INNOVATION PLAN VIET NAM TEAM Developing Rural Traditional

INNOVATION PLAN VIET NAM TEAM

Developing Rural Traditional Trade Village for Pro-poor COCONUT PRODUCT IN BEN TRE PROVINCE

BEN TRE PROVICE Total area : about 70, 000 ha Total output: 430 million nuts/ year

PURPOSE CURRENT SITUATION 70% population depend on coconut; 30% of them are pro – poor and near poor (24, 000) Current group (small scale: 10 people) Add value to coconut Export to many markets The price is falling Mainly export to China Create more jobs, enhance incomes for the rural; give them livelihoods after the project end Enlarge group (20 -30 people)

STAKEHOLDERS Governance: support policy, tax… Enterprises: investment, marketing… Community (rural poor): produce NGOs – IFAD: funding, training, building… capacity for the rural poor

SWOT ANALYSIS S Natural conditions Large raw material area Diversify products Experiences in making handicraft Wide collecting network O Potential development Large market Investment promotion policies Encourage planting coconut W Habit of selling raw material Enterprises not interesting Family household production Plating according to traditional model A lot of poor employees T • • Disease Economic crisis Price competition Unstable labour

COCONUT VALUE CHAIN Inputs -Plant protection Dept. - Fertilizer suppling company Planting - Farmer households -Employees Collecting -- Farmer households -Traders - Family enterprises processing -Farmer households - Enterprises -CIGs Transport -Transport station -Employees -Enterprises Trade -Export -Domestic

COCONUT VALUE CHAIN (CVC) Inputs Planting Collecting processing Transport Trade

Whole nut Green husk Dry husk Soaking/mech extraction Natural retting White fibre Brown fibre Yarn - MAT T hảm Chiếu thảm Matting nệm Composite

COCONUT TRADITIONAL PRODUCTS

PLANING ACTIVITIES

Component 1: Rural Business Development services (BDS) 1. Evaluating training & upgrading coconut value chain - Hold workshops on sharing and learning experiences in developing CVC - Provide training activities to support coconut value chain (DPC) 2. Improve BDS provided to SMEs & family enterprises - Set up a BDS network to support for rural business activities (DOIT, IPA…)

Component 1: Rural BDS - cont… Improve & strengthen functions of business service provision of exisiting public and private institutions and agencies Linking & networking between poor employers & potential enterprises Holding short-term vocation training courses (combining with the local enterprises); training handicraft skill In-depth training related to coconut production techniques to farmers. Provide micro-financial for CIGs

TRAINNING ACTIVITIES

Component 2: Application of market access for the rural poor CIGs formed with high participation of poor households Members on new and existing CIGs trained on groups for management, value chain approaches, marketing and savings and credits, business plan formulation. Networking and contract farming promoted among CIGs, buyers, sellers of inputs. Contract farming between CIGs and buyers Evaluate and improve contract farming in coconut product

Component 3: Project management Provincial Project Management Unit established M&E system established Budget management

Expected result Reducing poverty rate annually 30% Attracting investment from private sectors Developing local areas producing handy craft Educating and training for local people Providing jobs and income for local people including 30% poor background people

BUDGET Component 1: 17 million USD Component 2: 8 million USD Component 3: 2. 9 million USD Physical contingencies: 0. 2 million USD Price contingencies: 0. 5 million USD TOTAL: 28. 6 million USD

THANK YOU!