VNFU held the first training workshops of a series three (3) on “Using right tools in supporting the development of collective economic forms in agriculture” in Phu Quay Hotel in Quang Binh, Vietnam last May 2-3, 2013. The issue of small-scale farmers and producers’ market power is a strategic issue as family farming, regardless of the continent where it is observed. Small scale farmers and producers are in an extremely weak position when it has to sell its production.
Mr. Nguyen Xuan Dinh, International Cooperation Department of VNFU expounded on the importance of collective economic forms in agriculture. However, there is a need for VNFU to utilize available strategies to increase farmers market bargaining power. These strategies can only be utilized effectively if knowledge, skills and competence are developed among the ranks of farmer leaders and staff. These series of trainings will provide overview and some skills that will help to catalyze VNFU leaders and staff in improving farmers market bargaining power. It is envisioned that from these series of workshops, a pool of experts can be selected and will be developed to address the huge challenges facing farmers at the districts, communes and grassroots level.
Mr. Ngoc, Chairman of Quang Binh Farmers Union welcomed the participants. The hosting of the Quang Binh Farmers Union of the workshop is an expression of Quang Binh farmers’ interest and support to the objectives of this workshop. The leadership of the Farmers Union in the Province has seen the relevance and importance of farmers market bargaining power as farmers face powerful, large and well-resourced private companies as they market their products. Increased farmers market bargaining power will facilitate the leveling of market playing field and allow farmers to benefit more from their products in a relationship with business as equals.
In his opening message, Mr. Alex Danau has informed the participants about the efforts of Agricord to support farmers engage with markets under the banner program “Farmers Fighting Poverty.” Agricord is a network of organizations, referred to as Agri-agencies, NGOs not just NGOs in general but NGOs that specialized in agriculture, rural development, specifically with farmers organizations. Collectif Stratégies Alimentaires (CSA) and AsiaDHRRA are members both of Agricord.
The issue of small-scale farmers and producers’ market power is a strategic issue as family farming, regardless of the continent where it is observed. Small scale farmers and producers are in an extremely weak position when it has to sell its production.
To compensate for this huge constraint that determines their income, family farms must rely on two external resources: 1) on favorable agricultural and trade policies and 2) the organization of the marketing of production from family farms. Favorable agricultural and trade policies depend on the government and the ability of agricultural organizations – like the VNFU – to influence and to encourage good governance. On farmers organizations marketing, many smallholder or family farms are isolated from each other and many smallholder farmers do not have this ability. Agri-agencies and existing farmers organizations have a responsibility to help provide services to form and strengthen farmers organizations for effective market engagement. In this case VNFU is determined to play this role.
In the most recent years, VNFU organized and implemented various activities to provide services for farmers and support farmers to develop various forms of production and business. Production and business are key areas that VNFU will focus on. Last year, the VNFU National Executive Committee issued a resolution on developing collective economic forms such as farmers’ mutual interest groups, cooperatives, etc.. However, VNFU staff and leaders faced many difficulties in these areas due to inadequacy of experiences, lacking of necessary tools that can be used to choose right strategies for developing various forms of collective production and business forms. These two areas are new to many VNFU leaders and staff, with limited opportunities to share and discuss thoroughly experiences in these areas. Therefore, it is very necessary to improve capacity of VNFU staff and leaders in using right tools to facilitate development of production and business cooperation forms in agriculture so as to improve the market powers of farmers.
The training workshop is part of the intention to equip VNFU leaders and staffs with some tools that they can use to support the development of production and business cooperation forms in agriculture; develop a tailored – made guiding materials on the use of right tools to support the development of production and business cooperation forms in agriculture, and to create a potential resource of VNFU staffs that can be selected to be trained to become trainers/facilitators who later conduct training workshops for grass-roots level.
Specifically, the training aims to:
- Provide the participants an introduction or review of the concepts and strategies of market bargaining power;
- Concretize participants’ concept appreciation of market power and strategies by complementing it with simulated learning and skills enhancement in investment planning and value chain analysis, and
- Enhance level of learning by providing venues for their application in real life situation, through assessment of common instruments for market access and/or integration to value chains, i.e. varying contract agreements and relating the same to their own set-up.
The project is managed by the Project Management Unit, headed by Mr. Nguyen DInh Xuan, ICD Director. Five (5) training assistants, namely Mr. Nguyen Duc Ngoc Mr. Nguyen Lam Hong, Mr. Nguyen Lam Hong, Mr. Tran Ngoc Trinh and Mr. Mai Van Tuong assisted a combined pool of experts, Mr. Alex Danau from CSA, Mr. Florante “Nonoy” Villas of AsiaDHRRA, lead advisor and and resource person and capacity building and agribusiness consultant, Dr. Nerlita M. Manalili. Able support as members of the training management team were provided as well by ICD experts, Ms. Minh Hue project focal person, Ms. Yule Voan, Vice ICD Director, Ms. Nguyen Thi Viet Ha, Ms. Hoang Thi Quynh Hoa, Mr. Nguyen Thanh Trung.
