In agriculture, Resolution No. 10 (popularly known as Contract 10 or KhoanMuoi), issued by the Vietnam Communist Party in 1988, initiated the process of decollectivization and revived the development of the peasant household economy in rural areas. Resolution 10 obliged the agricultural cooperatives to contract land to peasant households for 15 years for annual crops and 40 years for perennial crops. Although the terms of land allocation varied across Vietnam, in most instances land was allocated equitably on the basis of family size. With decollectivization, cooperatives no longer controlled capital stock, working capital, and other means of production. Instead, they retained ownership of these elements, but were obliged to rent them out to peasant households. Moreover, peasant households were allowed to buy their own capital stock and working capital irrespective of the supply available from the cooperatives. This important policy has marked a return to family farming in Vietnam after a long period of collectivization with soviet model.
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In 2011,Vietnam has 10,3 million farmer household. According to preliminary results of synthesis, in 2011 there were 20,065 large farms (13.8% of farms in 2010). In total, Mekong Delta and the Southeast had 11,697 farms accounted for 58.3% of farms in the country. In particular, the Mekong Delta has 6,308 farms, accounted for 31.4%; South East had 5,389 accounted for 26.9% farms. These are two large aquaculture areas which were facilitative to the development of the farm economy.
There were 8642 cultivated farms accounted for 43%; 6202 breeding farms accounted for 30.9%; 4433 aquaculture farms accounted for 22.1%; 737 collective farms accounted for 3.7% and 51 forest farms accounted for 0.3%. Number of cultivated farms mainly concentrated in the Southeast, Mekong Delta and Central Highlands with 7809 farms accounted for 90.4% of total cultivated farms; number of aquaculture farms mainly concentrated in the Mekong Delta and the Red River Delta with 4090 farms accounted for 92.3% of total aquaculture farms; number of farms mainly concentrated in the Southeast and the Red River Delta had 4240 farms accounted for 68.3%. Farms use more land and labor. 01/7/2011, agricultural land, forest and water surface for aquaculture farms is 157.6 thousand hectares, on average 01 farm used 7.9 hectare. Of the total above, perennial crops occupied the largest share, with 78 thousand hectares (49.5%); annual crop land accounted for 23.3% with 36.7 thousand ha; aquaculture area accounted for 21.7% with 34.2 thousand ha; 8.7 thousand hectares of forest land (5.5%).
Land area of agriculture, forestry and fishery is highest in the Southeast region, on average 10.9 hectares per farm; Highland had 8.8 ha per farm; North Central and Central Coast had 8.7 ha per farm; Mekong Delta 7.3 ha per farm; Midland and northern mountainous region had 4.9 ha and Red River Delta had 3.6 ha per farm. Land area of agriculture, forestry and fisheries in 2011 increased over the previous year mainly due to the change in criteria farm.
Development of farm economy contributes to employment for rural labor. According to preliminary results, at the time of 01/7/2011, farms had created regular employment for nearly 100 thousand employees and many seasonal workers in the locality.
Development of farm economy towards commodity production scale is growing, stick to the market demand. Total income from agriculture, forestry, fisheries and farms in 2011 reached nearly 39 trillion (about 6% of the production value of agriculture, forestry and fisheries), on average, 1 farm reached 1942.5 million. Highest gross production of agriculture, forestry and fisheries per farm is Midlands and Northern Mountains with 2868 million, the Red River Delta with 2,519 million, Southeast with 2353 million, North Central and Central Coast with 1580 million, the Mekong Delta with 1.540 million and the lowest was Highlands with 1,315 million.
Value products and services of agriculture, forestry and fisheries sold in 2011 was 38,249 billion, on average one farm reached 1906.2 million. Of the total value of products and services, commodity ratio (part farm sales) accounted for 98.1%. The higher commodity ratio area is: Southeast (99.0%), Mekong River Delta (98.6%), North and Central Coast (98.4%), Red River Delta (98.2%), Highlands (96%); the lowest area is Midlands and northern mountainous region (92.2%).
Census rural areas, agriculture and fisheries in 2011 above gave a comprehensive picture of the current situation as well as the problem in the country today. The great results of the restructuring of rural households, developing rural infrastructure, developing the type of production (households economic = small family farm versus large farms using hired labor), agriculture, forestry and fisheries as well as the back wards of slow development of rural infrastructure in Midlands and northern mountainous region, Central Highlands and in the provinces of the remote areas; or a slow shift in the structure of rural households and the development of forestry, fisheries is not commensurate with the potential on a national scale as well as in each economic region, each locality were initially quantified with many useful statistical.
The family farming in Vietnam now is facing new challenge in the context of globalization and climate change:
- Rice land converted rapidly into industry and urban
- Climate change – risk for rice: drought, flood…
- The productivity in agriculture is slowing down
- Price of labor and material input highly increase, low added value per farmers
- Low quality and low export price
- Lacking of farmer professional organizations and co-operatives lead to the low bargaining power
- The old and women staying in farm only.
In order to support the family farming in Vietnam, the Government has some strategically policies named “Tam nong” (Rural, Agriculture and Farmer): food security/poverty reduction, agricultural adjustment to higher value and farmer income and new rural development :
- New land Law: land-use right longer for 50 years, ensuring land security for small farmers
- Protecting rice land able for rice growing with flexibility
- Investing on research on innovative technology
- Improving sustainable and green cultivation practice
- Mechanize production and focus on stepping up post-harvest processing and especially rice storage, drying
- Diversifying production system based on market research in order to stabilize the income for farmers
- Diversifying local rice variety, improving quality, protecting intellectual property of rice product...
- Promoting professional farmer organization and rice production and business co-operative participating in governance of rice value chain (PPP) for a model « Large scale field »
- Infrastructure (road, irrigation) in rural area.
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