Certification in local food value chains: panel data evidence from the vegetable sector in Vietnam

Laura Enthoven (), Luu Duy () and Goedele Broeck ()
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Laura Enthoven: Earth and Life Institute Agronomy
Luu Duy: Vietnam National University of Agriculture
Goedele Broeck: Earth and Life Institute Agronomy

Food Security: The Science, Sociology and Economics of Food Production and Access to Food, 2025, vol. 17, issue 5, No 13, 1255 pages

Abstract: Abstract While the inclusiveness and economic effects of certification for farmers in global food value chains have been extensively studied, similar evidence for local food value chains is scant. Yet, certification schemes are mushrooming in local food value chains that supply cities in low- to middle-income countries. These local food value chains embedded in urban food systems are increasingly recognised as key to ensuring food security and improving farmers’ welfare. We investigate the inclusiveness and effects of two local certification schemes for vegetable farmers supplying to Hanoi in Vietnam: VietGAP, a simplified version of GlobalGAP certified by a private third-party body, and a participatory guarantee system (PGS), also based on good agricultural practices but controlled internally by farmers and other local stakeholders. We use farm-household data from a two-round panel survey conducted in 2018 and 2022 among 301 vegetable farmers in peri-urban districts of Hanoi. We estimate a multinomial probit model to determine drivers of certification and correlated random effects models to evaluate effects on farmers’ welfare. We do not find that PGS is more inclusive than VietGAP, as all PGS-certified farmers are also VietGAP-certified, and PGS is not perceived to be more feasible or rewarding than VietGAP. Moreover, women are more likely to be excluded from both certification schemes. This points to important equity effects, which need to be considered when designing certification schemes in local food value chains. We do not find that certification, either through VietGAP or PGS, has improved farmers’ welfare so far.

Keywords: Urban food system; Domestic market; Standards; VietGAP; participatory guarantee system; Asia (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/s12571-025-01562-4

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