Vietnam Report Prepared by Vietnamese participants.

Vietnam Report

Prepared by Vietnamese participants

Rice - Mekong River Delta +Red River Delta

Coffee - Central Highlands

Rubber- Central Highlands +South Central Coast

Pepper - Central Highlands +South Central Coast+

Phu Quoc Island

Sea food- North Central

and South Coast

Exporting main agricultural products in 2009

5,958,000

1,200,000 1,183,000731,000

134,000 177,000

2,663

4,251

1,730

1,227

348

847

-

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

Rice Seafood Coffee Rubber Pepper Cashew nut

Products

-

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

Vollume

Volume (ton)

Value (Million USD)

Value Chain of Pomelo Production

in Vinh Long Province

Introduction of VINH LONG Province

• Vinh Long Province, which locates in the Mekong

River Delta, is 135km far away from Ho Chi Minh City

• For the long time, pomelo in Vinh Long, such as

Nam Roi and Da Xanh, has been known as special

product in Mekong River Delta as well as in whole

Vietnam.

The diagram of value chain of pomelo in Vinh Long Province

Farmers/ Cooperatives

Small collectors

Big collectors

Retailers/ Super

market

Wholesalers

Retailers

Consumers

Export (EU, HongKong, China, US)

10%

5%

90 %

85-90 % Domestic consumption

5-10% export

32-33%

50%

7%

10%

57%

43%

Small collectors

Big collectors

Private companies/Processing companies

- Farmers Cooperatives

Wholesalers RetailersExporters

Consumers

State agencies

International Organizations

Interventions• Vinh Long’s People’s Committee has many

supporting policies for pomelo production such as taxes reduction, investment in irrigation, seed supplying, technologies, etc.

• The People’s Committee also has plan to protect the trademark of pomelo of Vinh Long

• The DARD of Vinh Long provide good seed and techniques of pomelo production to farmers through training courses.

• The DPI funded for participating in domestic and international fruit fairs.

Problems

• Most the impacts of local government focused mainly on farmers (producers). There is a lack of effects of local government on collectors, and especially on consumers.

• The high cost price in pomelo production leads to high price of Vinh Long’s pomelo compared to other regions.

• A lack of completed system that provides market information, especially exporting market to the the other actors in the value chain.

• The difficulties in pomelo production in Vinh Long such as production technology, pomelo-growing area project, etc.

Opportunities:• Pomelo production is paid attention by

local authorities and other institutions.

• The linkage between pomelo producers (planters) and processors in Mekong River Delta is in good condition to develop pomelo production in Vinh Long as well as in whole region.

Opportunities:• The MPI established the fruits and

vegetables’ value chain program in order to improve the linkage between producers and other actors (wholesalers, collectors, etc.).

Opportunities:

• The demand of fresh pomelo and processed products (pomelo juice) has increased in recent years.

• The DARD and The Commerce Department has issued policies which protect the trademark of Vinh Long pomelo.

Challenges:• Pomelo production is still scattered.

Therefore, the local government and institutions have great difficulties planning of pomelo-growing area and managing of pomelo quality.

• The expansion of industrial parks in rural areas is a cause of reducing pomelo-growing area in the region.

• The scattered growing area in pomelo production causes high price of pomelo in market.

Challenges:

• In domestic market, the pomelo of Vinh Long has to compete with others such as Doan Hung, Phuc Trach …

• In international market, it competes with pomelo’s from other countries, especially from Thailand and China.

References:

• GTZ and SME Development and MPI, http://sme-gtz.org.vn, viewed 12 Sept. 2010

• MARD, 2009, Synthesized data from DARD of provinces