Innovation in two contrasting value chains: Constraints and opportunities for adopting alternative crop production in the Vietnamese Mekong River Delta

doi:10.1016/j.regsus.2025.100198

Abstract

Abstract:

Agricultural production (especially intensive rice production) is a primary income source for over 2.0×10⁷ people in the Vietnamese Mekong River Delta. However, adverse climate change impacts, socio-economic change, and high dependence on farm inputs for intensive production constrain the longer-term sustainability of rice systems. Government and agribusiness actors are encouraging more farmers to grow non-rice crops and supporting the upscaling of alternative crops to paddy rice. We used a qualitative approach to investigate the value chain characteristics, as well as constraints and opportunities of alternative crops via two case studies (baby corn and honeydew melon) in An Giang and Hau Giang provinces, Vietnam. Data collection involved focus group discussions with local farmers and interviews with farmers and industry experts. Thematic analysis was used to compile the findings, and the results were validated with local government staff. The baby corn value chain featured on-going and stable market demand (including value-addition) and better vertical coordination (e.g., written contracts and financial support). The honeydew melon value chain featured positive relationships between farmers and traders despite less-developed vertical coordination. There are opportunities for value chain engagement through product quality certification, value-addition, and accessing high-value domestic and export markets. However, farmers require crop-specific and generic support from private and public sectors. Increased labour requirements and limited access to finance and credit limit value chain participation. Upscaling and marketing alternative crops can enhance farmer profitability and support non-farming agricultural business establishment, economic growth, and community development. Efficient value chains will be critical to ensure the adoption of alternative crops and development of crop-specific agribusiness models. These findings can inform policy-makers and change facilitators in designing targeted interventions to support the adoption of alternative crops in the study area as well as in Vietnam and globally.

Key words: Value chain, Transformative adaptation, Alternative crop, Honeydew melon, Baby corn, Vietnamese Mekong, River Delta

Sang Thanh LE, Nhu Huynh MAO, Paul KRISTIANSEN, Michael COLEMAN. Innovation in two contrasting value chains: Constraints and opportunities for adopting alternative crop production in the Vietnamese Mekong River Delta[J]. Regional Sustainability, 2025, 6(1): 100198.

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Value chain	Constraint	Opportunity
Finance and economics	High or increasing input prices	Low investment cost
	Insufficient access to bank credit	More profitable than rice
		Crop income is sufficient and relatively stable.
		Income diversification (corn-cow model)
Value chains and private sector engagement	Technical barriers	Contract specifications for price, quantity, and quality provide certainty.
	Fragmented production area	Low transportation costs
	Uncertified product quality (e.g., global GAP or organics)	Government facilitation
	Monopsony by a company	Reliable access to domestic and export markets
	Heavy reliance on company for resources	Reliable crop supply
		Diversity in marketing information resources
Human resources	Insufficient or scarce labour	Many years of experience in production
Human resources		Training available for corn production
Farming systems and crop agronomy	Cost of farm infrastructure to support crop system	In-kind support (seed) available from collectors
	Inability to afford and lack of knowledge of new technologies	Embankment, dikes, and sluice gate systems are well constructed.
	Unpredictable and increasing diseases	Easy to grow
	Climate change and extreme weather	Crop suited to local soils
	Lacking modern technology application	Could be integrated with cattle production to increase income

Value chain	Constraint	Opportunity
Finance and economics	High or increasing input prices	High profitability
	High investment cost	High and consistent demand
	Lack of capital for farm investment	Credit available from traders
Value chains and private sector engagement	Scarcity of local buyers	Prices, estimated quantity, and quality are negotiated before planting.
	No linkage to premium buyers (company or processor)	Positive relationships between farmers and traders
	Oral purchase commitment rather than written contract	Low transportation costs and good transport networks
	Poor and uncertified quality limits access to premium domestic and export markets.	Diversity in marketing information resources
	Weak negotiation power for farmers due to fragmented production and reduced role for cooperatives
Human resources	Insufficient or scarce labour	General crop production experience and knowledge
	Inexperience in honeydew melon production
	Insufficient training available
Farming systems and crop agronomy	Cost of farm infrastructure to support crop system	In-kind support (seed) available from traders
	Inability to afford and lack of knowledge of new technologies	Appropriate transportation networks from farm to market
	Susceptibility to extreme and unpredictable weather	Embankment, dikes, and sluice gate systems are well constructed.
	Susceptibility to pests and diseases	Productive crop option
	Lacking modern technology application	Crop suited to local soils