MOU Signing to Cooperate in Sustainable Forest Development, towards Water Replenishment and Carbon Offset

The Ministry of Agriculture and Rural Development (MARD), in partnership with Suntory PepsiCo Vietnam, organized a Public-Private Partnership Conference in the Multi-Use Value of Forest Ecosystems on July 11, 2024. The event also marked signing of the Memorandum of Understanding between the Forestry Department and Suntory PepsiCo Vietnam.

Attendees included Minister of Agriculture and Rural Development Le Minh Hoan, leaders of Suntory PepsiCo Vietnam, representatives from various authorities, international organizations, NGOs, national parks, and nature reserves.

Director of the Forestry Department, Tran Quang Bao and General Director and CEO of Suntory PepsiCo Vietnam, Jahanzeb Khan signed the Memorandum of Understanding in sustainable forest development, towards water replenishment and carbon offset

Promoting Public-Private Partnership in Developing the Multi-Use Value of Forest Ecosystems

Vietnam has over 14.86 million hectares of forests, rich and diverse in ecosystem values. Over the years, the forestry sector has promoted the policy of "socializing forestry" through various mechanisms and policies. Specifically, the Vietnamese Forestry Development Strategy for the period 2021 – 2030, with a vision to 2050, clearly states: "...there should be appropriate mechanisms and policies to support, facilitate, and encourage organizations and individuals from all economic sectors to participate in forestry investment and development."

Today's signing of the Memorandum of Understanding between the Forestry Department and Suntory PepsiCo Vietnam aims to realize these policies. Suntory PepsiCo Vietnam becomes one of the first companies to partner with the forestry sector in sustainable forest development, towards water replenishment and carbon offset.

Speaking at the signing ceremony, Mr. Jahanzeb Khan, General Director and CEO of Suntory PepsiCo Vietnam, shared: "Throughout 30 years in Vietnam, Suntory PepsiCo, has established partnership with key stakeholders, in striving to address environmental and social challenges through strategic partnerships and innovative models, bringing positive impacts to the community. Through strategic public-private partnerships with the Ministry of Agriculture and Rural Development, we not only level up the impact of our ongoing reforestation programs but also pursuing multiple objectives, such as restoring and replenishing more than 100% of the water used in production at all our plants by 2050, contributing to carbon offset and improving livelihoods for local."

Mr. Jahanzeb Khan, General Director and CEO of Suntory PepsiCo Vietnam shared about efforts to address environmental and social challenges through strategic partnerships and innovative models, bringing positive impacts to the community

The Director of the Forestry Department, Tran Quang Bao, stated: “The overarching goal of the forestry sector is to become an economic-technical sector; to establish, manage, protect, develop, and use forests sustainably,... ensuring broad and equal participation of all economic sectors in forestry activities,... Therefore, the roles of both the public and private sectors are extremely important. We acknowledge the contributions of Suntory PepsiCo Vietnam to sustainable development programs in Vietnam. This cooperation marks a significant step forward between the two parties in developing sustainable forests and leveraging the multi-use value of forest ecosystems.”

Key areas of cooperation:

- Forest Planting: planting native and large timber trees, aim to regenerate water resources, increase carbon absorption, and protect the environment,  while enhance livelihood for local people. The program is expected to plant and enrich almost 250 hectares of forest in watershed and protective forest areas across the country.

- Designing and Implementing the “Forestry Semester” Program: Developing forest experience program to educate about water resources, biodiversity, and fostering a love for forests and water among students and national park visitors.

- Piloting the “National Forest Passport” Initiative: This initiative encourages people and tourists to explore forests, fostering awareness of forest protection and development to achieve the goal of developing the multi-use value of forests.

Additionally, both parties will cooperate in areas such as improving mechanisms, policies, as well as communications to raise awareness about nature conservation, biodiversity, the role of forest ecosystems, and water protection.

B.H (Vietnam Business Forum)