Vietnam Academy Of Social Sciences

International conference: “Short supply chain models and short supply chain policies in some European Union countries: Policy implications for Vietnam”

30/05/2021

In the afternoon of May 28, 2021, at the headquarters of No. 1 Lieu Giai, Ba Dinh, Hanoi, the Institute of European Studies (Vietnam Academy of Social Sciences) held an international scientific conference with the theme " Short supply chain models and short supply chain policies in some European Union countries: Policy implications for Vietnam. The workshop is within the framework of a topic organized by the Nafosted Foundation (Code 01/2019/NCUD), with the aim of building a complete theoretical framework as well as evaluating experience in implementing short supply chains of agricultural products in the European Union. The workshop was organized in the form of Online and Offline, including representatives of the Ministry of Agriculture and Rural Development; researchers and lecturers of related research institutes and universities in Hanoi: Vietnam Academy of Agriculture, Foreign Trade University, National Economics University, Hanoi National University… Representative international organizations such as: FNF Federal Republic of Germany, Oxfam, Helvetas, UNIDO... and many researchers in Vietnam Academy of Social Sciences.

Assoc.Prof.Dr. Nguyen Chien Thang and Assoc.Prof.Dr. Nguyen An Ha co-chaired the workshop

Vietnam is a dynamic market with a population of more than 90 million people, most of whom are of working age, so the demand for food is huge. According to Euromonitor International, Vietnam's food consumption maintained a growth rate of 11.4% between 2014 and 2018. However, an alarming fact is that the demand for food has never been used. The safety of people across the country is as urgent as it is now and never before have consumers lost confidence in Vietnamese agricultural products so much.

In addition, the production and distribution of agricultural products in general and agricultural products in particular in Vietnam still have "bottlenecks" that have not been resolved on a large scale. One of the weakest points to mention is that the current food supply chain still mainly follows the traditional model with many layers and intermediate stages, making it impossible for consumers to interact directly with the producer. Agriculture. The current context, when the pressure from consumers' demand for safe food is increasing, creates unprecedented development opportunities for safe food supply chains, in which short food supply chains. is one of the necessary methods to promote development.

Sustainable Short Food Supply Shains (SFSCs) are defined as a food system with a direct relationship between producer and consumer that includes various forms of direct selling such as farm stores, farmers markets, etc. produce, local grocers or spatial expansion for export. SFSCs are often seen as a way to implement a more sustainable food system that provides healthier and better quality food at a reasonable price, with more added value for food producers and environmental Protection. SFSCs can also be seen as a vehicle for restructuring the food chain to support sustainable farming practices and create resilient farm-based livelihoods.

SFSCs are characterized by few intermediaries between producers and consumers, with producers sometimes distributing their products directly to consumers. The short food supply chain aims to provide consumers with products that reflect characteristics such as: local identity, nature, wholesomeness and trustworthiness. Policies and/or regulations to encourage the sustainable development of SFSCs have not been available to a large extent in Vietnam so far. In addition, the direct link between farmers and agricultural enterprises/cooperatives is weak with many intermediaries leading to a lack of requirements on food safety and traceability.

Short food supply chain can be understood simply as the maximum reduction of participants in the supply chain with 03 main characteristics: (1) Geographical distance : measured by the distance between producer and consumer; (2) the number of intermediaries participating in the chain and (3) the connection and interaction between consumers and producers. Short supply chains aim to provide consumers with products that reflect characteristics such as: “local identity”, “natural”, “healthy” and “reliable”…

This form of agricultural product supply brings many benefits to the parties involved as for farmers, this method is the channel to diversify products towards better and cleaner production. achieve higher added value and thus ensure more stable revenue; for consumers, they will be able to use clean and safe agricultural products made by their own localities with more appropriate costs; For the state, the short supply chain serves as a useful tool in the strategy of agricultural and rural development, creating sustainable livelihoods for farmers, developing cooperatives, connecting farmers , creating a safe food supply system, integrated food strategy, business and entrepreneurial development, startup ecosystem, changing production and consumption habits that are socially and environmentally friendly …

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Speaking at the opening of the Conference, Assoc.Prof.Dr. Nguyen Chien Thang - Director of the Institute for European Studies said that at present, the SFSCs is almost a new concept in Vietnam and does not attract much attention. Vietnam has no policies to encourage the development of sustainable short supply chains of agricultural products. At the same time, the linkage among farmers and agricultural enterprises/cooperatives are still weak; Cooperatives and farmers - main actors in SFSC are often limited in getting access to knowledge of safety standard production, marketing products and advanced technologies, etc. As a result, households, cooperatives, and enterprises do not have stable conditions to meet requirements for EU’s regulations. The distribution system of agricultural products is still inadequate and involves many intermediaries. Therefore, agricultural producers struggle with several problems including strong price fluctuations, financial constraints to implement technological innovations.

Also according to Assoc.Prof.Dr. Nguyen Chien Thang, when setting up policies to support marketing, trade and product promotion, farmers are often the main actors in SFSCs, but they face great difficulty in marketing and promoting their products. Therefore, supporting policies on product marketing and promotion have helped them a lot when participating in short chains, where they directly introduce, advertise and sell products to consumers. There are several types of support aspects such as logistics support for the local market, technical support for creating a marketing platform; negotiating capacity; access to marketing and production services; support the development of collective retail stores to facilitate product certification; development of product brand logos and trademarks, etc.

Establish policies to support marketing, trade, and product promotion. Farmers are often the main actors in the SFSCs, but they face great difficulties in marketing and promoting products. Therefore, the supportive policies on marketing and product promotion  Help them a lot when participating in the short chains, where they directly introduce, advertise,and sell products to consumers. There are some kinds of supporting aspects such as logistic suppprt for local markets technical assistance for creating marketing platforms; negotiation capacity; accessing marketing and production services; developing collective retail stores  assistance to facilitate product certifications; development of product logos trademarks and branding, etc.

The conference focused on the following main topics:

(i)- Factors that support or prevent the development of sustainable SFSC;

(iii)-Strengthen the participation of key stakeholders in supporting farmers, cooperatives and businesses;

(iii)- Modeling and policies in the European Union and other countries;

(iv)- Current situation of SFSCs in Vietnam;

(v)- Policy recommendations related to sustainable short-term food supply chain development and the role of other stakeholders in the SFSC.

The workshop received 13 presentations, 07 reports were presented on the following topics:

(1): Rafał Serafin - Prezes/President - President of the Polish Environmental Partnership Fund: “Polish experience of short supply chains in the context of the European Union”;

(2): Dr. David McNeill, University of Queensland, Australia “Short Supply Chains in Austrailia”;

(3): Assoc. Dr. Preslav Dimitrov, Dean of the Faculty of Economics and Dean of the Faculty of Tourism at the University of the South-West: “Supply Chain of the Bulgarian Tourism Industry in the Time of Covid”;

(4): Assoc. Dr. Dimitrios Aidonis, Faculty of Supply Chain Management International University Hellenic – Greece: “Policies and trends in the EU on sustainability and short supply chains”;

(5): Assoc. Dr. Gary Fragidis- Faculty of Business Administration, Hellenic International University- Greece: “The current situation of short food supply chains in Greece”;

(6): Dr. Agata Malak-Rawlikowska – Senior Researcher Assoc.Prof.Dr. Institute of Economics and Finance, Faculty of Economics, University of Life Sciences Warsaw- Poland: “Measurement of economic, environmental and social sustainability of short food supply chains - European countries and Vietnam”;

(7): Assoc. Dr. Bui Thi Nga – Vietnam Agricultural Academy: “SFSCs - opportunities and benefits for small owners in agriculture in Vietnam”.

The conference is an international forum to introduce, debate and discuss burning issues, such as: Factors that support or prevent the development of short-term sustainable food supply chains; strengthen the participation of key stakeholders in supporting farmers, cooperatives and businesses; Modeling and policies in the European Union and other countries; Current situation of SFSCs in Vietnam; Policy recommendations related to sustainable short food supply chain development and the role of other stakeholders in the SFSC.

The conference received many comments from delegates, experts and scientists. The presentations and opinions exchanged at the Workshop focused on discussing, analyzing and clarifying short supply chains and short supply chain policies in some European Union countries, and at the same time suggesting some policy implications for Vietnam. Thereby, contributing to bringing a multi-dimensional, in-depth view, solving practical problems being raised.

 

Reporter.

 



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