Mid term presentation team 2 topic 2 development of advance agriculture in vietnam

NATIONAL ECONOMICS UNIVERSITY

FACULTY OF REAL ESTATE AND RESOURCES ECONOMICS

MID-TERM PRESENTATION TEAM 2

TOPIC 2: DEVELOPMENT OF ADVANCE AGRICULTURE IN VIETNAM

Team members: Trần Kim Chúc 11221122

I Overall development of advanced agriculture in Vietnam 4

1 The definition of advanced agriculture: 4

2 The importance of advanced agriculture in the development of Vietnam 4

3 The objectives and strategies of Vietnam for the development of advanced agriculture 5

II.Reality development advanced agriculture in Vietnam 5

1 Opportunities and potential 5

2 Challenge 10

2.1 The adoption of technology is still restricted 10

2.2 Skilled Labor Shortage 10

2.3 Fragmented agriculture industry 11

2.4 Increased competition 11

2.5 Climate change 12

3 The solution to develop the advantage of agriculture in Vietnam 13

3.1 Develop new advanced agricultural models applying high-tech agriculture 14

3.2 Support and investment policies from the government and related organizations 14

3.3 Promote the education and training of farmers 15

3.4 Sustainable resource and environmental management in agriculture 16

Agriculture stands as the bedrock of Vietnam's economic and social landscape, intricately woven into the nation's historical tapestry and pivotal in shaping its modern trajectory From ancient rice paddies tended by dynasties to the bustling

agribusinesses of today, Vietnam's agricultural sector has undergone a remarkable evolution, marked by triumphs, challenges, and transformative reforms This essay embarks on a comprehensive exploration of Vietnam's agricultural development, delving into its historical roots, pivotal policy shifts, contemporary challenges, and future prospects Central to Vietnam's agricultural narrative are the sweeping reforms of the late 20th century, embodied in the Doi Moi (Renovation) policy This pivotal juncture heralded a seismic shift from central planning to a market-oriented approach, catalyzing profound changes in land tenure, production systems, and market dynamics The essay elucidates the multifaceted implications of these reforms, from the dismantling of collectivized agriculture to the burgeoning of private enterprise and foreign investment Furthermore, the essay navigates the terrain of Vietnam's agricultural landscape in the 21st century, charting its trajectory amidst a rapidly globalizing world Yet, amidst the accolades lie persistent challenges, from environmental degradation and climate change impacts to socio-economic disparities and rural poverty As Vietnam stands at the cusp of a new era, grappling with the imperatives of sustainability, resilience, and inclusive growth, the essay examines the contours of its future agricultural landscape It probes into innovative solutions, such as sustainable farming practices, digital technologies, and value chain integration, poised to redefine the sector's trajectory Moreover, it underscores the imperative of policy coherence, institutional capacity building, and stakeholder engagement in steering Vietnam toward a more equitable, resilient, and vibrant agricultural future In essence, this essay serves as a holistic exploration of Vietnam's agricultural odyssey By unraveling the complexities and nuances of its agricultural development journey, it seeks to illuminate not only the challenges and triumphs of the past but also the pathways to a more prosperous and sustainable future for Vietnamese agriculture and society as a whole

I.Overall development of advanced agriculture in Vietnam

1 The definition of advanced agriculture:

Advanced agriculture refers to the application of innovative technologies, techniques, and practices to enhance the efficiency, productivity, sustainability, and profitability of agricultural production

2 The importance of advanced agriculture in the development of Vietnam.

- Enhanced Productivity and Efficiency: Advanced agricultural technologies and practices help increase productivity and efficiency in Vietnam's agricultural sector This leads to higher yields per unit of land, reduced input costs, and improved profitability for farmers As a result, the overall output of agricultural products increases, contributing to economic growth.

- Improved Food Security: By adopting innovative techniques such as precision farming and biotechnology, farmers can ensure a more reliable and abundant food supply This enhances food security by reducing the country's dependence on imports and mitigating the risks of crop failure due to pests, diseases, or adverse weather conditions.

- Export Competitiveness: Adopting advanced agricultural practices allows Vietnam to produce high-quality agricultural products that meet international standards This enhances the country's competitiveness in global markets, leading to increased export revenues By leveraging technology and innovation, Vietnam can capitalize on its comparative advantages in agriculture and expand its presence in lucrative export markets.

- Environmental Sustainability: Advanced agriculture promotes environmentally sustainable practices that minimize the negative impacts of farming on ecosystems and natural resources Techniques such as precision irrigation, integrated pest management, and organic farming reduce water consumption, chemical usage, and soil erosion By prioritizing sustainability, Vietnam can protect its natural environment while ensuring the long-term viability of agricultural production.

3 The objectives and strategies of Vietnam for the development ofadvanced agriculture

OBJECTIVES: The Government of Vietnam has issued the Strategy for

Sustainable Agricultural and Rural Development for the period 2021-2030, with a vision to 2050, the overall goal is to make Vietnam one of the leading agricultural countries in the world with a modern, efficient, and environmentally friendly agricultural product processing industry.

 Enhancing the application of advanced technologies and methods in agriculture to improve productivity, quality, and value-added of agricultural products.

 Investing in research and development of technology, applying new technologies such as artificial intelligence, Internet of Things, and cloud computing to optimize agricultural production management.

 Training and developing human resources with high professional qualifications, capable of applying advanced technologies and methods in agriculture production.

 Developing sustainable agriculture, promoting natural resource management, and environmental protection, especially in the areas of water and chemical usage.

I.Reality development advanced agriculture in Vietnam1 Opportunities and potential

1.1 About the government's policies

In order for the agricultural development process in ViIn order for the agricultural development process in Vietnam to proceed most smoothly, it is impossible not to mention the important role of the state in terms of guidelines and policies Vietnam to proceed most smoothly, it is impossible not to mention the important role of the state in terms of guidelines and policies To do this, all levels and sectors need to propagate and mobilize farmers to understand the policy and raise community awareness.

 Invest in the construction and completion of rural infrastructure such as irrigation systems, transportation systems, etc.

 It is necessary to direct the market for agricultural products to be convenient and transparent for farmers Provide information to people and take measures to stabilize the domestic market

 Promote the process of restructuring crops and livestock with economic value

In that context, many mechanisms and policies to facilitate the development of green agriculture have been issued, such as Resolution No 19-NQ/TW, dated June 16, 2022, Fifth Conference of the Executive Committee The 13th Party Central Committee on Agriculture, farmers and rural areas to 2030, vision to 2045 affirms that the role of agriculture is a national advantage and a pillar of the economy, including agricultural development associated with green, organic, circular agriculture, linked to market demand

Decision No 150/QD-TTg, dated January 28, 2022, of the Prime Minister approving the Strategy for sustainable agricultural and rural development for the period 2021-2030, vision to 2050 The general goal of the Strategy is to build commodity-producing agriculture while developing agriculture based on local advantages, towards modernity with productivity, quality, efficiency, sustainability, and high competitiveness among the leading group in the region and the world, firmly ensuring national food security

The Sustainable Agriculture and Rural Development Strategy until 2030 (issued under Decision No 150/QD-TTg, dated January 28, 2022, of the Prime Minister) requires: Developing green, eco-friendly agriculture environmentally friendly, adapt to climate change, reduce rural environmental pollution, and strive to reduce greenhouse gas emissions by 10% compared to 2020.

On June 23, 2020, the Prime Minister issued Decision No 885/QD-TTg approving the Organic Agriculture Development Project for the period 2020-2030 The project sets the goal of developing organic agriculture with high added value, sustainable,

friendly to the ecological environment, and associated with a circular agricultural economy to serve domestic consumption and export.

1.2 Initial collaboration and investment in technology

Agricultural development is not only a trend of the times but also one of the urgent solutions today The application of high-tech agriculture in agricultural development has been an important step in the agricultural development process in Vietnam.

As the climate is gradually changing for the worse and the area of agricultural land is shrinking significantly, the application of high-tech agricultural solutions solves the above difficulties with the following advantages:

 Save land area

 Avoid spreading pests

 Isolated from the outside environment and weather  Make sure the tree can grow well

 Provide plants with adequate nutrients and necessary water  Adjust lighting appropriately

 Automatic control

 Helps reduce labor and operating costs significantly  Prevent water loss

 Can adjust the environment according to each stage of plant development

With the advantages mentioned above, agricultural development is gradually changing the face of world agriculture and has helped many countries reach the top exporters of agricultural products and crops - something that seemed impossible The application of high-tech agricultural models makes agricultural products increasingly more diverse, and of higher quality and ensures productivity for humans.

Although it has only been implemented for a short time and there is no statistical data yet, the promotion of high-tech agricultural development in recent times has brought encouraging results In the period 2011-2015 alone, more than 100 new plant varieties were researched and created, so the percentage of crop area in the country using new varieties is quite high: rice over 90%, corn 80%, and sugarcane 60% % and 100% By 2016, the whole country had 327 communes using net houses, greenhouses, and greenhouses to grow seedlings, accounting for 3.6% of the total number of communes in the country with an area of 5,897.5 hectares, accounting for 0.07% of the area land for annual crops and aquaculture land.

For example, in Lam Dong, the high-end vegetable production model has revenue of 500 million VND/ha/year; Hydroponic vegetables reach 8-9 billion VND/ha/year; flowers reached 1.2 billion VND/ha/year, 20-30 times higher than before , contributing to bringing the average production value of the province to 150 million VND/ha/year and currently agricultural production reaches 30% of the province's total agricultural production value In Ho Chi Minh City, the model of vegetable growing in nethouses achieves revenue from 120 million to 150 million VND/ha, 2-3 times higher than traditional farming In Hanoi, Ba Ria - Vung Tau, Vinh Phuc with the model of producing seedlings, and raising pigs and chickens on an industrial scale using Japanese technology, it has brought twice as much income to producers compared to traditional production Bac Lieu province, with its greenhouse shrimp farming model, has helped farmers control diseases, and shrimp grow and develop quickly, bringing high efficiency, stability, and sustainability Based on the prescribed criteria, it has 5 agricultural regions that apply locally recognized intensive farming technology for shrimp, flowers, rice, and bananas Regarding the number of businesses, up to now, 40 technology application businesses have been granted valid certificates, including 12 application businesses in the field of farming; 19 enterprises applying technology in the fisheries sector; and 9 businesses applying technology in the livestock sector.

1.3 Variety advantage agricultural models

In Vietnam, agricultural development models are increasingly of interest to farmers In many localities, many models have been in the process of transforming ecological agriculture development according to world market trends as well as helping to minimize the impact of climate change.

Many localities, businesses, and cooperatives have raised awareness for farmers in reducing the amount of seeds sown, IPM integrated pest management, using plant protection chemicals according to the "4 rights," reducing the amount of seeds sown inorganic fertilizer, coupled with many technical advances, such as: "3 reductions 3 increases," "1 right 5 reductions," agricultural irrigation techniques -exposure - drying Technical solutions and processes at the same time This set has been bringing many practical benefits, helping to increase productivity and product quality, reduce production costs, and reduce environmental pollution Studies have shown that the longer rice fields are flooded, the more methane gas is produced Rice fields are applied shallow irrigation - exposure - drying technique, which helps reduce greenhouse gas emissions by about 3.5 times compared to rice fields that are flooded throughout the season In livestock farming, waste treatment and utilization of agricultural by-products in the form of a circular economy are being applied on different scales Along with biogas plants, the livestock industry is promoting guidance for farmers to collect livestock waste to raise earthworms, and black soldier flies to create protein sources for livestock food in the context of livestock feed prices increased farming, while converting waste into organic fertilizer, reducing harm to the environment Thanks to the implementation of many production models to develop clean agriculture, clean, traceable agricultural and aquatic products have accounted for an increasingly large proportion An investigation published in 2020 by the International Agricultural Organization said that Vietnamese organic agricultural products are consumed domestically and exported to 180 countries around the world, including the US, and the European Union (EU) ), China, Japan, Germany, England, Korea, Russia, Singapore, France, Belgium, Netherlands, Italy

2 Challenge

2.1 The adoption of technology is still restricted

In the last few years, there has been a rollout of agriculture technology (ag-tech) that can be adopted in Vietnam’s agricultural regions, but it has been slow compared to other countries The development of advanced agricultural technologies is minuscule and not asynchronous in regions.

Most farmers, production, and business establishments harvest and process using manual methods, and have not yet applied technology in preservation, processing, and harvesting Therefore, post-harvest losses in Vietnam are higher than in other countries in the Southeast Asian region such as vegetables and fruits 32%, meat 14% and seafood 12%.

High-technology agriculture projects are not getting much attention from investors, which prompts them to be short of financial support Vietnam currently has an economic restructuring from agriculture into industries and services that limit the capital flow into equipment, production lines, and biotechnology The amount of capital invested in this field only accounts for 5% of the total investment capital of the whole society, while the number of enterprises investing in agricultural production accounts for only 15% of the whole economy, of which is mainly small-scale and super-sized Small-scale farmers have no opportunity to approach high technology Only half of rural households have access to official bank capital, the remaining cases have to borrow from black credit.

2.2 Skilled Labor Shortage

Farmers may lack the necessary knowledge and skills to operate and maintain complex technologies, requiring training and support programs The low skills of agricultural workers exacerbate productivity challenges in the sector About 70% of farmers have not received specialized training, and only about 9% of farmers with university degrees are recruited Many farmers lack access to modern agricultural techniques and technologies, resulting in inefficient farming practices and reduced yields Vietnam is in the "golden population" period but this period is passing very quickly We have not prepared much to welcome this precious "golden population" period for the agricultural industry.