In the early days of August 2025, the coastal commune of Vinh Hau in Ca Mau province is abuzz with activity, offering a compelling snapshot of Vietnam’s evolving collective economy. Stretching over 232 square kilometers and home to nearly 42,000 people, Vinh Hau stands out as a microcosm of innovation and resilience, where modern technology, renewable energy, and community-driven cooperatives are reshaping livelihoods and the local landscape.
Perhaps most striking to visitors are the offshore wind farms—fields of turbines rising from the sea, their blades spinning steadily against the horizon. According to local reports, Vinh Hau currently hosts the province’s highest concentration of offshore wind power projects, boasting 69 turbines with a combined capacity of 270 megawatts. This ambitious embrace of clean energy is not just for show. The two flagship projects, Hoa Binh 1 and Hoa Binh 2, developed by Phuong Anh Company, represent a total investment of more than 5,200 billion VND. The second phase of Hoa Binh 1 alone shares infrastructure with its predecessor, maximizing land efficiency and minimizing environmental impact across a combined area of nearly 2,054 hectares of sea and shoreline.
Each year, these two wind plants generate over 400 million kilowatt-hours of electricity, with estimated revenues topping 800 billion VND. As Mr. Hoang Cuong, a project representative, explained to local media, “The goal is to operate wind power plants that supply clean energy to the national grid through long-term contracts with the Vietnam Electricity Group, supplementing national energy security, reducing pollution, and supporting local economic growth.” But the vision doesn’t stop at electricity. These projects also integrate aquaculture, forestry, and tourism—leveraging the region’s natural assets to foster sustainable development and create new opportunities for the community.
Vinh Hau is also a powerhouse in high-tech shrimp farming, commanding the largest area in Ca Mau province with 14,966 hectares dedicated to advanced aquaculture. Alongside shrimp, the commune supports oyster and blood clam farming, further diversifying local income streams. And the momentum continues: ongoing and planned projects include a new fish harbor and the Bac Lieu LNG power plant, a foreign investment effort valued at over $4 billion that is being fast-tracked despite logistical hurdles.
Yet, beneath the surface of these headline-grabbing projects, it’s the quiet revolution in collective economic models that’s truly transforming lives. On August 13, 2025, the national forum “Electronic Cooperatives – Specific Implementation of Resolution 57/NQ-TW of the Central Committee” convened in Hanoi, drawing attention to the crucial role of cooperatives in Vietnam’s economic fabric. As Nguyen Bao Son, Deputy Head of the Propaganda Department of the Vietnam Cooperative Alliance, told participants, “The collective economy has gradually transformed by applying technology in activities such as trade promotion, supply-demand connection, and member support.”
Nationwide, nearly 35,000 cooperatives are now active, supported by 141 cooperative unions. Agricultural cooperatives comprise a robust 66.5% of the total, with more than 23,182 units, while non-agricultural cooperatives number over 10,486. Together, these organizations provide jobs for 1.65 million Vietnamese workers. The adoption of high technology by cooperatives has reached an impressive 60-65%, resulting in production cost reductions of 15-20% and profit increases of 15-28%, according to recent statistics shared at the forum.
However, not all is smooth sailing. A 2024 survey of 200 cooperatives across five provinces revealed persistent challenges: 68.2% struggle with financial constraints due to high investment costs; 63.6% lack adequate technological infrastructure; 50% operate without clear strategic plans; and 47.5% face difficulties accessing government support. Even more striking, 86.5% of surveyed cooperatives are using unsuitable software and lack robust internal management systems—a problem especially acute in ethnic minority and mountainous regions. Human resources remain a significant bottleneck, with many cooperatives reporting low digital readiness due to an aging workforce and a shortage of young, tech-savvy members. The high cost of technology operations only compounds these issues.
It’s no surprise, then, that a majority of cooperatives are seeking help: 79.5% want financial support for technology infrastructure, 75% need new equipment, and another 75% are eager for technology skills training to keep pace with market demands. The forum’s experts proposed a bold solution: the creation of “electronic cooperatives”—digital platforms that allow multiple cooperatives to share technology, resources, and services. Nguyen Van Khuong, Director of the Institute of Educational Science and Environment, advocated for this model, suggesting that it could help small, resource-constrained cooperatives and independent business households access legal representation, credit, and digital services through a shared “super app” platform. Such a move, he argued, would not only streamline operations but also foster greater transparency, safety, and efficiency in the sector.
The potential impact of this digital transformation is significant. If implemented effectively, electronic cooperatives could address many of the current limitations, maximize the opportunities of digitalization, and boost the competitiveness of Vietnam’s collective economy in the digital age. Still, as Phan Duc Hieu, a permanent member of the Economic and Financial Committee, cautioned, “It’s vital to clarify whether the model aims for digitizing activities or creating fully digital cooperatives, and to review current policies to remove barriers.” He recommended piloting the model with a specific cooperative to provide real-world evidence and inform broader policy development.
Back in Vinh Hau, the impact of collective economic models is already visible. The Dong Tien Cooperative in neighboring Vinh Thinh commune has grown from just 22 members in 2006 to 552 today, each contributing capital between 5 and 200 million VND. With a charter capital of nearly 6 billion VND, Dong Tien has become a lifeline for hundreds of poor households, particularly among the Khmer ethnic minority. Mr. Huynh Mung Em, Chairman and Director of Dong Tien, reflected on the transformation: “Previously, many families here had no stable jobs, no land, and lived in makeshift homes, relying on foraging for shellfish. The cooperative has become a ‘golden shelter’—helping people build stable livelihoods and escape poverty.”
Vinh Hau’s story is one of determination in the face of adversity. As local Party Secretary Truong Thanh Nha affirmed on August 13, 2025, “Despite difficulties in infrastructure, personnel, and equipment, we have worked hard to ensure stable operations and meet the needs of our residents.” The path ahead will require continued innovation and support, but the seeds of change—whether in the hum of wind turbines, the shimmer of shrimp ponds, or the quiet solidarity of cooperative members—are already taking root along Vietnam’s southern coast.
