Transcript Presentation by Nick Shirra on Market Access for Small-scale Farmers in a Market-Oriented, Environmentally-Sustainable Context

Market Access for Small-scale
Farmers in a Market-Oriented,
Environmentally-Sustainable
Context
- from an economic & commercial viewpoint
Nick Shirra
WABS Ltd.
(Agri-Business and Marketing Specialists)
[email protected]
Market Oriented Environmentally
Sustainable Ag Production
Markets present for the following :• Safe Food – low MRLs
• EUREPGAPS – traceability & low MRLs
• Organic – traceability, no chemical
contamination, environmentally conserving
practices
- All basically Good Agricultural Practices
(GAPS)
The Market for GAPs
• Growing market in Vn ‘Safe’ agri-produce – a few
companies already invested and has increasing investment
• Organic in Europe
- Euro 1.8 billion value of European
Organic-food market (2006)
- increasing 10 – 14% annually
• EUREPGAP - almost a mandatory requirement for exporting to
Europe
• Aquatics +++
• Japan and numerous other countries also have high
demand for organic etc. (1999 estimates annual market
value US $ 2 – 3 billion)
• Other destinations – (data from 2000)
Destination of Vegetable Exports
Others , 5%
South America ,
1%
Asia , 8%
Middle East , 2%
North America ,
26%
Europe, 58%
Sources GAP Imports
Europe
North
America
-Europe / Eastern Europe / Northern
Arabia - (Africa inc South Africa) Asia (small amounts)
- US, South America
Japan +
Asia
- Australia and world wide
Middle
East
- Worldwide
Vietnam’s GAP Market Access
Current
• EUREPGAPS - where already competitive in
supplying markets – growing slowly e.g. lowvalue coffees,
• Organic – limited – a few vegetables + coffee
• Safe food – some access into domestic market
• Aquatics – doing well in shrimps etc.
Vietnam’s GAP Market Access
Potential
• EUREPGAPS - where already competitive in
supplying markets further development could
occur.
• Organic – limited in short & medium term
• Safe Food – potential in short & long-term for
domestic markets.
• Aquatics – doing well already
Vietnam’s GAP Market Access –
Constraints
• Compared to other countries the private sector
does not invest as much in small-scale farmers
• Relationships (both ways) are weak and
unreliable
• Private sector traditionally (last 25 years)
dominated by SOEs
• Vietnam is not a traditional exporter of high
value f&v to major export destinations
As a result business-services are few (air-freight,
certification services, training services etc.)
Vietnam’s GAP Market Access
Developmental Needs & Strategies
– for discussion
1. Advice on market orientation / selection ?
2. Capacity building at production level in
supplying to market demands (certification
requirements etc.) ?
3. Increasing private sector investment /
competitiveness ?
4. Building market demand locally ?
5. ????
Support wisely !
Nick Shirra
WABS Ltd.
(Agri-Business and Marketing Specialists)
[email protected]
0904 393 770