Page 15 - Agricultural innovation

3.2.3. Opportunities and challenges
The cooperation between the local government and Agrotech Pro company in hydroponic farming
brings significant benefits to the local economy. The Agro Vege Farm can generate job opportunities
for at least 180 local workers. This number would increase in the future when completing the extension
part of the project.
The Agro Vege Farm produces nearly 200 types of vegetables for domestic and foreign markets. The
hydroponic farm reduces imported vegetables from abroad.
Presently, the Agro Vege Farm is not only a hydroponic farm, but it becomes a demonstration farm
where farmers can learn about innovation and technology in the farming sector.
However, almost inputs and equipment used in the hydroponic farming are imported from abroad.

3.2.4. Conclusions
It is not easy to assess the investment of Agrotech Pro in Laos because it is just an early phase of
development. However, the initial success of the cooperation between Champasack province and a
Malaysian company is an example of PPP in the farming sector. Agrotech Pro comes to Laos with
innovation, technology, and expertise in hydroponic farming. Farming along with tourism is another
lesson that farmers and entrepreneurs can learn from Agro Vege Farm. It is a great opportunity of
utilisation of FDI for introduction of new technology and income genaration for local people.
The local government should constantly encourage lesson exchange with Agro Vege Farm. There
should be a mechanism to facilitate the transfer of innovation and technology from Agro Vege Farm
to Lao farmers in other regions.

3.3. Model of Improving Productivity of Mandarin Trees in Nambak, Laos

3.3.1. General information
Farmers in the northern provinces of Laos have increasingly grown fruits over the years. Mandarine
orange or mandarin is one of the most popular fruits extensively grown in Vientiane province, Luang
Namtha, and Luangprabang. Mandarin oranges grown in these provinces have increasingly gained
popularity among domestic consumers. Nambak district in Luangprabang has well known for high-
quality mandarin. The cultivated area of mandarin plantations in Nambak is estimated at about
700 hectares, producing more than 9,000 tons of mandarin orange. Growing mandarin becomes
a main source of household income and creates jobs for more than 1,300 local households from 26
villages. But there is a concern that mandarin-grown farmers are experiencing many challenges,
namely the decline of mandarin productivity and the spread of disease. Since the mandarin orange
is an economic fruit and related to local employment in the Nambak district, solving the problems
of mandarin farmers is a priority of the local government. Fortunately, Korean Program on
International Agriculture (KOPIA) project provides financial and technical support for addressing
the existing problems. By collaborating with Nonsoung Research Institute, the KOPIA project also
convinces farmers to apply new techniques to improve mandarin productivity and cope with the
spread of disease.

3.3.2. Model development

The collaboration between KOPIA and Nonsoung Research Center in the first phase lasts for 3 years,
from 2019 to 2021. In this phase, there are 30 farm households from Houayhoke and Phonsay villages
participated in the project. The project firstly helps farmers to identify the causes behind the low
productivity of the mandarin tree. One possible cause is that there is poor tree management. Farmers
do not know how to take care of their mandarin trees. To overcome this problem, the project experts

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