The journey from Nghe An fields to the TH True Milk brand

DNHN - The 15-year journey of building and developing the TH true MILK fresh milk project, led by TH Milk Food Joint Stock Company (THMF, part of TH Group), began in a harsh land once thought "impossible" for dairy farming.

Today, THMF has become a model for high-tech agricultural development following green and circular economy principles, bringing significant changes to both the agriculture and dairy farming sectors.

An "unimaginable" project that succeeded!

Recalling the early days of the high-tech dairy farming and processing project, Mr. Nguyen Xuan Duong (former Director of the Department of Livestock Production - Ministry of Agriculture and Rural Development, President of the Vietnam Livestock Association) noted that in 2008, many, including renowned livestock experts and officials, were skeptical of the project. They believed that dairy farming in Nghia Dan, Nghe An—a dry, sun-baked land—was a risky venture.

The TH true MILK project, spearheaded by THMF, initiated a revolution in fresh milk production in Vietnam. At the end of 2008, when Mr. Duong accompanied Deputy Prime Minister Nguyen Cong tan on a field visit to the TH dairy project, the land was still a plowed mess. Mrs. Thai Huong, founder of TH Group, passionately shared her aspirations for Vietnam's dairy farming sector with the Deputy Prime Minister. When he said that Vietnam needed a "river of milk," the businesswoman, later honored as a Labor Hero during the renewal period, confidently stated that "TH will create a 'milk field' in Nghia Dan."

With a foundation of sustainable development, THMF has adopted 4.0 technology and the world's leading end-to-end technologies for the project. Top experts from leading dairy farming nations were invited to work directly and provide technical guidance. The farm also imported the best purebred high-yield dairy cows (Holstein Friesian) from the U.S. and New Zealand.

And THMF succeeded!

"To achieve today's success, aside from the investor's determination and aspirations, the key factors were the high-tech application in farming, advanced processing and management, and the selection of top-tier global partners who invested in technology from the start," remarked Mr. Nguyen Xuan Duong.

Dr. Dang Kim Son, former Director of the Strategy Institute, Ministry of Agriculture and Rural Development, explained that this success stemmed from several factors. Firstly, the quality of the dairy herd. THMF imported purebred dairy cows, built standard barns with a visionary design, and applied advanced Israeli technical processes in farming, managing, and caring for the herd. They also established a comprehensive processing system to produce fresh milk. Additionally, their management mindset, organizational structure, and scientific application contributed to the company's success.

In 2011, during a visit, President of Israel at that time, Shimon Peres praised the TH true MILK project as "having initiated a revolution in fresh milk in Vietnam."

Revolutionizing the dairy industry for public health

Dr. Dang Kim Son noted that when THMF began its project, Vietnam had about 500 different milk brands, but it was unclear which were reconstituted milk (re-powdered milk) and which were fresh milk, with most being reconstituted milk. At that time, reconstituted milk accounted for 92% of the liquid milk market. Dairy farming was fragmented and outdated.

In this context, the success of the TH dairy project significantly impacted the essence of the dairy industry. With large-scale dairy farming and fresh milk processing in Vietnam, the "true MILK" brand—clean and genuine fresh milk—gained a competitive edge in the market. TH true MILK's success also pushed other dairy companies to compete in quality, leading to a rise in fresh milk products from 8% in 2008 to about 55% in 2022.

As of December 2022, the project owned a herd of nearly 70,000 cows, with TH true MILK products holding about 45% of the fresh milk market share in urban Vietnam.

Not only did TH true MILK revolutionize Vietnam's dairy industry, but it also gained approval from the world's most stringent food standards markets, such as China. The journey of this national brand's global reach is further solidified by a $2.7 billion dairy farming project in Russia.

Sustainable development foundation

With the motto "Respect Mother Nature" ingrained in all TH Group units, THMF has pursued a sustainable development path from its inception, despite its high costs. THMF employs leading modern technologies and a closed-loop process: installing solar panels on farm and factory roofs for clean energy, building an international standard organic fertilizer plant from dairy farm waste, and treating wastewater—all aimed at sustainable development through a closed-loop, circular process.

This development approach aligns with global climate change adaptation efforts and ensures no one is left behind.

"We have continuously sought solutions for sustainable development and practiced the green, circular economy model," affirmed Mr. Tal Cohen, CEO of THMF.

Former Minister of Agriculture and Rural Development Nguyen Xuan Cuong commended TH for its contributions to sustainable development, promoting the circular economy, a key solution for agricultural and overall economic growth in Vietnam.

Quynh Anh