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Jun 02, 2018 / 07:22

Farmers benefit from sustained value chain development

Vietnamese farmers and processors of bamboo and clam will have opportunities to develop sustainably and enhance the competitiveness of their product in domestic and foreign markets thanks to supports from the European Union.

The 4.3 million euro (US$5 million) project  will support small-sized  producers and micro, small- and medium-sized processors of clam value chain in the Mekong Delta provinces of Ben Tre, Tra Vinh and Tien Giang, and bamboo chain in central Thanh Hoa and Nghe An provinces to increase income from sustainable production and business practices from 2018-2022.
 
Bamboo processors will benefit from the sustained development project
Bamboo processors will benefit from the sustained development project
It looks to provide technical support for leading clam and bamboo producers to have sustainably standardized production which is vital for them to get access to foreign markets like the EU.
The project, which will be funded by the European Commission’s Directorate-General for International Cooperation and Development (EuropeAid) with an aim to contribute to reducing poverty and inequality in rural areas of Vietnam through inclusive and sustainable value chain development, is expected to benefit about 150 cooperatives with 35,000 members and 60 small- and medium-sized processors in these five provinces.
Public-private alliances, which comprise of local governments, public service providers, financial institutions, industry leaders and other stakeholders, will be set up at the five provinces to promote improved policy environment for the value chains of clam and bamboo. 
They are tasked to foster the enforcement of industry development policies and the enhancement of trade promotion activities and access to markets and loans. They are also responsible for monitoring and taking actions to inclusively and sustainably develop the value chains.
Markets like the European Union, Japan and the United States have strict regulations on imports of rattan and bamboo-made products, including those regarding environmental protection, said Pham Van Chat from the Vietnam Chamber of Commerce and Industry, adding that these countries set tight control on the products’ source of origin and possible pest infestation.
To increase added values and competitiveness of bamboo products, Vietnamese producers must strictly comply with standards towards sustainability in the value chain of these products, Director of the Non-Timber Forest Products Research Centre Phan Van Thang said. 
In this way, more opportunities will be opened for Vietnamese farmers and processors in foreign markets, especially one with strict rules and regulations. They will not only earn higher incomes but also help develop more sustainable material areas, he noted.
Vietnam exported about $250 million worth of bamboo-made products annually while the annual export turnover of clam was estimated at $200 million.
According to Hung Truong Phat Aquamarine Product Company, one of leading clam exporters in Ben Tre Province, his company’s clam products are mostly exported to EU, US, Japan, Australia and Asia markets.
Currently, global clam demand is high but the local supply of raw materials is not enough to meet this demand, the company said, adding that it exports about 4,000 tons of clam products per year. However, only half of them are from Ben Tre’s clam fishery.
Consequently, the clam processing factories have to buy raw materials from traders instead of directly purchasing them from cooperatives.
In addition, some foreign markets are strictly controlling products’ source of origin and possible pest infestation.
According to the company, the demand of clam products with the Marine Stewardship Council (MSC) certification in foreign markets has significantly increased in recent years.
About 25 per cent of the company’s customers have asked for clam products with MSC certification, most of them from US, Germany, France and UK. It requires Vietnamese farmers and producers to strictly comply with standards like MSC.