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Economic Reforms and the Rise of Milk Mega Farms in Vietnam: Governing the Post-socialist Transition

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Abstract

Over the past 30 years, major economic reforms have deeply impacted the Vietnamese agro-food sector. In this study, we use the concept of “sociotechnical transition” to capture the multiple dimensions of this transformation. We focus in particular on the rapid emergence of the Vietnamese dairy industry. Up to the mid-2000s, the sector had been dominated by smallholder dairy farmers working in close collaboration with private milk processors and public services. This resulted in what we propose to call a “peasant” sociotechnical regime. In the late 2000s, the sector experienced a growing competition from agro-industries and mega farms holding several thousand cows. The role of smallholder producers has decreased and the sector has moved toward medium to large-scale producers. This new “corporate” regime profoundly modified the outcome of the post-socialist "transition". This case-study highlights important issues related to the governance of these rapid changes.

Résumé

Au cours des 30 dernières années, plusieurs réformes économiques ont profondément transformé le secteur agro-alimentaire vietnamien. Dans cette étude, nous utilisons le concept de « transition sociotechnique » pour analyser ces changements. Jusqu’au milieu des années 2000, le secteur a été dominé par des exploitations familiales de petite taille, travaillant en complémentarité avec les laiteries privées et les services publics. Cette période a été caractérisée par un régime sociotechnique de type « paysan ». A la fin des années 2000, le secteur a été marqué par une compétition accrue des firmes privées et des méga-fermes de plusieurs milliers de vaches. Le rôle des petits éleveurs a sensiblement diminué, laissant plus de place aux exploitations de taille moyenne et aux méga fermes. L’émergence de ce nouveau régime sociotechnique « industriel » a profondément modifié l’issue de la transition postsocialiste. La présente étude suggère des pistes pour piloter ces mutations rapides.

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Fig. 1

Source GSO, 2019 (NDDP = National Dairy Development Program)

Fig. 2
Fig. 3

Source: Data from Ba Vi Cattle and forage research center

Fig. 4

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Notes

  1. In English: Renovation.

  2. Also called “large-scale models” (English) or “mô hình cánh đồng mẫu lớn” (Vietnamese).

  3. Translated by us from original citation in French: « (…) ne pas considérer la transition uniquement comme une comparaison entre deux situations espacées dans le temps, mais de saisir ce qui se joue pendant la transition: l’état de passage» (de Terssac 2014).

  4. Translated by us from French: “L’idée de trajectoire n’implique pas que l’on se fasse de celle-ci une conception évolutionniste (…), ni même que l’on postule sa totalité et sa cohérence au risque de simplifier à l’extrême les termes de la comparaison. La donne de l’histoire est erratique et l’explication ou, soyons réaliste, la rationalisation à laquelle se livre le décrypteur du passé doit toujours tenir compte de la pure contingence.” (Bayart, 1996, p. 13).

  5. Equivalent to “3 sào” (local measurement unit).

  6. Circular 69/2000/TTLT-BNN-TCTK.

  7. Circular 27/2011/TT-BNN.

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Acknowledgements

The authors are grateful to the partners of the Revalter research project that supported this research, including CIRAD (Centre de Coopération Internationale en Recherche pour le Développement, France), IPSARD (Institute of Policy and Strategy for Agriculture and Rural Development, Vietnam), NIAS (National Institute of Animal Science, Vietnam), CASRAD (Center for Agrarian Systems and Rural Agricultural Development, Vietnam), ILRI (Intenational Livestock Research Institute), CNRS (Centre National pour la Recherche Scientifique, France), and INRAE (Institut National en Recherche Agronomique et Environnnement,).

Funding

The authors are grateful to ANR (Agence Nationale de la Recherche, France) and AIRD (Agence Internationale de la Recherche pour le Développement, France) who funded this research under the Revalter project.

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Duteurtre, G., Pannier, E., Hostiou, N. et al. Economic Reforms and the Rise of Milk Mega Farms in Vietnam: Governing the Post-socialist Transition. Eur J Dev Res 34, 2098–2125 (2022). https://doi.org/10.1057/s41287-021-00456-3

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