Impact of Conversion to Organic Tea Cultivation on Household Income in the Mountainous Areas of Northern Vietnam

Nguyen Khanh Doanh, Nguyen Thi Thu Thuong and Yoon Heo
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Nguyen Khanh Doanh: International School, Thai Nguyen University, Thai Nguyen City 250000, Vietnam
Nguyen Thi Thu Thuong: The Faculty of Economics, TNU—University of Economics and Business Administration, Thai Nguyen University, Thai Nguyen City 250000, Vietnam
Yoon Heo: Graduate School of International Studies, Sogang University, Seoul 04107, Korea

Sustainability, 2018, vol. 10, issue 12, 1-21

Abstract: This study aims at determining if organic tea farming results in higher net income than conventional tea farming in the mountainous areas of Northern Vietnam. Our sample includes 226 traditional and 319 organic tea-producing households in the provinces of Thai Nguyen, Phu Tho, Ha Giang, and Lai Chau. Using a propensity score matching approach, the study finds that the adoption of organic tea production had a positive impact on households’ farm income in the study area. Using different matching algorithms, organic tea adopters earned higher income than did non-adopters, from 1038.8 to 1059.0 thousand Vietnamese Dong (VND) per hectare of cultivation plot. To increase conversion to organic tea farming amongst smallholder farmers, the government and other stakeholders should aim to provide better extension services, which incorporate relevant training to farmers and better access to information on organic tea production, as well as encouraging the commercialization of organic fertilizers. Simultaneously, the Vietnamese government should introduce mechanisms to coordinate production activities and deliver tea products to processing and/or marketing facilities.

Keywords: organic tea conversion; propensity score matching; ethnic minorities; Northern Vietnam (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

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