Vietnam’s backers say the sky’s the limit, even as start-ups shiver through ‘winter of funding’

With one of the most vibrant start-up ecosystems and fastest-growing economies in Southeast Asia, Vietnam is poised to climb the global value chain

Returning overseas Vietnamese and an abundance of hungry, young talent are driving its upwards trajectory – but its time in the sun may not last

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High-rise building along the Saigon River in Ho Chi Minh City, Vietnam. The country’s future success hinges on the creation of a digital economy that can provide millions of jobs. Photo: Xinhua

Published: 9:30am, 30 Mar 2024Updated: 5:40pm, 2 Apr 2024

Vietnam may have one of Southeast Asia’s fastest-growing economies, but distiller Daniel Hoai Nguyen opted for a slower route to success.

Hunting for the perfect rose myrtle berries, he immersed himself in the horticultural and foraging traditions of the hill-tribe communities of the country’s Northern Highlands.

The result was Vietnam’s first craft gin, Song Cai, aimed in part at an increasingly experimental and affluent domestic market.

Daniel Hoai Nguyen (right) inspects rose myrtle berries for Song Cai gin in Vietnam’s Northern Highlands. Photo: Handout

Home-grown produce and talent, as well as a thriving economy that’s forecast to record 6 per cent growth this year, made Vietnam ripe for his epicurean endeavour, California-born Daniel says.

And the nation now has a “golden opportunity” to climb up the global economic value chain, he says, as both a manufacturing hub and a magnet for venture capital seeking promising start-ups.

But its moment in the sun may not last long.

“Vietnam’s advantage is a quickly growing economy. Our labour costs are relatively cheaper. But these competitive advantages are not long term,” Daniel told This Week in Asia.

Vietnam’s backers say the sky’s the limit, even as start-ups shiver through ‘winter of funding’

With one of the most vibrant start-up ecosystems and fastest-growing economies in Southeast Asia, Vietnam is poised to climb the global value chain Returning overseas Vietnamese and an abundance of hungry, young talent are driving its upwards trajectory – but its time in the sun may not last

With one of the most vibrant start-up ecosystems and fastest-growing economies in Southeast Asia, Vietnam is poised to climb the global value chain

Returning overseas Vietnamese and an abundance of hungry, young talent are driving its upwards trajectory – but its time in the sun may not last