Da Nang City Leads in Shaping Ngoc Linh Ginseng Value Chain

Da Nang City is playing a pivotal role in shaping the value chain of Ngoc Linh ginseng, a precious endemic medicinal plant of Vietnam. As a hub for logistics, scientific and technological applications, and international cooperation, the city is actively pursuing strategies to protect the brand of Ngoc Linh ginseng in the international market and enhance its competitiveness. Ngoc Linh ginseng, known for its potent medicinal properties, was once on the brink of extinction in the wild. However, conservation and cultivation efforts since the 1980s have led to its resurgence, with approximately 3,700 hectares now cultivated across Vietnam. Da Nang alone cultivates about 1,500 hectares and preserves 300,000 original seedlings. On June 1, 2023, the Vietnamese Prime Minister approved the "Vietnam Ginseng Development Program" with targets set for 2030 and 2045. The program aims to expand cultivation areas to about 21,000 hectares by 2030, with all growing regions to be assigned codes and geographical indications. It also seeks to establish raw material production zones meeting WHO's GACP standards and develop advanced processing industries, transforming Vietnamese ginseng into a high-value, internationally competitive sector. Da Nang is attracting investment from major corporations like Thaco and CT Group, while also developing mechanisms and policies for the development of Ngoc Linh ginseng and other medicinal plants. This proactive approach makes the target of developing about 8,400 hectares by 2030 feasible, promising significant contributions to local economic development, the preservation of rare genetic resources, and the promotion of ecotourism. Experts emphasize that the formation of the Ngoc Linh ginseng value chain requires close collaboration among the state, scientists, businesses, and farmers, with technology and regional linkages acting as key drivers. Drawing lessons from South Korea's success, Vietnam needs to integrate traditional knowledge, scientific research, cultivation techniques, quality control, and market expansion. Currently, a digital traceability system is being implemented to manage cultivation data, prevent counterfeiting, and enhance product control before market release. Further developments include integrating DNA analysis and AI into inspection systems. Da Nang's City People's Council has adopted a resolution to incentivize the conservation and development of Ngoc Linh ginseng and other medicinal plants for the period 2026-2030, allocating over VND 136 billion. The Center for Ngoc Linh Ginseng and Medicinal Plant Development, under the city's Department of Agriculture and Rural Development, will manage over 50 hectares of natural forest in Tra Linh commune to conserve and develop the original genetic resources of Ngoc Linh ginseng. Source: Nhan Dan