(HBO) - The economic structure of Tan Lac district’s Phong Phu is shifting in a positive direction in line with the orientation set by the district People's Committee. In 2020, the trade and service sector accounted for 50.58 percent of the local economy and its production value hit 279.168 billion VND (12.14 million USD). The figures for agro-forestry-fishery were 39.88 percent and 197.658 billion VND, and industry-handicraft 9.54 percent and 22.44 billion VND.


The trade and service sector has contributed to raising incomes for people in Phong Phu’s Muong Lo hamlet. 

Phong Phu has various advantages for trade and service development. The Highway 6 runs through its center, making it convenient for trade and goods transportation. The local Lo market is the trading center of Trung Hoa, Nhan My, and Quyet Chien communes. Phong Phu also houses a community-based tourism site in Luy Ai hamlet, which attracts domestic and international visitors. 

Official statistics show that the commune has some 600 – 700 household businesses, mostly selling consumer goods, agricultural supplies, and construction materials. It also houses three enterprises, one cooperative, and 15 industry-handicraft production facilities. The local trade and services sector has grown quickly in both scale and quality, helping form civilized and modern buying and selling habits among rural residents. On a monthly basis, a household business offering services reels in an average income of 20 – 25 million VND (870-1,087 USD).

Cao Ba Chinh, Chairman of the Phong Phu People’s Committee, said to boost trade and service, the local authorities have mobilised resources to invest in improving the commune’s infrastructure, including roads between Phong Phu and neighbouring localities and the Lo market. Facilitating business activities, ensuring security and order, encouraging the participation in campaigns promoting the consumption of made-in-Vietnam products, and actively expanding distribution markets for local goods are also necessary, he added. 

Phong Phu is striving to become a town by 2024, Chinh affirmed, stressing that turning trade and service into a spearheaded sector of the commune is key to realising such goal.

Related Topics


Hoa Binh fast-tracks new-style countryside development with strong base

Once a mountainous province facing many challenges, Hoa Binh has, after more than a decade of implementing the national target programme on new-style rural area development, emerged as a bright spot in Vietnam’s northern midland and mountainous region. In the first quarter of 2025, the province recorded positive results, paving the way for Hoa Binh to enter a phase of accelerated growth with a proactive and confident mindset.

High tech seen as key to sustainable farming in Hoa Binh

Hoa Binh province is steadily advancing its agricultural sector through the adoption of high-tech solutions, seen as a sustainable path for long-term development.

Hoa Binh reviews progress on key provincial projects

The steering committee for key projects of Hoa Binh province convened on May 14 to assess the progress of major ongoing developments

Hoa Binh attends "Meet Korea 2025" event

A delegation of Hoa Binh province has attended the "Meet Korea 2025" event, recently held by the Ministry of Foreign Affairs, the Embassy of the Republic of Korea (RoK) in Vietnam, the Korea Trade-Investment Promotion Agency, and the People's Committee of Hung Yen province.

Hoa Binh revives local heritage through OCOP programme

Hoa Binh province joined Vietnam’s national "One Commune, One Product” (OCOP) programme in 2019, not simply as a mountainous region following central policy, but with a clear vision to revive the cultural and agricultural values in its villages and crops.

OCOP Hoa Binh: Awakening local excellence - Journey from tradition to market

From just 16 certified products in its inaugural year to 158 by early 2025, the One Commune One Product (OCOP) programme in Hoa Binh province has followed a steady and strategic path. But beyond the numbers, it has reawakened local heritage, turning oranges, bamboo shoots, brocade, and herbal remedies into branded, market-ready goods - and, more profoundly, transformed how local communities value and present their own cultural identity.