invoices, field photos, geotagging).
  • System administration: 1 part-time data coordinator (cooperative/business) to verify completeness and synchronization.

For EU markets, platforms that support geolocation fields and lot segregation are highly useful, aligning with EUDR (plot coordinates, polygons > 4 ha, 5-year record retention). (Green Forum)

Using Zalo, Facebook, and YouTube appropriately

Vietnam’s social media coverage is extremely wide: “Vietnam was home to 76.2 million social media user identities in January 2025.” (excerpt).
Zalo alone reached about 77–78 million MAUs in 2024–2025 (DataReportal, VNG 2024 Report).

Use each channel for the right purpose:

  • Zalo: group chats for production teams to send reminders, geotagged photos, short field videos, and collection notices; Zalo OA/Mini App can serve as a quick lookup window. (VietNamNet News)
  • Facebook (private groups/forums): peer learning, FAQs, finding logistics/support partners — but not for official records (posts are transient and hard to standardize).
  • YouTube: short 3–5 minute SOP videos (PPE use, biological pesticide mixing, sampling, packaging); ideal for asynchronous seasonal training.

Always comply with platform and legal requirements. These are support tools for operations/training, not official record systems.

Preparing personnel & training for the value chain (30–60 day sample plan)

Goal: achieve one micro-lot at “pre-certification” level to test the market.

Minimum staffing

  • 01 Data coordinator (cooperative/business, part-time): manages Sheets/Excel, validates photos/locations, ensures logs are complete (0.3–0.5 FTE for 30–50 households).
  • 01 Field technician: assists farmers with data entry, moisture checks, PPE compliance (0.5 FTE for 30 households).
  • Core farmer group: 10–20 pilot farmers committed to micro-lot trials.

Four-step plan

  • Weeks 1–2: create sample Sheets/Excel (6 data groups), train on Zalo “photo + location,” test with 1–2 farmers.
  • Weeks 3–4: expand to 10–20 farmers; review data gaps; choose a Vietnamese app (if using digital tags/logs) and print pilot labels.
  • Weeks 5–6: conduct 1–2 technical tests (MRL/microbiology) for pilot lots; adjust SOPs accordingly.
  • Weeks 7–8: compile “pre-certification” dossier (logs, coordinates, segregation, testing) and present to buyers for price benchmarking.

Estimated costs (excluding lab tests):

  • Lowest-cost option (Sheets/Excel + Zalo): ~ 0–2 million VND/month (mobile data + printing).
  • Digital tag/log app: pay per label/user package; 3–4 hour farmer training session.
  • Testing: depends on indicators and lab; sample pilot lot first before scaling up.

Linking ESG–VSS through a “data ladder”

Well-managed operational data transforms EUDR (plot coordinates, production timeline, 5-year record retention) and MRL requirements into routine management metrics instead of last-minute hurdles. From there, you can choose the appropriate VSS certification (e.g., focusing on soil–water–labor), since photos, coordinates, lot codes, and test results are already available.
ESG is the architecture; VSS is the “OK button” confirming that the architecture runs smoothly.

© Copyright KisStartup. Any reproduction or quotation must cite the source KisStartup.

References
European Commission. (n.d.). EU legislation on MRLs. Food Safety.

https://food.ec.europa.eu/plants/pesticides/maximum-residue-levels/eu-le... (Food Safety)

European Commission. (n.d.). Traceability and geolocation of commodities subject to EUDR. Green Forum.

https://green-forum.ec.europa.eu/nature-and-biodiversity/deforestation-r... (Green Forum)

DataReportal. (2025). Digital 2025: Vietnam.

https://datareportal.com/reports/digital-2025-vietnam (DataReportal – Global Digital Insights)

Google Support. (n.d.). Share & collaborate on a spreadsheet.

https://support.google.com/a/users/answer/13309904 (Google Help)

Microsoft Support. (n.d.). Collaborate on Excel workbooks at the same time with co-authoring.

https://support.microsoft.com/en-us/office/collaborate-on-excel-workbook... (Microsoft Support)

Vũ, K. (2023, March 24). Blockchain-based origin tracing system launched. VnEconomy (English).

https://en.vneconomy.vn/blockchain-based-origin-tracing-system-launched.htm (VnEconomy)

VNG Corporation. (2025). Annual report 2024 (Zalo section).

https://bctn2024.vng.com.vn/about/zalo (bctn2024.vng.com.vn)

General Department of Standards, Metrology and Quality (DSMQ). (2024, March 22). National portal on product traceability to make debut in Q2. Government Newspaper (English).

https://en.baochinhphu.vn/national-portal-on-product-traceability-to-mak... (en.baochinhphu.vn)

Agricultural traceability (n.d.). Traceability portal.

https://truyxuatnguongoc.gov.vn/ (truyxuatnguongoc.gov.vn)

CheckVN. (2024, May 2). CheckVN – Agricultural Diary (App page). Google Play.

https://play.google.com/store/apps/details?id=com.checkvnmanage (Google Play)

iCheck. (2025, April 21). iCheck Trace – Traceability (App page). Google Play.

https://play.google.com/store/apps/details?id=vn.icheck.trace (Google Play)

Agri360. (2018). Agri360 – Agricultural Diary (App page). App Store.

https://apps.apple.com/vn/app/agri360-nh%E1%BA%ADt-k%C3%BD-n%C3%B4ng-ngh... (Apple)

Author: 
Nguyễn Đặng Tuấn Minh

From Mindset to Action in Green Export – Part 2: The Real Costs and Benefits of VSS: Investment or Burden?

When it comes to Voluntary Sustainability Standards (VSS), the most common reaction from agri-exporting businesses is: “It’s too expensive, too complicated, and the benefits aren’t immediately visible.” In the implementation of the GEVA project, we have witnessed many businesses reconsider or even abandon their plans to comply with VSS after calculating the costs. However, the real question is: should VSS be viewed merely as a burden, or can it be considered a strategic investment?

Why are VSS costs seen as the biggest barrier?

The cost of VSS certification goes far beyond the fee paid to auditing organizations. It includes the costs of changing practices, upgrading management systems, and maintaining ongoing monitoring. According to Rainforest Alliance (2024), certification costs can be grouped into three main categories:

  • Preparation costs (training, process adjustments),
  • Audit and monitoring costs, and
  • Post-certification maintenance costs.

Combined, these make VSS a significant investment, especially for small and medium-sized enterprises (SMEs).

In addition, there are intangible but substantial costs associated with behavior change. Many cooperatives and farmers are used to chemical fertilizers, manual drying, or even mixing lots of products. When required to change, companies often face resistance from farmers within their supply chains, prolonging timelines and increasing supervision costs.

Moreover, shifting to VSS-compliant production can cause short-term yield reductions due to the exclusion of non-compliant farmers or the adjustment period under new farming practices. This translates into lost revenue while expenses rise — no wonder many firms see VSS as a “burden.”

Long-term benefits: Turning costs into investment

If we only look at direct expenses, few businesses would be motivated to pursue VSS. But from a long-term perspective, the benefits are clear in three main areas:

1. Market access and premium positioning
VSS opens doors to high-value, stable markets. The State of Sustainable Markets report (ITC/FAO/IISD, 2023) shows that the area and production under major VSS such as Fairtrade, Rainforest Alliance, and Organic continue to expand. As a result, importers and global brands increasingly prioritize certified sources. VSS-compliant firms can access demanding customers, sign long-term contracts, and reduce market loss risks.

2. Improved internal management
VSS not only addresses environmental performance but also requires data transparency, product traceability, labor compliance, food safety, and clear governance mechanisms. When properly implemented, these systems help companies reduce legal risks, enhance brand credibility, and improve operational efficiency (EdenSeven, 2023).

3. Better access to finance
Investors and financial institutions increasingly prefer companies with clear ESG reporting or VSS certification, seeing them as lower-risk and better-managed (CRIF Digital, 2024). In certain sectors, a “sustainability differential” — price premiums for certified products — is also emerging, improving profit margins per certified batch.

The economic equation: When does VSS become a smart investment?

The issue isn’t that VSS is too expensive — it’s how businesses approach it. If certification is treated as a short-term goal, costs will outweigh benefits. But if viewed as a step-by-step investment process, the returns can be significant.

A practical approach is the “micro-lot” strategy. Instead of converting entire farms or factories, businesses can apply VSS to just 5–10% of their production. This allows them to:

  • Reduce upfront investment costs,
  • Gather real data to demonstrate capacity to buyers,
  • Test price differentials and market readiness.

Once a company proves added value from this small batch, it has a solid basis to scale up. This approach has worked well in coffee and cocoa sectors, producing premium, high-priced specialty products.

Suggested actions for businesses

To transform VSS from burden to investment, companies can follow these steps:

  • Within 6 months: Review mandatory technical requirements (e.g., MRLs, food safety), and build a basic data system (farming logs, field maps, lot codes).
  • Within 12 months: Pilot one micro-lot that meets VSS standards, prepare pre-certification documentation, and assess cost–benefit outcomes.
  • Within 24–36 months: Expand certified production if benefits are proven, and integrate ESG principles into the business model to attract long-term capital and customers.

VSS is not a short-term, low-cost investment, but the question is not “Should we invest?” — it’s “How can we invest smartly?”
If viewed only through the lens of short-term cost, VSS is indeed a burden. But as a foundation for market expansion, management improvement, and brand credibility, it becomes a strategic investment — one that helps businesses escape the “fast export–low price” trap. Ultimately, it’s a matter of perspective: VSS can be either a cost or an opportunity, depending on a company’s long-term vision.

References

  • ITC/FAO/IISD (2023). State of Sustainable Markets.
  • Rainforest Alliance (2024). Certification costs and assurance system.
  • EdenSeven (2023). ESG as a bolt-on vs. strategic integration.
  • CRIF Digital (2024). Integrating ESG for sustainable business growth.

© Copyright by KisStartup. Content developed under the GEVA Project – Green Export Acceleration through Voluntary Sustainability Standards (VSS). Any form of reproduction, citation, or reuse must credit KisStartup/GEVA.

 

 

Author: 
Nguyễn Đặng Tuấn Minh

From Mindset to Action for Green Export – Part 1: Voluntary Sustainability Standards (VSS) – Why “Voluntary” Is No Longer Optional

     

In many discussions with businesses and farming households, the GEVA project has observed a common reality: the concept of Voluntary Sustainability Standards (VSS) often causes confusion. In theory, VSS are designed as voluntary options that businesses can choose to adopt in order to demonstrate their commitment to sustainable development. However, in practice, VSS are increasingly becoming a “soft barrier” that is almost mandatory for companies wishing to enter high-value export markets. In fact, many countries have begun to formalize parts of VSS into legislation to raise production quality standards and facilitate exports.

This shift stems from changes on multiple fronts—governments, large buyers, and most importantly, consumer behavior. Many countries and economic blocs such as the European Union, the United States, Japan, and Canada have integrated sustainability standards, including VSS, into their trade and public procurement policies (ISEAL, 2023). On the private sector side, multinational corporations use VSS as a “common language” to assess and select suppliers. Therefore, even when regulations do not explicitly require a specific certification, commercial practices effectively make VSS an indispensable condition for trade.

It is important to note that achieving a VSS certification does not guarantee customs clearance. Mandatory technical barriers—such as maximum residue levels (MRL) for pesticides, microbiological tests, heavy metal checks, and food safety standards—still apply. For example, in cases where no specific MRL has been established, the EU default level is just 0.01 mg/kg—a very stringent threshold that forces farmers to change their fertilizer and pesticide practices (European Commission, 2023). In other words, VSS help standardize production processes and enhance credibility, but they do not replace mandatory legal requirements.

At the same time, new layers of requirements are emerging. A prime example is the EU Deforestation Regulation (EUDR), which obliges exporters of coffee, cocoa, wood, rubber, and other commodities to prove that their products are not linked to deforestation after December 31, 2020. This regulation requires precise geographic coordinates of the production area and a traceability system that can distinguish compliant and non-compliant batches (European Commission, 2023). Although the enforcement deadline has been extended until the end of 2025 for medium and large enterprises and until 2026 for small enterprises, the message is clear: no transparent data, no export.

In this context, many businesses have adopted short-term survival strategies—selling fast and cheap rather than investing in small but certified batches. This “survival choice” reflects three underlying factors:

  • High conversion costs – including investment in data systems, staff training, and certification fees, which are a major burden for SMEs (Rainforest Alliance, 2024).
  • Behavioral inertia – particularly in agriculture, where changing production habits is much harder than changing techniques.
  • Short-term cash flow pressure – forcing businesses to prioritize large-volume, low-margin sales to stay afloat rather than investing in new models that take time to mature.

However, this approach cannot build long-term competitiveness. The State of Sustainable Markets report by ITC, FAO, and IISD shows that VSS-compliant agricultural areas and production volumes continue to grow annually across crops such as coffee, cocoa, and rubber (ITC/FAO/IISD, 2023). This means that early adopters are steadily gaining market trust and competitive advantage, while those focusing solely on low-cost, fast exports risk being excluded from high-quality supply chains.

The key to overcoming this challenge lies in a mindset shift. Instead of passively reacting to buyer demands, businesses should proactively embrace ESG (Environmental – Social – Governance) as a core business goal. ESG should not be viewed as a cost but as a foundation for operational efficiency, risk reduction, brand reputation, and investment opportunities (CRIF Digital, 2024; EdenSeven, 2023). Meanwhile, VSS should be regarded as a measurement and roadmap tool—helping businesses understand their current status, identify improvement areas, and transparently demonstrate progress to customers.

Initial actions do not need to be complex. Businesses and farmers can start by:

  • Assessing current status: compare technical requirements of target markets with actual production conditions.
  • Building a data handbook: record farming logs, maps of production areas, and participant lists.
  • Product segregation: minimize mixing risks through batch codes and separate storage.
  • Testing micro-lots: apply strict standards to 5–10% of production as pilot certified lots.
  • Studying suitable VSS: understand core requirements before registering for certification.

In short, VSS are no longer an optional choice but have become a crucial tool for accessing export markets. At the same time, ESG must serve as an internal foundation. The shift from a “fast-and-cheap” mindset to a “proactive-and-sustainable” strategy is the only viable path for Vietnamese enterprises and farmers to increase product value and seize opportunities in global supply chains.

To assess your readiness for green transformation, you can use the tool developed by KisStartup under the GEVA project:
https://greenexport.vn/vi/bo-cong-cu-do-luong-muc-do-tuan-thu-tieu-chuan...

© Copyright by KisStartup. This content was developed within the framework of the GEVA project – Incubating and Accelerating Green Exports through Voluntary Sustainability Standards (VSS). Any reproduction, quotation, or reuse must cite KisStartup/GEVA as the source.

References
[0] ITC/FAO/IISD (2023). State of Sustainable Markets.
[2] CRIF Digital (2024). Integrating ESG for sustainable business growth.
[4] Social Value Portal (2023). Social Value and ESG: What’s the difference?
[5] EdenSeven (2023). ESG as a bolt-on vs. strategic integration.
[11] European Commission (2023). EU Deforestation Regulation (EUDR).
[13] European Commission (2023). Maximum Residue Levels (MRLs) for pesticides.
Rainforest Alliance (2024). Certification costs and assurance system.

Author: 
Nguyễn Đặng Tuấn Minh

Vietnam's first export incubator – A pioneering step with GEVA.

For the first time in Vietnam, an export incubator has been established with a hybrid model: both nurturing businesses that are not yet ready and accelerating those that have already developed. The unique feature of this model is that it is designed using a funnel approach, helping to expand knowledge and gradually enhance the capacity of businesses in their journey to access sustainable international markets.

The project, 'Green Export Incubator and Accelerator Program through Voluntary Sustainability Standards (VSS)' – GEVA, will be implemented from April 2025 to April 2026, funded by the Swiss Government through the Swiss Economic Affairs Directorate (SECO), managed by the Vietnam Trade Promotion Agency (Vietrade) and the International Trade Center (ITC), and operated by KisStartup Joint Stock Company – a private unit with rich experience in innovation and creativity.

Funnel Approach: From Awareness to Specialization

Training – Raising Awareness for the Business Community

Courses, workshops, and guides help businesses and individuals understand green export, VSS standards, and global market trends. This is the "wide mouth" of the funnel, expanding the foundation of general knowledge.

Incubation – Building Foundational Capacity

Businesses that are not yet ready will be supported in identifying suitable business models, learning how to integrate sustainability into their products, and preparing for the initial steps of their export journey.

Acceleration – Specialized & Tailored Solutions

For businesses with an existing foundation, the acceleration program focuses on 1:1 advisory sessions lasting 6 months, helping to adjust business models, optimize the value chain, and effectively apply VSS standards.

Market Connection – Paving the Way to International Markets

After incubation and acceleration, businesses will be directly connected with partners and importers in the EU, the US, Canada, Australia, ASEAN, and the Middle East, opening up real collaboration opportunities.

Hybrid Model: Incubation & Acceleration

Unlike traditional support programs, GEVA adopts a market approach:

  • Incubation is for young businesses that lack a strong foundation, helping them understand green export requirements, reach international standards, and build new business models.

  • Acceleration is for businesses that are ready, providing in-depth support to optimize their business models, apply VSS standards, and directly connect with export markets.

Throughout the process, the services go beyond short-term support, being designed, tested, and refined to operate according to market mechanisms, creating sustainable solutions that truly serve businesses in the long term.

Key Activities

  • Online Measurement Toolkit: Businesses can assess their readiness for export, business model innovation, and VSS compliance for free. The summary report will help them determine the improvement roadmap.

  • Capacity Building & Market Connection: A series of training activities, workshops, and events connecting with importers from the EU, the US, Canada, Australia, ASEAN, and the Middle East.

  • In-depth Incubation & Acceleration Program: 23 businesses in the spice, coffee, and seed industries will receive 6 months of 1:1 advisory, with weekly sessions focusing on three pillars: green export, business model innovation, and VSS standards implementation.

Journey with Vietnamese Businesses

GEVA is not just a technical assistance project. It is a journey of mindset transformation, accompanying Vietnamese businesses in enhancing their competitiveness, aiming for green, sustainable, and responsible exports.

By pioneering the establishment of the first export incubator in Vietnam, GEVA opens up opportunities for agricultural businesses – from small to developed – to step onto a global stage, where value lies not only in products but also in sustainability, transparency, and the ability to adapt to increasingly strict international standards.

Green Export Incubation and Acceleration Program through Voluntary Sustainability Standards (VSS)

The “Green Export Incubation and Acceleration Program through Voluntary Sustainability Standards (VSS)” is an initiative under Component 3 of the “Vietnam Trade Policy and Export Promotion Project” (SwissTrade) – funded by the Swiss Government, managed by the International Trade Centre (ITC), and implemented directly by KisStartup from April 2025 to April 2026.

The program aims to enhance the competitiveness of Vietnamese businesses in international markets through green export – one of the most important and globally relevant trends in sustainable trade development today.

What do businesses gain from joining the program?

Participating businesses will not only gain in-depth knowledge and tools on green export, but also have the opportunity to apply and develop sustainable business models through:

  • Strengthening knowledge and capacity on green export: Receive intensive training on the latest concepts, regulations, and trends related to sustainable supply chains, green consumer markets, and international VSS (Voluntary Sustainability Standards).

  • Boosting competitiveness and profitability through VSS compliance: Meeting sustainability standards not only opens doors to premium markets but also helps businesses improve production processes, reduce costs, and enhance brand reputation in global markets.

  • Connecting and expanding international business networks: Enterprises will have the chance to engage with domestic and international experts, global buyers, investors, and organizations supporting green export development.

  • Opportunities for funding and 6-month technical support: Businesses in the Spices, Coffee, and Nuts sectors may be selected for customized 1:1 coaching programs, tailored to their specific needs and supported by top experts in green trade and sustainable development.

Why is exporting through sustainable standards important?

In the context of a global shift toward green and circular economies, compliance with Voluntary Sustainability Standards (VSS) is becoming a prerequisite for maintaining competitiveness—especially in demanding markets like Europe, the U.S., and Japan. VSS are not only a "passport" for Vietnamese products to access international markets, but also a strategic tool to enhance internal capabilities, contributing to the sustainable growth of Vietnam’s agricultural and export sectors.

Register and stay updated on the GEVA program at the official project website

This is a not-to-be-missed opportunity for Vietnamese enterprises seeking to embrace global trends, strengthen competitiveness, and break through international markets via the green export pathway.