Vegetable demand in Vietnam has diversified as more produce is processed, frozen, and exported. However, labor productivity is low, and it is necessary to enhance productivity and introduce cost-reduction measures.

To meet such requirements, microclimate control systems using smart technologies such as the IoT and data analysis are suitable solutions. The Asian Productivity Organization (APO) and the Vietnam National Productivity Institute (VNPI) developed a demonstration farm on greenhouse horticulture with a Japanese microclimate control system in Da Lat, a city located in the Central Highlands region of Vietnam, under a cash grant from the Ministry of Agriculture, Forestry and Fisheries (MAFF), Japan.

This project aims to demonstrate microclimate control systems used by Japanese greenhouses and help farmers in Vietnam utilize the systems to promote labor productivity and sustainability in vegetable production. In addition, it will showcase successes of the demonstration farm to other members and promote agricultural transformation in APO members through the adoption of smart technology applications.

The project has been divided into three parts: establish the demonstration farm, including the installation of equipment, in a member economy; conduct an observational study mission to Japan; and hold a workshop to disseminate the know-how and successes.

Establishment of the Demonstration Farm

The farm in Da Lat was selected as the demonstration farm in 2022 based on a review process conducted by MAFF officials, the APO Secretariat, and a technical expert appointed by MAFF, following the evaluation of several proposals submitted by APO member economies.

The First Observational Study Mission to Japan

The first study mission was conducted from 8 to 10 February 2023, and participants from the demonstration farm and the VNPI learned about and observed best practices before installing microclimate control systems.

The first observational study mission to Japan, 8–10 February 2023.

The First Installation of Equipment at the Demonstration Farm

The APO and the VNPI started the establishment of the demonstration farm from 14 to 15 March 2024. This project activity was facilitated by a resource person from Japan from the microclimate control system supplier, SERAKU Company Limited. During this time, a microclimate control system was installed in one greenhouse of the farm in Da Lat, the farm staff were guided on using the system, and additional systems for future production were considered.

The Second Observational Study Mission to Japan

Seven months after the installation, the APO implemented the second study mission on the improvement of productivity in greenhouse vegetable production in Tokyo, Tochigi, and Fukushima, Japan, 16–18 October 2024. This was attended by participants from the demonstration farm, the VNPI, and a local business association. This mission consisted of lectures and site visits facilitated by three resource persons from Japan, including one from SERAKU, to help participants maximize the use of microclimate control systems and understand additional greenhouse systems through observing the equipment installed in the sites.

Thanks to the assistance of the resource person and the enthusiastic participation of farm staff, the project had already achieved positive results in the productivity of the demonstration farm at the time of the second study mission. The demonstration farm reported that the yield had risen by 15% since the installation of the equipment seven months prior. During the mission, the participants learned more about the meaning of the data measured by the equipment and considered the next steps for further enhancing productivity through site visits and lectures and discussions with resource persons.

The second observational study mission to Japan, 16–18 October 2024.

The Second Installation of Equipment at the Demonstration Farm

Following the second study mission, the equipment for the second installation was decided through continuous communication between the farm, SERAKU, and the APO. This equipment included a remote control system. The second installation at the demonstration farm in Da Lat was conducted with the support of the resource person from SERAKU Company Limited on 29–30 May 2025.

The second installation of equipment at the demonstration farm, 29–30 May 2025.

At the time of the second installation, the yield of the greenhouse had increased by more than 22% since the first equipment installation, and labor input per yield had reduced by 19%, meaning that both key performance indicator targets were achieved (increasing yield by 20% and reducing labor input by 10%). The second equipment installation was successfully completed, and the demonstration farm will monitor the results for at least six months to measure the equipment’s effectiveness. Although this project has already achieved the target output, further improvement is expected due to the second equipment installation.

Workshop for All Members

The dissemination workshop is scheduled to be implemented for APO member economies in early 2026. The workshop will be held in Da Lat, and participants from member economies will be able to observe the demonstration farm. It is hoped that this project’s success will affect other economies in the future.