Economic impact of farmer-driven vertical integration: the case of safe vegetable chains in northern Vietnam

Wang Huaiyu, Moustier Paule, Thi Tan Loc Nguyen. 2011. Economic impact of farmer-driven vertical integration: the case of safe vegetable chains in northern Vietnam. In : 5èmes Journées de recherches en sciences sociales SFER-INRA-CIRAD. SFER, INRA, CIRAD, AgroSup Dijon. Paris : SFER, 19 p. Journées de recherches en sciences sociales. 5, Dijon, France, 8 December 2011/9 December 2011.

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Abstract : The paper investigates the respective profitability of contractual arrangements, direct sales and spot marketing for "safe vegetable"? farmers in northern Vietnam. It is based on a survey of 137 peri-urban vegetable farmers, with a minimum of 30 farmers in each category. Selection biases are corrected using propensity score matching methods. The results show that direct sales and contractual arrangements have a significant positive impact on income compared to spot marketing when selection biases are corrected. Contractual arrangements have less impact on income compared with the direct sales after correction of selection bias. This may be due to the still limited involvement of purchasers in the production process. The paper illustrates that direct relations between farmers and consumers, often described in literature as efficient in the development of consumer confidence in terms of quality, can indeed translate into higher income than anonymous exchange or sales under contractual arrangements with retailing companies. Some limitations of the research are given in the conclusion, along with policy recommendations. (Résumé d'auteur)

Mots-clés Agrovoc : légume, Vente directe, Circuit de commercialisation, Analyse économique, Agriculture périurbaine

Mots-clés géographiques Agrovoc : Viet Nam

Classification Agris : E72 - Domestic trade
E73 - Consumer economics
E16 - Production economics

Auteurs et affiliations

  • Wang Huaiyu, IRRI (PHL)
  • Moustier Paule, CIRAD-ES-UMR MOISA (FRA)
  • Thi Tan Loc Nguyen, VAAS (VNM)

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