Replacing less productive crops with herbal medicines has proven to be an effective direction for many localities in Hoa Binh province.
In 2018, the Big Farm herbal cooperative leased 10 ha of mixed garden land from farmers in Men village, Yen Hoa commune (Da Bac district) to start growing several types of herbal plants.
Yen Tri commune in Yen Thuy district is one of the "bright spots" in herbal medicine development. Chairman of the communal People’s Committee Bui Phi Diep said that when embarking on the new-style rural area building scheme, the first challenge for the local authorities was how to increase the income for local residents. He added that the orientation of switching to herbal medicine cultivation on areas of less productive crops and mixed gardens aimed for this goal.
To achieve the highest effectiveness, the local authority selected high-value herbal plants and precious indigenous medicinal plants, and encourages residents to cultivate these as replacements. At the same time, it has proposed the district collaborate with herbal medicine centres and pharmaceutical companies to develop a production linkage model.
Cultivating medicinal plants generates economic value approximately three times higher than rice cultivation, helping to improve the incomes of many households in Yen Tri. The area dedicated to herbal plant cultivation in the commune has expanded to about 35 ha, attracting 45 households in the Yen Tri Agricultural Cooperative, and 100 other households to join.
Besides Yen Tri, the cultivation and development of medicinal plants have been implemented in many localities. So far, Hoa Binh has approximately 2,350 ha of medicinal plants, including 197.6 ha where the plants are intercropped on forest land.
Some of the main medicinal plants including lemongrass, solanum procumbens, and celastrus hindsii, with yearly average outputs of 11,000 tonnes, 1,200 tonnes and 1,620 tonnes, respectively. Additionally, there are various naturally harvested medicinal plants, such as cordyceps, passionflower, Paris polyphylla smith, and anoectochilus.
In recent years, the provincial authorities have issued many mechanisms and policies to encourage investment in planting and processing of medicinal plants. Projects and socio-economic development programmes in ethnic minority and mountainous areas and the "One Commune, One Product" programme have helped promote and encourage economic sectors to invest in the cultivation and and processing of medicinal plants.
Currently, the province has 13 facilities and enterprises engaged in the purchasing and preliminary processing of medicinal plants, along with 10 small-scale processing establishments run by enterprises and households. These efforts have initially created stable outlets for medicinal plants in the province.
According to the leadership of the provincial Department of Agriculture and Rural Development, in the coming time, based on natural conditions, market demand, economic value, and export potential, the locality will develop a list of prioritised medicinal plants for development. Additionally, it will establish mechanisms, policies, and support plans for the cultivation, development, and harvesting of medicinal plants in special-use forests, protective forests, and production forests; as well as renting land for medicinal plant development; in line with forest management regulations and the provisions of the Land Law in 2024.
According to data from the Hoa Binh Provincial Party Committee, the industrial production index for the first six months of 2025 is estimated to have increased by 20% compared to the same period last year. This marks the highest year-on-year growth rate for this period since 2020.
In the first six months of 2025, Hoa Binh province’s export turnover was estimated at 1.145 billion USD, marking an 18.11% increase compared to the same period in 2024. Import turnover was estimated at $ 804 million, a 17.15% increase, which helped the province maintain a positive trade balance.
The lives of the ethnic minority farmers in Tan Lac district have gradually improved thanks to the new directions in agricultural production. This is a testament to the collective strength fostered through the professional associations and groups implemented by various levels of the district’s Farmers’ Union.
With the motto the "product quality comes first,” after nearly one year of establishment and operation, Muong village’s Clean Food Agricultural and Commercial Cooperative, located in Cau Hamlet, Hung Son Commune (Kim Boi district), has launched reputable, high-quality agricultural products to the market that are well-received by consumers. The products such as Muong village’s pork sausage, salt-cured chicken, and salt-cured pork hocks have gradually carved out a place in the market and they are on the path to obtaining the OCOP certification.
In the past, the phrase "bumper harvest, rock-bottom prices" was a familiar refrain for Vietnamese farmers engaged in fragmented, small-scale agriculture. But today, a new spirit is emerging across rural areas of Hoa Binh province - one of collaboration, organisation, and collective economic models that provide a stable foundation for production.
Maintaining growing area codes and packing facility codes in accordance with regulations is a mandatory requirement for agricultural products to be eligible for export. Recently, the Department of Agriculture and Environment of Hoa Binh province has intensified technical supervision of designated farming areas and packing facilities to safeguard the "green passport" that enables its products to access international markets.
