Vietnam is capable of selling some 40 million carbon credits for a revenue of 200 million USD annually, the Department of Forestry has calculated.

Participation in the carbon market is an opportunity for organizations and businesses to transform to green production, so many businesses are starting to pay attention.

Vietnam will soon perfect its legal framework for the future sale of carbon credits after the Southeast Asian country has sold 10.3 million forest carbon credits.

The challenges presented by the carbon credit market were the main talking points of a meeting on January 24.

2023 marked a significant milestone for the forestry sector as Vietnam successfully sold 10.3 million forest carbon credits (10.3 million tonnes of CO2) for the first time through the World Bank (WB) for US$51.5 million.

The formation of a carbon credit market is part of Vietnam's commitment to net-zero emissions and the use of economic tools to manage enterprises’ greenhouse gas emissions.

The Ministry of Agriculture and Rural Development (MARD) has reported to the government about the signing of documents on transferring 10.3 million tons of CO2 to the World Bank which will bring turnover of VND1.25 trillion.

For the first time Vietnam has sold 10.3 million forestry carbon credits (10.3 million tonnes of carbon dioxide CO₂) this year, bringing in US$51.5 million, according to the Ministry of Agriculture and Rural Development (MARD).

Vietnam is learning from international experiences to develop a carbon market to ensure its appropriateness to the country’s legal framework and infrastructure system.

By late 2022, about 29.4 million carbon credits have been created in the country under CDM and 10 million under GS and VCS.

The domestic carbon credit market will not launch until 2028, yet there is now a huge potential of benefits from a great number of buyers and sellers.

This initiative aims to boost centralisation, transparency, and overall efficiency in managing related transactions, according to Tang The cuong, Head of the Department of Climate Change under the Ministry of Natural Resources and Environment.

Vietnam is expected to collect US$200 million from selling certificates of forest carbon credits.

Vietnam is seeking investment in clean energy as part of its scheme to develop a carbon market to achieve net zero emissions by 2050.

Vietnam will officially run a carbon trade exchange in 2028, according to the draft of a project on the development of a carbon market in Viet Nam conducted by the Ministry of Natural Resources and Environment.

Carbon credits are gaining traction in the agriculture sector as an instrument to promote sustainable farming practices and improve farmer income.

A seminar on opportunities for developing a carbon market in Vietnam took place in Hanoi on April 20.

Many countries are adopting emissions trading systems (ETS) as a means to reduce annual emissions and mitigate climate change. Therefore, Vietnamese companies must understand and actively participate in this market, whether they like it or not.

A meeting was held in Hanoi on June 26 to review the project on support for preparing the readiness to carry out the international framework “Reducing Emissions from Deforestation and Forest Degradation” (REDD+) in Vietnam Phase 2 (FCPF-2).