Value chain development in Vietnam: a look at approaches used and options for improved impact
Despite the widespread use of value chain development (VCD) approaches to poverty reduction, there has been limited debate on how VCD is implemented in the field, from the approaches, methods, and tools used, to the investments and partnerships made. The article presents five case studies: tea, dairy, horticulture, cinnamon, and fish in Vietnam. For each case, we conducted interviews with development agencies, producer organizations, and principal buyers. The cases examined how VCD interventions were designed, the role of different stakeholders in the implementation process, and the challenges faced by practitioners and chain actors to achieve impact at scale. Results suggest that VCD interventions tended to focus on supporting smallholder participation in high-value, fast-growing markets, but based on a narrow set of activities, mainly around upgrading smallholder production capacities and establishing producer associations. Overall, collaboration with downstream buyers and service providers was muted and, in a few cases, non-existent. Opportunities for increased impact exist based on increased collaboration between practitioners and researchers to employ VCD tools in specific contexts, as well as to design new tools for addressing specific needs and facilitate joint learning on the implementation process and related outcomes. The findings also suggest a need for dedicated approaches to supporting producer organizations, given their central role in the implementation of VCD interventions.Devoux, A., Torero, M., Donovan, J. and Horton, D. (eds.) (2016) Innovation for Inclusive Value Chain Development: Successes and Challenges, Washington, DC: IFPRI.
DFID (2005) ‘Making Market Systems Work Better for the Poor (M4P). An introduction to the concept’, discussion paper prepared for the ADB-DFID ‘learning event’, ADB Headquarters, Manila.
Donovan, J., Stoian, D. and Poole, N. (2008) Global Review of Rural Community Enterprises: The Long and Winding Road to Creating Viable Businesses, and Potential Shortcuts, Technical Series 29/Rural Enterprise Development Collection 2, Turrialba, Costa Rica: CATIE.
Donovan, J., Franzel, S., Cunha, M., Gyau, A. and Mithöfer, D. (2015) ‘Guides for value chain development: a comparative review’, Journal of Agribusiness in Developing and Emerging Economies 5(1): 1–22 <http://dx.doi.org/10.1108/JADEE-07-2013-0025>.
Gibbon, P. (2001) ‘Upgrading primary production: a global commodity chain approach’, World Development 29(2): 345–63 <http://dx.doi.org/10.1016/S0305-750X(00)00093-0>.
Humphrey, J. (2005) Shaping Value Chains for Development: Global Value Chains in Agribusiness, Eschborn, Germany: GTZ.
Humphrey, J. and Navas-Alemán, L. (2010) Value Chains, Donor Interventions and Poverty Reduction: A Review of Donor Practice, IDS Research Report 63, Brighton, UK: IDS.
Seville, D., Buxton, A. and Vorley, B. (2011) Under What Conditions Are Value Chains Effective Tools for Pro-Poor Development? [pdf], Sustainable Food Laboratory and International Institute for Environment and Development <http://pubs.iied.org/pdfs/16029IIED.pdf> [accessed 9 February 2017].
Springer-Heinze, A. (2008) ValueLinks Manual: The Methodology of Value Chain Promotion, Eschborn, Germany: GTZ.
Stoian, D., Donovan, J., Fisk, J. and Muldoon, M. (2012) ‘Value chain development for rural poverty reduction: a reality check and a warning’, Enterprise Development and Microfinance 23(1): 54–69 <http://dx.doi.org/10.3362/1755-1986.2012.006>.
Webber, C.M. and Labaste, P. (2010) Building Competitiveness in Africa’s Agriculture: A Guide to Value Chain Concepts and Applications, Washington, DC: World Bank.
Wertheim-Heck, S., Quaedackers, P., Anh, N.T. and van Wijk, S. (2010) ‘Value chain development of avocado in Vietnam’, Urban Agriculture Magazine – From Seed to Table 24: 35–8.
Devoux, A., Torero, M., Donovan, J. and Horton, D. (eds.) (2016) Innovation for Inclusive Value Chain Development: Successes and Challenges, Washington, DC: IFPRI.
DFID (2005) ‘Making Market Systems Work Better for the Poor (M4P). An introduction to the concept’, discussion paper prepared for the ADB-DFID ‘learning event’, ADB Headquarters, Manila.
Donovan, J., Stoian, D. and Poole, N. (2008) Global Review of Rural Community Enterprises: The Long and Winding Road to Creating Viable Businesses, and Potential Shortcuts, Technical Series 29/Rural Enterprise Development Collection 2, Turrialba, Costa Rica: CATIE.
Donovan, J., Franzel, S., Cunha, M., Gyau, A. and Mithöfer, D. (2015) ‘Guides for value chain development: a comparative review’, Journal of Agribusiness in Developing and Emerging Economies 5(1): 1–22 <http://dx.doi.org/10.1108/JADEE-07-2013-0025>.
Gibbon, P. (2001) ‘Upgrading primary production: a global commodity chain approach’, World Development 29(2): 345–63 <http://dx.doi.org/10.1016/S0305-750X(00)00093-0>.
Humphrey, J. (2005) Shaping Value Chains for Development: Global Value Chains in Agribusiness, Eschborn, Germany: GTZ.
Humphrey, J. and Navas-Alemán, L. (2010) Value Chains, Donor Interventions and Poverty Reduction: A Review of Donor Practice, IDS Research Report 63, Brighton, UK: IDS.
Seville, D., Buxton, A. and Vorley, B. (2011) Under What Conditions Are Value Chains Effective Tools for Pro-Poor Development? [pdf], Sustainable Food Laboratory and International Institute for Environment and Development <http://pubs.iied.org/pdfs/16029IIED.pdf> [accessed 9 February 2017].
Springer-Heinze, A. (2008) ValueLinks Manual: The Methodology of Value Chain Promotion, Eschborn, Germany: GTZ.
Stoian, D., Donovan, J., Fisk, J. and Muldoon, M. (2012) ‘Value chain development for rural poverty reduction: a reality check and a warning’, Enterprise Development and Microfinance 23(1): 54–69 <http://dx.doi.org/10.3362/1755-1986.2012.006>.
Webber, C.M. and Labaste, P. (2010) Building Competitiveness in Africa’s Agriculture: A Guide to Value Chain Concepts and Applications, Washington, DC: World Bank.
Wertheim-Heck, S., Quaedackers, P., Anh, N.T. and van Wijk, S. (2010) ‘Value chain development of avocado in Vietnam’, Urban Agriculture Magazine – From Seed to Table 24: 35–8.
Devoux, A., Torero, M., Donovan, J. and Horton, D. (eds.) (2016) Innovation for Inclusive Value Chain Development: Successes and Challenges, Washington, DC: IFPRI.
DFID (2005) ‘Making Market Systems Work Better for the Poor (M4P). An introduction to the concept’, discussion paper prepared for the ADB-DFID ‘learning event’, ADB Headquarters, Manila.
Donovan, J., Stoian, D. and Poole, N. (2008) Global Review of Rural Community Enterprises: The Long and Winding Road to Creating Viable Businesses, and Potential Shortcuts, Technical Series 29/Rural Enterprise Development Collection 2, Turrialba, Costa Rica: CATIE.
Donovan, J., Franzel, S., Cunha, M., Gyau, A. and Mithöfer, D. (2015) ‘Guides for value chain development: a comparative review’, Journal of Agribusiness in Developing and Emerging Economies 5(1): 1–22 <http://dx.doi.org/10.1108/JADEE-07-2013-0025>.
Gibbon, P. (2001) ‘Upgrading primary production: a global commodity chain approach’, World Development 29(2): 345–63 <http://dx.doi.org/10.1016/S0305-750X(00)00093-0>.
Humphrey, J. (2005) Shaping Value Chains for Development: Global Value Chains in Agribusiness, Eschborn, Germany: GTZ.
Humphrey, J. and Navas-Alemán, L. (2010) Value Chains, Donor Interventions and Poverty Reduction: A Review of Donor Practice, IDS Research Report 63, Brighton, UK: IDS.
Seville, D., Buxton, A. and Vorley, B. (2011) Under What Conditions Are Value Chains Effective Tools for Pro-Poor Development? [pdf], Sustainable Food Laboratory and International Institute for Environment and Development <http://pubs.iied.org/pdfs/16029IIED.pdf> [accessed 9 February 2017].
Springer-Heinze, A. (2008) ValueLinks Manual: The Methodology of Value Chain Promotion, Eschborn, Germany: GTZ.
Stoian, D., Donovan, J., Fisk, J. and Muldoon, M. (2012) ‘Value chain development for rural poverty reduction: a reality check and a warning’, Enterprise Development and Microfinance 23(1): 54–69 <http://dx.doi.org/10.3362/1755-1986.2012.006>.
Webber, C.M. and Labaste, P. (2010) Building Competitiveness in Africa’s Agriculture: A Guide to Value Chain Concepts and Applications, Washington, DC: World Bank.
Wertheim-Heck, S., Quaedackers, P., Anh, N.T. and van Wijk, S. (2010) ‘Value chain development of avocado in Vietnam’, Urban Agriculture Magazine – From Seed to Table 24: 35–8.
Devoux, A., Torero, M., Donovan, J. and Horton, D. (eds.) (2016) Innovation for Inclusive Value Chain Development: Successes and Challenges, Washington, DC: IFPRI.
DFID (2005) ‘Making Market Systems Work Better for the Poor (M4P). An introduction to the concept’, discussion paper prepared for the ADB-DFID ‘learning event’, ADB Headquarters, Manila.
Donovan, J., Stoian, D. and Poole, N. (2008) Global Review of Rural Community Enterprises: The Long and Winding Road to Creating Viable Businesses, and Potential Shortcuts, Technical Series 29/Rural Enterprise Development Collection 2, Turrialba, Costa Rica: CATIE.
Donovan, J., Franzel, S., Cunha, M., Gyau, A. and Mithöfer, D. (2015) ‘Guides for value chain development: a comparative review’, Journal of Agribusiness in Developing and Emerging Economies 5(1): 1–22 <http://dx.doi.org/10.1108/JADEE-07-2013-0025>.
Gibbon, P. (2001) ‘Upgrading primary production: a global commodity chain approach’, World Development 29(2): 345–63 <http://dx.doi.org/10.1016/S0305-750X(00)00093-0>.
Humphrey, J. (2005) Shaping Value Chains for Development: Global Value Chains in Agribusiness, Eschborn, Germany: GTZ.
Humphrey, J. and Navas-Alemán, L. (2010) Value Chains, Donor Interventions and Poverty Reduction: A Review of Donor Practice, IDS Research Report 63, Brighton, UK: IDS.
Seville, D., Buxton, A. and Vorley, B. (2011) Under What Conditions Are Value Chains Effective Tools for Pro-Poor Development? [pdf], Sustainable Food Laboratory and International Institute for Environment and Development <http://pubs.iied.org/pdfs/16029IIED.pdf> [accessed 9 February 2017].
Springer-Heinze, A. (2008) ValueLinks Manual: The Methodology of Value Chain Promotion, Eschborn, Germany: GTZ.
Stoian, D., Donovan, J., Fisk, J. and Muldoon, M. (2012) ‘Value chain development for rural poverty reduction: a reality check and a warning’, Enterprise Development and Microfinance 23(1): 54–69 <http://dx.doi.org/10.3362/1755-1986.2012.006>.
Webber, C.M. and Labaste, P. (2010) Building Competitiveness in Africa’s Agriculture: A Guide to Value Chain Concepts and Applications, Washington, DC: World Bank.
Wertheim-Heck, S., Quaedackers, P., Anh, N.T. and van Wijk, S. (2010) ‘Value chain development of avocado in Vietnam’, Urban Agriculture Magazine – From Seed to Table 24: 35–8.
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