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Short food supply chain model set for success in Vietnam

A new research by the Konrad Adenauer Stiftung and Institute for European Studies shows that the short food supply chain (SFSC) model, although newly implemented in Vietnam, has had promising results.
Short food supply chain model set for success in Vietnam ảnh 1An overview of the seminar. (Photo: IFS/KAS)
Hanoi (VNS/VNA) - A new research by the Konrad Adenauer Stiftung andInstitute for European Studies shows that the short food supplychain (SFSC) model, although newly implemented in Vietnam, has hadpromising results.

Theresearch was published at a recent seminar, with attendance from Vu ThiThu Phuong, Programme Director, KAS Vietnam; Dang Minh Duc, Deputy Director ofthe Institute for European Studies; Nguyen An Ha, former Director of theInstitute for European Studies; as well as representatives from the Ministry ofCommerce, the Vietnam Farmer's Union, universities and businesses.

Shortfood supply chain (SFSC), is a term for a system which involves a directrelationship between the producer and the consumer, including but notlimited to in-farm stores and farmers' markets.

SFSCis considered a more sustainable supply chain for agricultural products. Someexamples of successful SFSCs can be seen in Europe such asItaly's Campana Amica with more than 10,000 direct stores, and France'sPays de la Loire and Le Gout d'Ici.

SFSCshortens the time and decreases intermediaries between producers and consumers,so that consumers can benefit from better and cheaper products, and farmers canbetter diversify and aim towards greener production and a more stable revenuemodel.

Governments canalso benefit from SFSCs as a better tool in developing agriculture,and creating sustainable livelihoods for the farmers.

"SFSCs,however, have a whole new definition in Vietnam and have not garneredenough attention," said Dang Minh Duc, Deputy Director of theInstitute for European Studies.

Vietnamcurrently has no policies that encourage the development of a sustainable SFSC.Also, as SFSCs focus on the relationship between farmers and businesses,such relationships in Vietnam are still weak.

Farmersand businesses are limited in accessing knowledge involving safetyprotocols and quality assurance, therefore cannot be eligible for EU standards.

Agriculturesupply chains in Vietnam are defined through government decrees such as the"National target programme on new-style countryside building during2016-2020," which gave farmers better working conditions andbetter distribution of agricultural products. However, these policies arenot designed specifically for the development of SFSCs, nor do theyencourage them.

Thefact that SFSCs are mostly ignored is incomprehensible, since Vietnam has thenecessary resources, both naturally and artificially, to further progress theagriculture sector, as research groups have concluded.

Suchresearch was conducted in Son La province which is well-known for itsvariety of fruit, such as mangos, oranges, tangerines and plums. These fruitsare planted in great numbers across the province, with 181 production unitcodes (PUCs) eligible for export, totalling 4,670 hectares.

Atotal of 130 PUCs of longan fruits, mangos, bananas and papayas will beexported to China, whereas 51 PUCs of longan fruits, mangos, plums and avocadosare aimed at US and Australian markets.

Althoughinitial successes were recorded, such as with Son La's passion fruitspassing EVFTA requirements and being available in Frenchsupermarkets, other fruit products are not so lucky.

Mostof the northern province's fruits are only eligible for VietGAP standards, butnot GlobalGAP - the quality standard for European agricultural exports.

"Twenty-one percent of farmers admitted that they used pesticides, but this number is on thedecrease, as farmers are looking into alternatives such as organicfertilisers," said Dr. Bui Viet Hung of the IES.

Manyof the seminar's private sector delegates share an eagerness to applySơn La's model to their businesses. Researchers and agricultural entrepreneursshare the consensus that government agencies should take a look at theirpolicies, especially in developing SFSCs with the goal of eligibility for theEuropean Union's rigorous quality standards./.
VNA

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