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Chapter 6
Theory on agricultural sustainable development
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Contents
• Theory on agricultural sustainable development
• Practical situation
• Policy suggestion
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1. Theory of sustainable agricultural


development.
1.1 Definition
• In the early 1990s, Douglas, GM (2006)
divided into three groups with different
definitions: Group 1: Sustainable
AGRICULTURE is emphasized on economic
and technical aspects. Group 2: Sustainable
AGRICULTURE is emphasized in terms of ecology.
Group 3: Sustainable AGRICULTURE with
emphasis on human environment aspects.
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1.1 Concepts
In the 1990s, UNDP defined it as follows:
“Sustainable development is development that
meets the needs of the present without
compromising the ability of future generations
to meet their own needs”. This definition is not well
supported by countries where poverty problems
are severe and incomes for the majority of the
population are low.
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1.1 Concepts
• Pearce and Turner (1990) have the following view: Sustainable
agricultural development is to maximize the benefits of
economic development on the basis of binding the maintenance
of the quality of natural resources over time and compliance
with following
rules: • For renewable resources ( forests ) , land, labor), their use must be
guaranteed at a level below their ability to
regenerate. • For non-renewable resources (machinery, agricultural
inputs), their optimal use depends on their ability to replace
these resources (eg using fertilizers to increase production
instead of for increased production by area) and technical progress.

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1.1 Concepts
The above concepts show that there is no consensus on
the definition of sustainable agriculture among economists.
However, most economists agree
that: “Sustainable agricultural development is a
development model in which there is a link between
agricultural growth and the overall growth of the economy;
agricultural growth with natural environment; poverty and
the human environment in rural areas.”

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1.2 Binding relationships


1.2.1 Agricultural growth and natural environment.
In agriculture, there are 2 methods to increase
production
scale 1) Extensive farming: Increased production
due to area expansion (mainly expansion of
land area from deforestation or increased crop
for actively irrigated land) Consequences:
Destruction of systems such as destruction of
many organisms, degradation of the soil-water
system, changes in climate

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1.2.1 Agricultural growth and


natural environment.
2) Intensive farming: increasing productivity per unit
area by increasing the use of inputs produced by the
chemical industry. Intensive farming is a method of
additional investment per unit area. Therefore, intensive
farming is capable of: Replenish and balance nutrients in the soi
Using the right dosage and types of pesticides and
investing in the development of irrigation systems in
sufficient quantity and quality can prevent salinization
and water pollution.

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1.2.1 Agricultural growth and


natural environment.
• The core problem of ecological imbalance is not
the growth rate or agricultural development, but
the mode of growth implementation.

• Braun model (1991): for developing countries


in the period 1980 - 1989. • FD
= f(gA, gL) • In
which: FD (Forest Damaged) is the area of
deforestation ; gA: growth rate in agriculture;
gL: growth rate of agricultural land.
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Result
• The annual growth rate of agriculture and
the rate of deforestation in developing
countries are not correlated (correlation
coefficient
0.07) • The growth rate of agricultural land
is significantly related to deforestation rate
(correlation coefficient 0.31)

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Case study in Vietnam (2002): 61


provinces over 4 years (1996 - 1999)
FOR = f(POP, GDP, FUEL, WOOD, CROP)
• FOR = Forest area (natural area * forest cover rate, ha) •
POP: Average population (1,000 people)
• GDP: GDP per capita (fixed price 1,000VND) •
FUEL: Firewood volume logging (1,000
steres) • WOOD: Amount of timber
harvested (1,000 m3 ) • CROP: Agricultural
land area (1,000 ha) • Linear regression model:
LnFOR = ÿ0 + ÿ1lnPOP + ÿ2lnGDP + ÿ3lnFUEL + ÿ4lnWOOD + ÿ5lnCROP

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Regression analysis results


• * The variable is not Estimated P
coefficient
statistically significant.
LnPOP -0.6097 0.006

• Agricultural growth LnGDP 0.3404 0.130*


Faster and stable industry
is necessary but does LnFUEL -0.6717 0.000

not necessarily damage LnWOOD -0.3440 0.010


the ecological environment.
LnCROP -0.4817 0.004

CONSTANT 10.3778 0.000


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The performance of sustainable agriculture


can be assessed through the following criteria:

• Trend of stable agricultural growth and higher


than population growth

• Change in area of forest cleared and restored,


fertility of agricultural land in use , soil salinity,
percentage of agricultural land in use,
percentage of land used Active irrigation and
source quality
water.

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1.2.2 Agricultural growth and rural


poverty
According to Rao CHH and Chopra
K (1991) • For extensive farming, due to the exploitation
of natural nutrients in the soil, expansion of the area
by deforestation, agricultural growth can be achieved
in the short term, but when the environment is If
natural resources are degraded, output will decrease
while population increases. As a result, unemployment
and poverty will arise.

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1.2.2 Agricultural growth and rural


poverty
• For the intensive farming method, to meet
the demand for rapid growth of agriculture,
high abuse of chemicals (fertilizers and
pesticides ) will appear. This will degrade
land and water resources. Once the
recession kicks in, productivity and incomes
decline, while population grows, rural areas
fail to attract jobs, unemployment is high,
and poverty emerges.

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1.2.2 Agricultural growth and rural


poverty
• According to Shephered, A. (1998), even the
application of production techniques that ensure
ecological balance still leads to poverty . The
reason is that the natural potential characteristics
of each geographical area are different and the
effectiveness of the application of new
techniques varies .

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The relationship between poverty and


environmental degradation
• New technology ÿ Rich farmers in areas with natural
advantages have access ÿ Government support ÿ
many farmers in regions with different natural conditions
apply ÿ Productivity increases ÿ Prices plummet ÿ Income
falls ÿ farmers give up on investment + population
continues to grow + unemployment rises ÿ Severe
poverty
• People in poverty increase ÿ ready to meet needs
consumption from nature ÿ the natural environment
continues to degrade ÿ income continues to decrease ÿ LOSE
The HIDE OF Poverty
Therefore, sustainable agricultural development must ensure
livelihoods above the poverty line for people in rural areas.

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Sustainable agriculture can be assessed by a number of indicators related to


employment trends and poverty in rural areas.

• Income (GNP/person, welfare, Unemployment rate in Vietnam)


countryside)

• Poverty (Estimation of the country's poverty line by


expenditure for calories consumed 2100 - 2300/day/person according to the
World Bank from 1980 to present, the reality of each country is different;
Poverty rate in rural areas)

• Other indicators such as: HDI and MPI (Multidimensional Poverty Index)

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1.2.3 Agricultural growth and


human environment in rural areas
The human environment in rural areas is reflected in two
aspects: health status - nutrition and cultural level of rural
human resources.
1.2.3.1 Agricultural growth and health - nutrition environment .

Agricultural growth and improving the health-nutrition


environment have an interaction relationship.
1) Agricultural growth creates jobs and income 2)
Employment and income will facilitate the improvement of the
nutritional health and status of farmers.
3) Improved health and nutritional status of farmers will affect
agricultural growth again

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1.2.3.1 Agricultural growth and


health - nutrition environment
Braun's Model (1991)
Based on data from 40 developing countries for the period 1965-1989.

• GGNP = f(GA )
1) Agricultural growth rate is strongly correlated with economic growth rate
in developing countries. For low-income developing countries, the correlation
coefficient is 0.75. While in middle-income developing countries this
coefficient is
0.21.
2) The growth rate of GNP is strongly correlated with infant mortality as well
as the rate of malnourished children (correlation coefficient is 0.47).

If agricultural growth is driven by production methods that affect


environmental degradation, it will affect the health and nutritional status of
rural people.

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1.2.3.2 Agricultural growth with


farmers' cultural level
• The cultural level of farmers is too low (illiteracy rate is high)
it will be difficult for them to understand the concepts of
sustainable development – environmental degradation and
understand techniques to reduce financial degradation.
original.
• Low cultural level will hinder the application of new
technologies that both benefit them and at the same time
preserve the
environment. • Therefore, agricultural growth that is not
associated with improving the rural population's education
level will affect environmental degradation.

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1.2.3.2 Agricultural growth with


farmers' cultural level
Sustainable agriculture can be assessed by a
number of indicators related to trends in the
nutritional health status and cultural level of
rural people as follows:
1) Percentage of malnourished children and adults, illiteracy

2) Infant mortality rate.


3) Percentage of farmers suffering from diseases mainly related to

the environment.

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Through the above growth relationships


with agriculture, it is shown that
Sustainable agricultural development is
development that meets the general growth
needs of the economy but does not degrade
the natural - human environment and ensures
sustainable livelihoods above the poverty line
for farmers. village.
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2. TRENDS FOR SUSTAINABLE


AGRICULTURE DEVELOPMENT IN VIETNAM
2.1 Agricultural growth and GDP

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Economic growth rate and agricultural


growth rate in the period 1990 - 2010
• The agricultural growth rate Year GDP NN
remains stable and follows the (%) (%)
same trend as the annual 1990 5.09 1.00
GDP growth rate.
1995 9.54 4.80
2000 6.79 4.63
• Both GDP and agriculture growth
2005 8.43 4.00
rates are much higher than
2006 8.23 3.69
population growth
2007 8.46 3.76
• Vietnam's agriculture
2008 6.21 4.68
maintains sustainable growth
and affects GDP growth in 2009 5.32 1.82
recent years 2010 6.78 2.78
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Agricultural labor productivity


growth

In 1999 compared with 1986, the agricultural labor productivity increased by 1.14 times and

The budget increased by 1.5 times. From 1986 to 1999, the average

annual growth rate was 1% for labor productivity

and 3% for Rs. The growth rate of labor productivity in agriculture,

forestry and fishery is the highest compared to other sectors (period

2001 - 2009).

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Export of agricultural products

• In 2010 compared to 1986 (24 years), the export value of


agricultural products increased 105 times. The average
annual growth rate is 21%/year.
Export turnover of Vietnam's agriculture Period 1986 -
2010
Unit: million USD
1986 160

1995 7.452
2010 16.816
Source: General Statistics Office of Vietnam
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The share of agriculture in total


export value (%)
Year Density
(%)

1986 65

1995 46
2010 23

The share of agriculture in total export value


tends to decrease.
..\Data collected nationwide\Value of imports and exports of the whole country by
region and by commodity group.xls

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The share of agriculture in total


export value (%)
• The contribution Year Density (%) 65
of agriculture in 46

total export value 1986


tends to decrease. 1995
2010 23

• ..\..\SCIENTIFIC RESEARCH
\COUNTRY COLLECTED
DATA \Country import and
export value by region and
by commodity group.xls
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2.2 Agricultural growth with the


natural environment
• Reduced forest area (ha)
Year Total Fire Demolition of Central Highlands
1995 26371.0 7457.0 18914.0 12478.0
2000 4588.5 1045.9 3542.6 1645.6
2010 7780.7 6723.3 1057.4 663.9

two thousand and thirteen


1964.0 1156.0 808.0 842.1
Source: General Statistics Office 2013

Conclusion: High and stable agricultural growth rate

in the past time accompanied by the threat of recession

environmental resources
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2.2 Agricultural growth with the


natural environment
• Lowest agricultural land per capita in the world: 0.11
ha (Ministry of Natural Resources and Environment, 2010)

• The ratio of non-agricultural land/agricultural land


increased, from 0.133% in 2006 to 0.138% in 2009. In the
Red River Delta, agricultural land loses 0.43% each
year due to urbanization (Ministry of Natural Resources
and Environment). , 2010)
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2.2 Agricultural growth with the


natural environment
• Degraded land area
Region Acreage %
Northern Midlands and Mountains 7.84 80

North Central 3.64 70

South Central 2.86 65

Highlands 3.3 60

Add 17.64
Source: Le Van Khoa et al (2003)

Conclusion: Due to degraded forests and unreasonable farming methods, the


whole country has about 8 million hectares of bare land and severely degraded land.
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2.3 Agricultural growth and poverty and


unemployment in rural areas

2.3.1 Poverty
Poverty line according to the multidimensional approach
applied for the period 2016 - 2020 calculated by income/person/m
Line Poverty Near poor
Urban 900,000 VND 1,300,000 VND
Area Rural Plain 700,000 VND 1,000,000 VND

Source: No.: 59/2015/QD-TTg on the promulgation of the multi-dimensional


poverty line for the period 2016 - 2020
..\..\SCIENCE RESEARCH\COUNTRY COLLECTED DATA\V 11.21.xls 33
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New World Poverty Line


• Based on ICP 2005
• A sample of 75 poor countries
• The lowest poverty lines are from 15 countries of
Malawi, Mali, Ethiopia, Sierra Leone, Niger,
Uganda, Gambia, Rwanda, Guinea-Bissau,
Tanzania, Tajikistan, Mozambique, Chad, Nepal
and Ghana

• The maximum of which: $2.00 a day


• The average of which: $1.25 a day
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Depth of poverty
According to research by Ravallion and Chen (2009)

• Household with income <$1.25/day: severe poverty


important

• Households with income of $1.25/day – $2.50/day : slightly


poor.

• Households with income > 2.5$/day: not poor.


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2.3.1 Poverty
Vietnam's poverty line is less than 50% of the world poverty line (as of 7/7/2011).
The whole country also has 3,055,566 poor households, compared to the total
number of households in the country, accounting for 14.2%. The Northwestern
provinces have a poverty rate of approximately 40%, the highest in the country. In
Dien Bien province, the number of poor households is more than 50%. Vietnam is
on the "poor map" of the world. ..\..\SCIENTIFIC RESEARCH\NUMBER DATA
COLLECTED NATIONWIDE\Muc09_Listen[1].pdf

KL: Although the poverty rate has improved significantly, the poverty rate is still
high and concentrated in rural areas, which are closely associated with the natural
environment. The risk of disrupting the ecological balance continues to be
threatened

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2.3.2 Employment and unemployment

Unemployment Lack of work


Year of the City rural Loyal rural
area area
2008 2.38 4.65 1.53 5.10 2.34 6.10
2009 2.90 4.60 2.25 5.61 3.33 6.51
2010 2.88 4.29 2.30 3.57 1.82 4.26
2011 2.22 3.60 1.60 2.96 1.58 3.56
2012 1.96 2.21 1.39 2.74 1.56 3.27
two thousand and thirteen 2.18 3.59 1.54 2.75 1.48 3.31

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2.3.2 Employment and unemployment

• According to the results of 2 surveys on living standards of GSO


in 1993 and 1998, the average annual employment growth rate
in rural areas is 1.7%. In which, employment associated with
household production is 0.8%, non-agricultural employment is
6.7% and wage employment is 3.3%. •
The rural unemployment rate in 1993 was 2.6% and decreased to
1.54% in 2013. ..\..SCIENTIFIC STUDY\NATIONWIDE
COLLECTED DATA
\2.46V.xls • Conclusion: Agriculture growth in recent years in
Vietnam is associated with job expansion and reduction of unemployment

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2.4 Environmental, health,


nutrition and cultural trends
• Health status of rural people • Abuse
of chemicals in agriculture

Industry • Water pollution


• Disease status of rural people •
Education status of rural people

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The abuse of chemicals in


agriculture
Table 1: Levels of pesticide use in Vietnam
1991 2000

Cultivated land area (million hectares) 9 10.5


Average amount of drug/ha (kg) 0.5 1.05
Drug class (%)
In there:
- Pesticides 83.3 45
- Antidote 9.5 22.54
- Herbicide 4.1 32.03
Source: Le Van Khoa et al (2003)
Conclusion: Chemical abuse tends to increase, especially pesticides
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Education status of rural people

• Vietnam's education level has improved significantly


compared to other countries in the WORLD.

• From 1994 to 2000, the adult literacy rate was


always above the trend line of correlation between
GDP/person and education level of countries in
the world (According to GSO and WB: period 1993 –
2000, GDP/person: 2800 USD; ALR: 92.2%)
ALR: Adult Literacy Ratio

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Education status of rural people

• However, areas sensitive to natural environment protection


such as the Northwest, Central Highlands, and Mekong
Delta have high illiteracy rates (24%, 11.8% and 10.2 %).
The Mekong Delta region compared to the whole country,
but the number of university and college students per
1000 people is the lowest in the country (4 students) (Tiger, D.
P, 2012)
KL: Agricultural growth is high and stable in recent years,
but the human environment of rural people has not developed
commensurately

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3. POLICY SYSTEM TO PROMOTE


Sustainable Development

3.1 Necessary contacts and policies

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3.1 Diagram depicting the relationship


between factors and policies.
Economic policy
Production human Educational
method Policy
Capital
Research and
Development

Agricultural Depression Environmental


Growth of environment Policy
Value chains
(first)

(2)

Poverty
reduction Farmer's Income Farmer's Policy on health
Health and nutrition.

Diagram 3.1
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According to Figure 3.1: Implementation


of agriculture by extensive farming
Water resources are low and affect the natural environment.

Consequences: 1. Degradation of natural environment will


reduce agricultural income and result in low income
of farmers and increase in poverty 2. Degradation of natural
environment together with low income and poverty will
affect nutritional health. maintenance ÿ reduced quality of
human resources + outdated production methods ÿ reduced state ca
3. Falling into a vicious circle: Slow growth ÿ natural environment
degradation ÿ human resource degradation ÿ low income ÿ
poverty.
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According to Figure 3.1: Implementation


of agriculture by intensive farming
Even the implementation of advanced production methods
and application of new technologies ensure
ecological balance, but if: 1. Weak human resources will not
be able to perceive environmental conservation and apply
techniques New techniques associated with ensuring
ecological balance ÿ environmental degradation continues
to increase and affects agricultural growth 2. If new techniques
affect environmental degradation, agricultural growth
cannot doable in the long run.
3. Environmental degradation affects agricultural growth
industry continues to evolve.
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Conditions for agriculture to develop


sustainably

New technology + natural environment


protection + quality human resources

ÿ There should be an impact policy


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3.2 IMPACT POLICY


SYSTEM
1) Economic Policy
2) Education policy
3) Policy to protect environment and resources
4) Policy on health care - nutrition for rural people

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3.2.1 Economic policy system


1) Invest in applied research and dissemination of
new techniques associated with ecological
balance; 2) Stabilizing the prices of inputs for production
agriculture and agricultural products;

3) Create sustainable livelihood opportunities for


farmers – poor people in rural areas;

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3.2.2 Education policy system


1) Raise the cultural level for future
generations of farmers and rural
people; 2)
Environmental awareness ; 3)
Control
population growth.

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3.2.3 System of policies to


protect the natural environment
1) Focus on perfecting effective laws
and enforcement systems for
environmental
protection; 2) Complete the allocation
of forest land use rights to farmers.

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3.2.4 Health care and nutrition


policy system

Interested in improving rural


people's ability to use public health
services, clean water
and nutrition

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