Innovation lab

Large rice field model in the Loc Troi Group, Viet Nam

Regional research “Agricultural innovations review in Sub-Mekong region countries” in the framework of the project “Network for Agriculture and Rural Development Think-tanks for Countries in Mekong sub-region” – November 2022 - April 2023.

Contracting Policy No. 10 in Vietnam allowed to allocate agricultural land to households, boosting production, and leading Vietnam from a rice importer to a leading exporter. However, this policy has led to fragmentation in agricultural production, posing challenges for mechanization and automation in large rice-growing regions. The "large field" model, involving enterprises and farmers, has been established and developed successful in Vietnam. One of the quite successful models in Vietnam is the large rice field of Loc Troi Group.

New machines introduced in the large rice field

Source: Loc Troi Group.

Through the development process, Loc Troi Group has made creative innovations in building a sustainable agricultural ecosystem in the following contents:

- Building the rice value chain into a sustainable agricultural ecosystem, ensuring the role and interaction between the components constituting the business ecosystem:

- Bringing technical and scientific advances to solve problems in rice farming, helping farmers reduce the use of pesticides and chemical fertilizers and increase profits in a sustainable way

- Sustainable rice cultivation according to SRP standards

- Building raw material areas, associated with the role of Cooperatives and Cooperative Unions

- Carry out cooperation in the field of applied research from the field to the factory to help reduce post-harvest losses, reduce labor use in the field, and ensure post-harvest rice grain quality

- Research into intensive processing areas, utilizing straw by-products and rice husk ash, turning them into valuable products, increasing gross profits from rice cultivation.

- Apply information technology to support farmers

- Agricultural Production Linkage Management System - Cashless model

The Loc Troi Group's large rice fields model has successfully overcome limitations in the household economy, including fragmentation and small size. This model has contributed to Vietnam's rice exports, but sustainable development requires policies such as land law improvement, credit capital, and infrastructure investment. Diversifying consumption methods, such as farmers participating in rice trading enterprises, and strengthening training of core farmers are also necessary. Investment in infrastructure, such as mechanization, irrigation, electric pumping stations, and agricultural insurance, is crucial. The model can be applied to crops like coffee, sugarcane, and tea, and requires step-by-step confirmation and practical experience.

Click this link for detail information: Large rice field model in the Loc Troi Group