Strengthening the Mango value chain in the Mekong Delta

The “Strengthening the Mango value chain in the Mekong Delta” project aims to enable stakeholders throughout the value chain to successfully implement identified innovations to enhance their business in terms of sustainability, climate chain resilience and profitability.

Agricultural production in the Mekong Delta in Vietnam is of great national and global importance for current and future food security as well as rural income. It is threatened by the consequences of climate change and the unsustainable use of water and agrochemicals. The smallholders of the Mekong Delta region are not yet able to access existing and developing innovations to ensure their business and income are secure. There even more difficulties in ensuring their production methods are environmentally sustainable. Limited access to innovation limits sustainable rural development and improved food quality and security.

An overview of the component “Strengthening the Mango Value Chain In The Mekong Delta”

The Vietnam country package is a part of their global project “Green Innovation Centre (GIC) in the Agricultural and Food Sector” of the Federal Ministry for Economic Cooperation and Development (BMZ) special initiative “ONE WORLD without Hunger”. It is carried out in six central provinces of the Mekong Delta: An Giang, Dong Thap, Can Tho, Tien Giang, Hau Giang and Soc Trang. The main project objective is to provide rice and mango smallholders with access to sustainable innovations to increase income, employment and food quality. The “Strengthening the Mango value chain in the Mekong Delta” project is implemented under the Vietnam country package.

Vietnam produces about 800,000 tons of fresh mango annually, of which about 500,000 tons are produced in the Mekong Delta, this accounts for 45% of the national share of mango orchards. This puts Vietnam in fourteenth place globally in terms of volume of mango production. The majority of mango produced is consumed on the domestic market. 170,000 tons of mango are exported, of which, 94% is unbranded and traded
across the Chinese border. The remaining share is exported to medium-high value markets in the Middle East, Russia, Asia-Pacific, and North America.

Mango Business School is an initiative of the component “Strengthening the Mango Value Chain In The Mekong Delta”. The purpose of Mango Business School is to increase the knowledge capacity of key staffs of cooperatives, companies, Department of Agriculture and Rural Development, and other actors in the mango value chain.

A more efficient, environmentally friendly and internationally competitive agricultural sector is required to improve exportation of mango products from Vietnam. Global and domestic demand for mango and other tropical fruits has increased due to a change in consumer diets and an increase in disposable income. Consumers are willing to pay premium prices for high quality fruits. This allows for the potential for uptake of innovation to improve the mango value chain and boost exports of fresh and value-added
products.

Value Chain Development Training – An Overview Of Market Development Approaches

After a successful first training session in August 2021, the Mango Business School continued to welcome the participants of Cooperatives, Companies, and the Department of Agriculture and Rural Development to analyze the mango market as well as discuss ways to utilize marketing tactics in exploring new markets and approaching new clients.

The training focused on 4 main activities, including (1) an overview of domestic and international mango markets; (2) an introduction to the importance and how to set up the marketing strategy; (3) a discussion panel with the participant of Hoang Phat and Central Group representatives on Marketing tactics and quality control; (4) Group assignment on analyzing different mango value chains.

The panel discussion was the spotlight of the morning section thanks to the honest sharing from both representatives of companies on current challenges related to B2B communication and the quality of mangoes.

The first 2 courses on Value Chain Development training were the foundations of upcoming sessions of Mango Business School aiming to enable stakeholders throughout the value chain to successfully implement identified innovations to enhance their business in terms of sustainability, climate change resilience, and profitability.

Mango Business School officially start the first training on Value Chain Development

Mango Business School is an initiative of “Strengthening The Mango Value Chain In The Mekong Delta” – a component of the GIC Viet Nam aims to enable stakeholders throughout the value chain to successfully implement identified innovations to enhance their business in terms of sustainability, climate change resilience and profitability.

The purpose of Mango Business School is to increase the knowledge capacity of key staffs of cooperatives, companies, Department of Agriculture and Rural Development, and other actors in the mango value chain on key subjects including production, harvesting, packing, post-harvest management, quality assurance, sales, marketing, and management.

On 26 July 2022, the first training of Mango Business School was organized in Cao Lanh city, Dong Thap province with the participant of 43 trainees coming from Cooperatives, Companies and the Department of Agriculture and Rural Development.

The participants of the 1st training of Mango Business School

The full-day training provided trainees with informative approaches to value chain development in the Vietnam context. This introduction course provided a solid basis to start or further develop the mango value chains by discussing the 4 main topics: 

  1. What is value chain?
  2. Introduction to value chain thinking
  3. Mapping of the value chain
  4. Value chain analysis

The Value Chain is a business-oriented approach that aims to capture the best value at all stages of production, processing, and trading from farmers to consumers. The value chain approach can provide a holistic view of the production process, from raw materials to final consumption. This allows learners to identify areas for improvements in product and information flows via strategic alliances and networks, as well as relationship management. With this approach, producers can improve their market access while buyers access more reliable and improved raw materials.

Trainees are required to map the basic value chain based on their assigned role in the mango production process

The value chain approach can help government officials identify bottlenecks in the production process and which policies are needed to address these bottlenecks. The purpose of the training is to spark the understanding of the value chain approach and its importance as well as explain the principles and scope of the value chain and examine the priority areas for value chain development.

Group discussion on the value chain analysis

The training will carry out the 2nd part of Value Chain Development in September 2022 which will focus on getting to know Rapid Diagnostic Appraisal (RDA); how to apply these tools to specific cases; and ways of translating the value chain analysis into value chain development.

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