Exploring the Governance and Fairness in the Milk Value Chain: A Case Study in Vietnam

Viet Hoang, An Nguyen, Carmen Hubbard and Khanh-Duy Nguyen
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Viet Hoang: School of Economics, University of Economics Ho Chi Minh City, Ho Chi Minh City 700000, Vietnam
An Nguyen: School of Economics, University of Economics Ho Chi Minh City, Ho Chi Minh City 700000, Vietnam
Carmen Hubbard: School of Natural and Environmental Sciences, Newcastle University, Newcastle upon Tyne NE1 7RU, UK
Khanh-Duy Nguyen: School of Economics, University of Economics Ho Chi Minh City, Ho Chi Minh City 700000, Vietnam

Agriculture, 2021, vol. 11, issue 9, 1-22

Abstract: Governance and fairness in the food value chain have gained considerable attention from both policymakers and scholars, especially in developing countries. This study analysed the milk value chain, exploring its governance and fairness, and assessed the regulatory interventions across the milk value chain in Vietnam using a qualitative framework and the global value chain governance model. The results show that Vietnam’s milk production and dairy market have developed notably since the reforms. The value chain is structured according to three governance models, i.e., relational, captive, and hierarchy models. Vietnam’s milk value chain has progressed through three building phases, expanding in breadth, and undergoing in-depth development, and the governance models have adjusted accordingly. However, Vietnamese dairy farms have been exposed to a low level of fairness across the supply chain. Although dairy farmers in the relational model may benefit from more power and fairness in the short term, farmers in the captive model may gain benefits and potential fairness in the long term. Vietnam has diverse regulatory interventions to enhance farmers’ fairness and welfare, and the results are notable. However, not all farmers have benefitted from these policies, and measures regarding fairness and welfare should be diverse, gradual, and inclusive.

Keywords: milk; fairness; global value chain; governance; sustainability; Vietnam (search for similar items in EconPapers)
JEL-codes: Q1 Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (10)

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