Page 104 - STRATEGY FOR SUSTAINABLE AGRICULTUR AND RURAL DEVELOPMENT IN THE PERIOD 2021-2030 AND VISION TO 2050

3.4 MAIN SOLUTIONS OF THE STRATEGY

60. The Strategy proposes
solutions to shift from the
“agricultural supply chain” to
the “commodity value chain”.
How is this understood?

- Strengthening the connection of agro-
product value chains with small-scale and
specialized farming areas and gradually
forming a common economic space between
Moving from “agro-product supply chain” to localities and regions with similar natural and
“sectoral value chain”, i.e. simple organization economic conditions to overcome administrative
of the distribution system from production to barriers.
consumption, focusing on maximizing added - Promoting the development of
values and allocating those added values associations and cooperations, reducing
properly to actors participating in the chain. intermediaries, and strengthening linkages
Increasing and allocating added values is a with processing and trading enterprises.
rational and holistic combination of agricultural To implement this, it is essential to develop
economics thinking through adjusting optimal competence cooperatives in organizing
scale and output, re-organizing production production and connecting markets for key
to reduce costs and increase selling prices, products.
improving quality and uniformity of products, - Developing the policies to support the
applying science and technology in increasing accumulation of land for large-scale production
production and quality, reducing costs, close and encourage linkages and cooperation,
linkages between actors in the chain to as well as logistics infrastructure to create
ensure transparency in the chain, organizing favourable conditions for effective operation
commercial activities to increase the level of of the value chains. Specifically, land-use
consumer payment for products, etc. policies should be revised to make it flexiblefor
In the case of Viet Nam, to transform from developing transaction markets and promoting
an “agro-product supply chain” to a “sectoral land concentration.
value chain”, it is necessary to build policies and - Developing official credit for business
institutions and create an operating environment households and cooperatives and credit for the
for the chain in the following directions: value chains.
- Building a market information system, - Investing in basic infrastructure for
forecasting consumers’ preferences through remote areas, serving renewal of the distribution
conducting research on the domestic market system of agri-food products, connecting
and major export markets, building a system of modern and traditional processing, distribution,
market information portals and the system for and retail systems with supply chains of agri-
making recommendations based on the market food products and associated with specialized
information, etc. farming areas. Establishing wholesale markets
- Building concentrated and large-scale related to the logistics chain in key agricultural
cultivation zones of the key agricultural products production areas.
as mentioned above.

104 Guidelines for the Strategy for sustainable agriculture and rural development
in the period 2021-2030, and vision to 2050