Market value chain research: Case study in Nghia Trung commune, Bu Dang district, Binh Phuoc province, Vietnam
T.L. Le; T.K.L. Duong; D.T. Ha
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SANREM CRSP, Virginia Polytechnic Institute and State University
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Abstract: Using participatory approach in focus group discussions, in-depth interviews and weighted scoring method, the study aims to identify the most profitable and marketable crops in pursuit of achieving the greatest opportunity for market-driven development from existing farming systems, marketing constraints, strategies and interventions to improve the SSFWM’s market access in Nghia Trung.
The perennial crops are highly appreciated compared to annual ones. The first three appreciated perennial plants are cashew, rubber and durian; pepper and coffee are observed in the second rank in Nghia Trung. As a newly-cultivated plant, cacao appraisal has become vague to informants. Concerning market accessibility and growth potential, income generation, cashew, rubber, cassava and durian are highly appraised whereas rambutan, coffee and vegetable are marketably revealed difficult. Key informants have almost appraised Nghia Trung’s comparative advantages to cashew, rubber, pepper, durian and cassava. Together with cashew, the benefit to target group criterion is also found favorable for the case of cassava, vegetable.
Under many aspects including market accessibility and growth potential, market performance, income generation and farming conditions, five diversified crops are critically appraised to identify the most profitable and marketable crops. Durian and bamboo shoot have appeared the most profitable with the increasing market demand in the whole country and exportation. However, they have currently dealt with some detriments concerning low technology, water shortage and heavy investment in durian only. Though having stable and local market demand growth, cassava has revealed low financial incentive and gradually decreasing comparative advantages in term of land availability. Rambutan and vegetables are observed behind the three above-mentioned crops. Being commercially grown under the investment in both safe and quality production, vegetables promisingly gain the local demand with stable and sufficient supply.
Low use of technology, weak extensional activities, inadequate supply of production inputs, poor marketing infrastructure and weak market linkage and post-harvest performance are all detriments to the development of agricultural market in Nghia Trung. Thus, there should be more strategic and supportive operations from the GoV, input and output companies, government conducive to farmers’ participation and their benefit as a result. Support on techniques and market price information are the most households’ necessities. More efficient supply of input factors, extensional activities, irrigation and marketing infrastructure are all demanded. For market efficiency enhancement, the market linkage creation is found efficient link between the government’s support, processing enterprises’ guarantee and farmers’ production investment.