MARKETING OF AGRICULTURAL & FOREST PRODUCTS ASSOCIATED WITH NATURAL RESOURCE MANAGEMENT IN THE UPLANDS OF NGHE AN PROVINCE DURING GLOBAL ECONOMIC INTERGRATION

Nguyen Dinh Tien; Nguyen The Phuong;
Tran Nam Anh; Pham Thi Dung

Vietnam became a formal member of the World Trade Organization (WTO). However, in comparison with other countries in the WTO, the agricultural industry in rural areas of Vietnam still faces difficulties and challenges in selling agricultural products. Vietnam has a number of agricultural products that satisfy demand in domestic and international markets. Nevertheless, the diverse and complex geography of rural areas means local people have difficulties selling their products in domestic and international markets.

In addition to geography, the main reasons for these difficulties are low quality of products, high production costs, low productivity, poor consumption, and unstable prices (Le Thi Kim Ngan, 2001). Moreover, undeveloped domestic markets, especially rural markets, have not developed effective linkages between producers and consumers. This deficiency, as well as the link between natural resources management and trans-boundary market development is still not understood.

Understanding and developing the links between production and export is essential for creating stable and effective markets during the gradual process of world economic integration. However, both these issues have been carried out poorly; especially in the country’s rural agricultural production, as evident by small scale production, low productivity, and unstable quality, which all lead to difficulties in satisfying export requirements (Le Thi Kim Ngan, 2001). In addition, policies in rural areas regarding agricultural production are still insufficient to encourage development (Dinh Van Dan and Nguyen Viet Dang, 2001).

Additionally, suitable measures are required in order to improve living standards of the country’s upland people and to enhance natural forest management, especially in the trans-boundary watershed between Lao PDR and Vietnam.

Upland populations, such as that in Ky Son district, have struggled to keep up with the general economic development of Vietnam. Due to the combination of the rapid economic development and integration of the Vietnamese economy into the world’s economy and the 1993 ban of Vietnamese Government on the opium cultivation once widely practiced, local farmers have struggled to determine which crops and animals bring the most benefits. Though the Vietnamese government carried out numerous, high-priority programs in an attempt to help local people develop their livelihoods, low level of education, and poor infrastructure have led to difficulties in the production and marketing of local products (Jamieson et al., 1998).

Though choosing suitable plants, trees and animals for production is a challenge, marketing these products is of even greater difficulty for local people. The main obstacles to profitable and sustainable agricultural production are low selling prices, a lack of market information, and a high level of dependence on outsiders for the marketing. Moreover, a lack of suitable agricultural land has led to serious environmental degradation due to increasing population pressure on decreasing agricultural land as well as deforestation. This paper aims to improve the marketing ability of upland products in the trans-boundary of the Greater Mekong Sub-Region (GMS) combination to natural resource management.

Research questions

1. What actors take part in markets of agro-forest products in the study area?
2. How are agricultural & forest products marketing in the area? What are material flows across Vietnam-Laos border regarding agro-forestry products?
3. What are the current problems and possibilities for marketing agro-forest products during global market integration?
4. What are the links between natural resources management and the marketing of agro-forestry products and how we can improve them?

OBJECTIVES:

General objective:

To improve the marketing of upland products in the trans-boundary areas of the Great Mekong Sub-Region (GMS)

Specific objectives:

- To evaluate actual household marketing of agricultural & forest products.

- To determine the advantages and disadvantages of current marketing techniques for those products.

- To suggest alternative ways to improve both marketing channels of agro-forestry products and natural resources management

METHODOLOGY:

Data collection:

- Secondary data:

Annual reports of district departments (agricultural and rural development, planning, commercial departments, ect.) and related research reports.

- Primary data:

Interview local farmers, collectors, traders at markets and local authorities via a questionnaire about the marketing and management of agro-forestry products. Data will collected by group interviews, semi-structured interviews, direct observation and cross-checking information with different informants.

Data analysis:

Data analysis is mainly based on the descriptive statistics method (mean, percentage, standard deviation, etc.) to analyze the real level of local production and marketing of agricultural and forest products in the research area. Moreover, we will use the S.W.O.T method (Strengths, Weaknesses, Opportunities and Threats) to determine the advantages and disadvantages in the process of consumption for agricultural and forest products of households in research areas and that process’ impact on natural resources management. The factor analysis method will be used to analysis, determine the agree or disagree idea level relating to marketing of products.

Expected results:

-Identification of actors taking part in the markets of agricultural & forest products

-Reality of marketing channels for consuming agricultural and forest products

- Advantages and disadvantages of marketing channels of agricultural & forest products- Factors affecting the selling of agricultural and forest products at the household level (infrastructure, market information, policies, etc)

-Factors constraining household ability to market agricultural and forest products.

- Contributions of natural resources management strategies through orientation and recommendations for local farmers, authorities, and policy makers to improve the marketing ability for agricultural & forest products there.

Dinh Van Dan, and Nguyen Viet Dang. 2001. Development markets – marketing channel for agricultural products under industrialization, modernization and global economic integration, Hanoi University of Agriculture

Jamieson, N. L., Le Trong Cuc, and A. Terry Ramboo. 1998. The development crisis in vietnam's mountains. East-West Center Special Report No 6, Honolulu.

Le Thi Kim Ngan. 2001. Some recommendations to promote marketing agricultural products in rural areas aim to increase purchasing power. Ministry of Trading: 20.

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