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Poultry Market Institutions and Livelihoods: Evidence from Viet Nam

Pro-Poor Livestock Policy Initiative: A Living from Livestock









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    Document
    Poultry Supply Chains and Market Failures in Northern Viet Nam
    Pro-Poor Livestock Policy Initiative: A Living from Livestock
    2008
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    Our farm surveys as well as other research in Viet Nam indicate that poultry production is important for the incomes of the rural poor and it is important to recognize that the poor are involved in all stages of the poultry market chain, not just in production. Poultry market channels in northern Viet Nam might be generalized into two or three major avenues: in one small scale farmers produce local chicken and sell to nearby markets or to urban areas through informal channels. In another, medium and large farms sell through formal, regulated channels such as wholesale markets. In a few cases, large companies have built their own slaughterhouses, nearing complete vertical integration. These poultry markets are at a critical juncture. The newer, more formal marketing chains are considered to be easier to regulate, however, if smallholders and / or small-scale traders cannot market local chicken through these channels, they will continue using informal channels due to the high levels of d emand for the local type of chicken in Ha Noi.
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    Brochure, flyer, fact-sheet
    Evidence-based risk management along the livestock production and market chain: Viet Nam 2019
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    Policy change requires support from all levels of stakeholders, starting from the grassroots level to the decision-making authorities. The Food and Agriculture Organization (FAO) and the Emergency Centre for Transboundary Animal Diseases (FAO-ECTAD) are supporting the Department of Livestock Production (DLP) of Viet Nam to improve risk management along the market chain by closely collaborating with all levels of stakeholders. The project is supported by the United States Agency for International Development (USAID) and Australia’s Department of Foreign Affairs and Trade (DFAT). Bac Giang is one of the provinces with the highest poultry population in Viet Nam. However, the biosecurity conditions of hatchery and poultry households are still very poor, contributing to low production efficiency and increasing risk of animal and zoonotic diseases. Although the legislations of Viet Nam regarding auditing on veterinary hygiene conditions are available, they are not suitable for the small-scale production, which is widely popular in Viet Nam. In this context, DLP in collaboration with FAO is implementing the project “Evidence-Based Risk Management along the Livestock Production and Market Chain” in Bac Giang to improve farmers’ and local authorities’ capacity on good husbandry and biosecurity practices and to support registration, auditing and certification system of hatcheries.
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    Strengthening Market Linkages of Smallholder Pig Producers through Informal Contracts in Northern Viet Nam
    Pro-Poor Livestock Policy Initiative: A Living from Livestock
    2007
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    Formal contracts with integrator companies are limited to large-scale pig producers in Viet Nam. There are, however, forms of informal contracts where smaller-scale pig producers establish stable links with their input suppliers or/and output buyers. Traders screen farmers with whom they could potentially engage into contracts. As relations become more established and stable, farmer reputation / reliability, rather than scale of production, becomes the more important consideration. Human and social capital factors of pig producers are found to be significant determinants of participation in contracts. Farmers engaged in informal contracts with cooperatives benefit from contract participation through higher average net returns per unit of output in the case they use ‘mixed breeds’ of pigs. The benefit is not clear cut with respect to the use of exotic breeds.

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