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Experience in Development of Value Chains in Northern Uplands of Vietnam

IFAD Vietnam Team. Experience in Development of Value Chains in Northern Uplands of Vietnam. IFAD in Vietnam.

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Experience in Development of Value Chains in Northern Uplands of Vietnam

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  1. IFAD Vietnam Team Experience in Development of Value Chains in Northern Uplands of Vietnam

  2. IFAD in Vietnam • 9 on-going projects include: (i) the Rural Income Diversification Project (RIDP) in Tuyen Quang; (ii) the Decentralized Program for Rural Poverty Reduction (DPRPR) in Ha Giang and Quang Binh; and (iii) the Program for Improving Market Participation of the Poor Program (PIMPP) in Ha Tinh and Tra Vinh and (iv) the Developing Business with the Rural Poor Programme in Cao Bang and Ben Tre provinces (v) the Business Development with Rural Poor Project in Bac Kan Province. • 5 of the 9 projects support for markets development using value chain approach

  3. Sustainable Poverty Reduction Institutions New IFAD Approach Capacity Building Private Sector Markets for the Poor

  4. COSOP 2008 -12Strategic Objectives • SO1: Private and public sector increase investment in upland areas linking rural poor households to markets • SO2: Poorest and vulnerable households access productive safety nets and respond to profitable business opportunities • SO3: Upland poor communities adopt sustainable natural resource management practices and rewarded with payments for environmental services • SO4: Provincial institutions’ enhanced capacity to implement pro-poor, market driven, agricultural policies based on participatory multi-stakeholder processes

  5. Cao Bằng Developing Business With Rural Poor Project in Cao Bang Province Experience in Assisting Poor Farmers to Raise Hmong Cows and Link with Supermarkets in Hanoi

  6. 5% Local slaughter 10% Production farmers 80% Collectors Production & Consumption in Cao Bang 5% 20% Local collectors 70% 10% Small traders 40% Slaughter outside Hanoi 60% 15% Supermarkets Slaughtery in Hanoi 10% Traders to the South 5% Restaurant/hotel Consumption outside Cao Bang 70% 10% Supermarketsị Whosale agents 20% Hotel/restaurant 70% Shop sellers Consumers Cattle value chain

  7. Hà Giang China Chợ Nà Giàng Bảo Lâm ĐÔNG ANH Bắc Kạn Lạng Sơn MAI ĐỘNG 40% of beef consumed in Hanoi came from Cao Bang, however 50% of them Imported from China 8/2007 Thái Nguyên

  8. Activities under Developing Business With Rural Poor Project in Cao Bang Province • Value chain studies including the beef value chain • Set up work plans for improvement of institutions and policies enabling markets linkages • Call for private sector investment to the value chain • Develop trademark & markets for commodities • Assist the poor farmers in techniques and credits for increased production • Establish Common Interest Groups

  9. Establishment of CIGs

  10. Planting forage for cattles

  11. Linking CIGs with Markets

  12. Come and Taste Beef at the Big C on 25 April 2009

  13. Bulletin number 9 of Big C in May 2009

  14. AT Big C

  15. REPORT ON INVESTIGATION RESULTS OF SHAN TUYET TEA VALUE CHAIN IN HA GIANG Implemented by: Ha GiangDPPR With consultation of CASR&D

  16. Status of Shan Tuyet Tea Value Chain in Ha Giang • Production: • Provincial level:In 2007, tea cultivated area was 15.064 ha; fresh tea leave productivity was 32,5 quintal/ha/year. In 2009, tea cultivated area was 17.332 ha. Tea leave productivity was 35,4 quintal/ha/year. Expected tea leave yield is 47.000 ton. Tea is planted in Vi Xuyen, Hoang Su Phi, Xin Man, Bac Quang, Quang Binh district…. • Quang Binh district: Tea cultivated area is 1896,6 ha. • Xuan Minh commune: Tea cultivated area is 375 ha. • Processing: At present, Ha Giang has 1 joint-stock company, 12 enterprises, 23 co-operatives and nearly 536 households trading and processing tea. • Consumer markets are: China, India, England, Russia, and domestic markets

  17. Shan Tea

  18. Tea Production

  19. Notes: Processing area: Purchasing unit: Processing unit: Geographical location of agents

  20. Input 5% Households cultivating tea 50% 20% 95% 30% Small processing unit Small purchasing unit 25% Intermediary purchasing unit 20% 75% 80% 13% Big purchasing unit Processing company 73% 80% 14% Export 20% Domestic Consumption :Fresh tea : Semi-finished tea : Processed tea Notes Diagram of Ha Giang Shan Tuyet Tea Value Chain

  21. Production Process Consumption Purchase Specific input Not participate - Planting, taking care, harvest - Labour - Loading and unloading - Packaging - Transport - Gathering tea - Hiring labour - A little - Loading and unloading Participatory of the poor in the value chain .  The poor mainly participate in production process (reaching 100% of households) without pre-processing and poor harvesting techniques  Low income

  22. Training on harvesting techniquesto Tea CIG members

  23. Tea Mini Pre-Processing Machine

  24. Project: Build up tea hatcheries

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