The costs of obtaining food security in vietnam

Nội dung text: The costs of obtaining food security in vietnam

1. Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 27 The Costs of Obtaining Food Security in Vietnam By Nguyen Van Ngai1 Global food crisis happened in 2008, supply and thus allocates a lot of resources all countries in the world must pay attention for food production, rice in particular, it may on food security. Although Vietnam is a food result in negative impacts on agricultural export country, food security is targeted development and the economy as a whole. as a priority in the process of economic Vice versa, if the country sets priority development. Obtaining food security will to agricultural development in terms of gain political and social stabilities, but it agricultural growth rate and economic may create negative impacts on agricultural growth, it may result in high risk in development and economic development obtaining food security. This study reviews as a whole. This paper overviews some policies related to food security in Vietnam, key policies on food security, analyses the analyses current food supply and demand current food security, projects food security and projection until 2020, identifies trade- in Vietnam until 2020, investigates the costs offs between food security and agricultural of obtaining food security and draws policy and economic development and draws recommendations. policy recommendations. I. Introduction II. Review of Food Security Policies In recent decades, food security has in Vietnam been an important ‘organizing principle’ Even though Vietnam is a food in development. There are a number of export country, Vietnamese Government researches, aid agencies, and programmes of and Vietnamese Communist Party always actions have been carried out in an attempt set food security as a priority in making to ensure food security. The concept of ‘food policies during the process of economic security’ has developed over the past three development. The Tenth Congress of decades. Four components of food security Vietnamese Communist Party agreed that is widely accepted that are availability, Vietnam must plan the area for growing accessibility, sustainability and safety rice in order to get stable rice production at different levels such as international, and obtaining food security. The policies regional, national and household levels. supporting food security include policies Although Vietnam is the second leading related to rice growing such as land rice exporting country, food security is still policy, investments and trade policy. In an issue that need to be considered, not terms of land policy, in 1993 the land law only at national level but also household was issued allowing rice farmers to have and individual levels. At the national level, more autonomy in making production Vietnam has been trying to develop its decisions. However, in order to obtain food agriculture to meet the objective of food security, the government issued Decisive security since food security is recognized as No. 68/2001/ND-CP on 1st October 2001 an important issue in terms of economics, that attempted to control paddy land by politics and society as a whole. Moreover, limiting farmers to convert their paddy in 2008 global food crisis make Vietnam land to other crops or other uses. In 2006, worried more about food security. If the Vietnamese Assembly issued Decisive No. country worries too much about food security, 57/2006/NQ-QH11 that strictly controlled it gives priority on food production for self- converting from paddy land into other 1 Nong Lam University, Ho Chi Minh City, Vietnam Email: nvngai@hcmuaf edu.vn, nguyen_van_ngai@yahoo.com
2. 28 Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 using purposes. Moreover, farmers were stop signing rice export contracts between also exempted from agricultural land tax. Vietnamese export companies and their On 18 April 2008, Prime Minister signed rice export partners. Moreover, some Decisive 391/2008/QĐ-TTg to check the policies supporting rice production such as implementation of agricultural land use research and applying new rice varieties, plan, rice land in particular. technological trainings, exemption of Vietnamese Government has also irrigation fees and encouraging rice farmers supported food security by providing public doing contract farming have been applied. investments in agriculture, especially in III. Current Food Security in Vietnam building irrigation system for areas growing 3.1. Food supply rice. About 80% of irrigation investments Food includes staple food (rice, has been contributed to rice production. Moreover, on 22 October 2004, Prime cassava, sweet potato, maize, etc.) and food Minister signed Decisive, No. 184/2004/ stuffs (meat, vegetable, egg, milk, etc.). QĐ-TTg, to improve the irrigation system This study focuses on staple food, rice in connecting to farmer land and rural particular since it is a leading staple food transportation system. Trade policy is the in Vietnam. Staple food in Vietnam has other tool that Vietnamese Government significantly increased over the period of applied to obtain food security at national 1986-2007 after the ‘renovation program’ level. In general, the restrictions of rice started in 1986 that conducted a transitional export such as export taxes or export quotas phase from the centrally-planned economy have been removed, but the government still to a market oriented economy. As a result has a role in management of food security of that program, Vietnam became the third by controlling rice export contracts based largest rice exporter in the world in 1989, on the balance of domestic demand and behind Thailand and USA. Since 1989, supply. For example, in March 2008, when Vietnam has firmly obtained its food security food price in the world sharply increased at the national level. The production of staple due to high international demand for food, foods has continuously increased during the Prime Minister announced the regulation to 2000s (see Figure 1). Figure 1 : Production of Some Staple Foods, Vietnam, 2000-2007, 1000 tones 40000 35000 30000 25000 Sweet potato Cassava 20000 Paddy 15000 Maize 10000 5000 0 2000 2001 2002 2003 2004 2005 2006 2007 Source : GSO, 2008.
3. Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 29 Table 1 Cultivated Area, Production, Yield of Paddy, Vietnam, 1990-2007 Cultivated Annual Production Annual Yield (tone/ Annual area growth rate (1000 tones) growth rate ha) growth rate *(1000ha) 1990 6042.8 - 19225.1 - 3.18 - 1991 6302.8 4.3% 19621.9 2.1% 3.11 -2.1% 1992 6475.3 2.7% 21590.4 10.0% 3.33 7.1% 1993 6559.4 1.3% 22836.5 5.8% 3.48 4.4% 1994 6598.6 0.6% 23528.2 3.0% 3.57 2.4% 1995 6765.6 2.5% 24963.7 6.1% 3.69 3.5% 1996 7003.8 3.5% 26396.7 5.7% 3.77 2.1% 1997 7099.7 1.4% 27523.9 4.3% 3.88 2.9% 1998 7362.7 3.7% 29145.5 5.9% 3.96 2.1% 1999 7653.6 4.0% 31393.8 7.7% 4.10 3.6% 2000 7666.3 0.2% 32529.5 3.6% 4.24 3.4% 2001 7492.7 -2.3% 32108.4 -1.3% 4.29 1.0% 2002 7504.3 0.2% 34447.2 7.3% 4.59 7.1% 2003 7452.2 -0.7% 34568.8 0.4% 4.64 1.1% 2004 7445.3 -0.1% 36148.9 4.6% 4.86 4.7% 2005 7329.2 -1.6% 35832.9 -0.9% 4.89 0.7% 2006 7324.8 -0.1% 35849.5 0.0% 4.89 0.1% 2007 7201.0 -1.7% 35867.5 0.1% 4.98 1.8% Average 7071.1 1.1% 29087.7 3.8% 4.10 2.7% (1990-2007) Average 7427.0 -0.8% 34669.1 1.7% 4.7 2.5% (2000-7) Source : GSO, 2008. Note : * Cultivated area equals planted area times the number of crops per year. Paddy production nearly doubled over Reduction in cultivated paddy area the period of 1990-2007, 19 million tones during the year 2000s in 1990 and 36 million tones in 2007 (see However, during the year 2000s, paddy Table 1). The annual growth rate of paddy production continued increasing at slower production was about 3.8% as a result of growth rates, (1.7% annual growth rate). The 1.1% increase in cultivated area and 2.7% slowdown of the growth rate can be explained increase in yield. by some pressures in the economy that reduced land areas for paddy production (see Figure 2), even though the yield remained at more than 2% increase per year. Figure 2: Areas Growing Staple Foods, Vietnam, 2000-2007, 1000 ha 1000 ha 9000 8000 7000 6000 Sweet potato 5000 Cassava 4000 3000 Rice 2000 1000 Maize 0 2000 2001 2002 2003 2004 2005 2006 2007 Source : GSO, 2008.
4. 30 Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 Table 2 Changes in Agricultural Land in 2006 compared with 2001, 1000 ha Year Changes 2001 2006 1000 ha % Total 21224.45 24696.0 3471.15 16.35 Agricultural land 8879.06 9436.16 557.1 6.27 Annual crops 6064.34 6348.15 238.81 4.68 Paddy rice 4337.75 4130.94 -206.81 -4.77 Perennual tree 2814.72 3088.01 237.29 9.71 Forestry 11822.99 14514.23 2691.24 22.76 Fishery 503.47 715.11 211.64 42.04 Source : GSO, 2007. Figures in Table 2 show that during non-paddy annual crops and for perennial the 2000s planted paddy area was reduced trees also increased during that period of about 1% a year in average, 4.3 million time. Low incomes in paddy production is ha for paddy production in 2001 and 4.1 the reason that farmers change their crops million ha in 2006. Farmers converted their to get higher incomes. They also use paddy rice land into other crops (sugarcane, fruits) land to build ponds for producing shrimp or fishery (shrimp and fish). The land for or fishes which can export to gain much fishery increased from 0.5 million ha in higher incomes. 2001 to 0.7 million ha in 2006. Land for Table 3 Cultivated Paddy Area by Regions of Vietnam, 2000-2007, 1000 ha Red North- North- Central Central High- South- Mekong Year Country River east West North South land east Delta Delta 2000 7666.3 2121 550 136 695 422 176 526 3945 2002 7504.3 1196 562 140 700 399 186 484 3834 2004 7445.3 1161 557 151 685 401 198 475 3816 2006 7329.4 1124 553 154 683 392 208 435 3773 2007 7021.0 1111 553 158 683 376 205 432 3684 Change - 645.3 -101 +3 +22 -12 -46 -29 -94 -261 2007/2000 Source : GSO, 2008. It is noted that the reduction of of economic development. Losing paddy cultivated paddy land in Vietnam during land for that objective may be appropriate. the 2000s happened in two important paddy However, the problem is that approximately production regions in Vietnam, Red River 50% of land in industrial parks has not Delta (decreasing 101 thousands ha) (see been leased by investors. Climate change is Table 3) and Mekong Delta (decreasing 261 another pressure that affects the paddy land thousands ha). The reduction of paddy area area, particularly in the two deltas. Vietnam in these regions is due to the urbanization, is in the top five countries vulnerable to the government established many climate changes. If the sea level rises by industrial parks on the paddy land. Farmers 1 meter, Vietnam will lose 5% land, in have to return their land-use right to the which, Thai Binh, Hai Phong, An Giang, government and get some compensations. Dong Thap, Tien Giang, Vinh Long and Ca Industrialization is one of key objectives Mau provinces will seriously be affected. of Vietnamese Government in the process Vietnam paddy production will be reduced
5. Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 31 by 5 million tones per year due to climate paddy yield during the 2000s is 2.5 percent changes. (Vietnam Media, 2008). per annual, the law of diminishing marginal product in paddy production is rather clear Achievement in high paddy yield over the period of 2000-2007, the yield As above discussed, even though increased at the diminishing growth rates. paddy land area has been decreasing but Improving technology and investments are paddy production still keeps increasing, the considered as main reasons for achievement achievement in high paddy yield is a reason in high paddy yield. for that. The average annual growth rate of Figure 3: Yield of Paddy and Maize, Vietnam, 2000-2007, 100kg/ha 60 50 40 Rice 30 Maize 20 10 0 2000 2002 2004 2006 2007 Source : GSO, 2008. Growing paddy in the Red River lower, 5.06 tones per ha in 2007 (see Table Delta results in highest yield in Vietnam, 4). Therefore, increasing paddy production 5.67 tones per ha in 2007, while Mekong in Vietnam by improving yield in Mekong Delta is a leading region for growing Delta is very potential. paddy in Vietnam but the yield is still Table 4 Paddy Yield by Regions of Vietnam, 2000-2007, tones/ha Red North- North- Central Central High- South- Mekong Year Average River east west North South land east Delta Delta 2000 4.24 5.43 4.00 2.95 4.06 3.98 3.32 3.19 4.23 2002 4.59 5.64 4.22 3.27 4.51 4.28 3.25 3.47 4.62 2004 4.86 5.78 4.47 3.63 4.93 4.71 3.95 3.75 4.87 2006 4.89 5.81 4.54 3.80 5.10 4.91 4.29 3.91 3.91 2007 4.98 5.67 4.56 3.64 4.74 5.09 4.19 4.24 5.06 Source : GSO, 2008. 3.2. Food demand feed, processing for food and reserves to Demand for food includes domestic stabilize the market fluctuation as needed. demand and foreign demand. Domestic Of which, seed, human consumption and demands consists of demand for seeds for animal feed are considered as necessary reproduction, human consumption, animal demands that cannot be missed. The foreign
6. 32 Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 demand refers to exports to the world security. However, Vietnam is a low income markets for foreign exchange earnings. A country, an increase in incomes leads to country just exports food as there is food changes in components of daily diet that shift surplus after meeting domestic demands. to consume more food stuffs and less staple Domestic food demands food, rice in particular. Rice consumption per head reduced from 156 kg/person/year in Human consumption and animal feed are two main sources of rice consumption in 1992 to 120 kg/person/year in 2006 (GSO, Vietnam, 66.4% and 24.3%, respectively. As 2009). In average, the rice consumption many Asian countries, rice is a daily food for decreases about 1.7% per annual as a Vietnamese people. Since 1989, domestic result of increase in incomes that eases the rice production has met human consumption pressure on food demand due to population in Viet Nam. Vietnamese people just growth. People will consumption more consume about 54% of total rice production. food stuff, meat in particular. According to Thus, Vietnam has firmly obtained its food the study of Pham Thi Lan Anh, Pham Van security at the national level. Hoan and Nguyen Duc Minh (2009), meat Rice consumption in Vietnam depends consumption per head increased 5 times on population and components of daily diet. over the period of 1985-2005 or about 24% Population growth in Vietnam was about increase per annual (see Figure 5) and 4.5% 1.6% per annual, average in 1986-2005 over the period of 2000-2005. If the demand (GSO, 2008), thus, rice consumption must for meat continues increasing, the supply of be increased by the same percentage if there meat must increase to meet increasing meat is no change in the components of daily diet. demand, and therefore, as a consequence Population growth imposes the pressure on the demand for rice to produce animal feed human rice consumption and thus on food must be higher. Figure 4: Population,Vietnam, 1988 – 2007, million people 90.00 80.00 70.00 60.00 50.00 40.00 30.00 20.00 10.00 0.00 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 Source : GSO, 2008.
7. Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 33 Figure 5: Changes in Consumption of food - stuffs, Vietnam 1985 - 2005,(Kg/person/year) Vegetables Fish Meat Egg and milk 250 203 200 214 171 180 150 100 69.9 50 52 50 40.1 62.8 51 13.6 13.7 10.3 30.2 0 1.7 2.9 1985 1990 2000 2005 Source : Vietnamese Institute of Nutrition Source : Pham Thi Lan Anh, Pham Van Hoan and Nguyen Duc Minh, 2009 Exports the growth rate of rice supply, the volume Vietnam has become a food export of rice exports has been increasing over country since 1988, just after two years years (see Figure 6). Asian countries such implementing the ‘renovation program’. as Philippines, Indonesia and Malaysia are Because the domestic demands have the main rice importers of Vietnam. increased at the slower rate compared to Figure 6: Rice Export, Vietnam, 1986 – 2007, 1000 tones 6000 5000 4000 3000 2000 1000 0 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 Source : GSO, 2008. IV. Projection of Food Security in as the average rate during the period of Vietnam Until 2020 2000-2007. The number of crop per year In order to understand how food is expected to be unchanged, 1.8 crops per security in Vietnam until 2020, some year. In order to meet increasing demand assumptions of rice supply and rice demand with decreasing paddy cultivated area, the must be proposed. In the supply side, planted yield must be raised. Keeping 2.5% yield paddy area are expected to decrease 1% increase per annual until 2020 is proposed. per annual with the assumption that land In the demand side, three necessary domestic for producing paddy continues decreasing demands, which are seed, animal feed and
8. 34 Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 human consumption, must be projected. projected to increase by 4.5% per annual. Paddy demand for seed is based on the In 2020, Vietnam will need 11 million tones projected cultivated area and the unchanged of paddy for animal feed that is about a half amount of paddy seed per cultivated ha. The of human consumption. In conclusion, the projected human consumption is based on necessary demands (seed, animal feed and the forecasted population growth and rice human consumption) in 2020 will be about consumption per person per year that is 31 million tones, if there is no change in expected to be 1.7% decrease per year. The supply (35.8 million tones in 2007), there amount of paddy for human consumption are only 4 million tones left for the other in 2020 will be about 20 million tones. In demands such as reserve, processing and order to project the amount of paddy for exports) in 2020. If taking above projected animal feed, over the period of 2000-2005, paddy supply and necessary demands the meat consumption increased by 4.5% together, Vietnam will have 11.71 million per annual in average as studied by the tones left for reserve, processing and Vietnamese Institute of Nutrition. Thus exports in 2020. the demand of paddy for animal feed is Table 5 Balancing Paddy Demand and Supply, 2020 2007* 2010 2015 2020 Assumptions 1. Population (million people)* 85.2 88.5 93.6 98.6 2. Planted paddy area (million ha) 4.10 3.98 3.78 3.59 1% decrease per annual 3. Cultivated paddy area (million ha) 7.20 7.16 6.80 6.46 1.8 crops per year, unchanged 4. Yield (tone/ha/crop) 4.98 5.35 6.02 6.78 2.5 % increase per annual 5. Supply (million tones) 35.8 38.32 40.96 43.77 6. Necessary Demands (million tones) - Seed 1.10 1.09 1.04 0.99 - Animal feed 6.4 7.26 8.90 10.90 4.5% increase per annual 1.7% decrease in rice consumption per -Human consumption 19.97 19.79 20.02 20.17 person per annual 7. Balance (million tones) (Reserve, process and exports) 8.33 10.17 11.00 11.71 Source : Estiamted Note : * Adapted from Chu Tien Quang, 2008. The projection of paddy production 2020, Vietnam will have only 0.11 million in 2020 must depend on the assumption of tones of paddy for reserve, processing 2.5% increase in paddy yield per annual and exports in 2020. Vietnam will face that is the average rate over the period of with the food insecurity at the national 2000-2007. However, in order to achieve level. Therefore, under the pressure of the that assumed rate is not easy that depends decreasing paddy area, in order to obtain on many factors. Figures in Table 6 provide food security, Vietnam must look for the projection of necessary demands, supply strategies to increase the paddy yield. and balance by different scenarios of yield, V. Costs of Obtaining Food Security 2.5%, 2%, 1.5%, 1%, 0.5% and 0% increase in Vietnam per annual. The important signal is that if Like several Asian countries in the the paddy yield is unchanged from now to region, rice in daily diet is a Vietnamese
9. Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 35 Table 6 Supply, demand and balance of paddy by yield assumptions, Vietnam, until 2020, (million tones) Assumption of 2007 2010 2015 2020 increase in yield Supply 35.80 38.32 40.96 43.77 2.5% per annual Demand (seed, animal feed and human) 27.47 28.15 29.96 32.06 Balance (reserve, exports, processing) 8.33 10.17 11.00 11.71 Supply 35.80 37.79 39.49 41.27 2.0% per annual Demand (seed, animal feed and human) 27.47 28.15 29.96 32.06 Balance (reserve, exports, processing) 8.33 9.64 9.53 9.20 Supply 35.80 37.25 38.05 38.85 1.5% per annual Demand (seed, animal feed and human) 27.47 28.15 29.96 32.06 Balance (reserve, exports, processing) 8.33 9.10 8.09 6.79 Supply 35.80 36.72 36.63 36.54 1.0% per annual Demand (seed, animal feed and human) 27.47 28.15 29.96 32.06 Balance (reserve, exports, processing) 8.33 8.57 6.67 4.47 Supply 35.80 36.18 35.23 34.31 0.5% per annual Demand (seed, animal feed and human) 27.47 28.15 29.96 32.06 Balance (reserve, exports, processing) 8.33 8.03 5.28 2.25 Supply 35.80 35.65 33.87 32.17 0.0% per annual Demand (seed, animal feed and human) 27.47 28.15 29.96 32.06 Balance (reserve, exports, processing) 8.33 7.50 3.91 0.11 Source : Estimated. tradition, after any generous meal without impose some costs in terms of economic rice, Vietnamese people feels that they have development in Vietnam. Agricultural not finished the meal. Rice is a staple food growth, industrial growth and household that cannot be substituted. If food security incomes may be negatively affected by the is a problem in the world, rice security is an obtaining food security. Vietnamese issue. Obtaining rice security The option that increases the paddy must be considered as a first priority for yield is rather difficult since the yield in political and social gains, and in turn Vietnam is currently high. There are some economic stability. As discussed above, in constraints in increasing the yield including order to meet the objective of food security, technological and economic constraints. Vietnam must focus on the supply side since The rice production is, of course, the increasing demand cannot be reduced. characterized by the law of diminishing There are two options for increasing paddy marginal product. Getting higher rice yield production that are the expansion of paddy needs high level of inputs and investments land areas and improving yield. Those that may not be efficient.
10. 36 Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 Table 7 Comparison of staple food production with the others (Million VND/ha, constant prices in 1994) Vegetables, Staple Food Fruits Fishery beans 2000 6.57 8.14 10.81 33.93 2001 6.69 8.71 10.50 33.58 2002 7.16 9.19 10.17 34.60 2003 7.29 9.62 9.69 35.27 2004 7.54 9.67 9.85 37.43 2005 7.61 10.39 10.44 40.51 Average 7.14 9.28 10.24 35.89 Index, staple food=1 1 1.30 1.43 5.02 Source: Estimated by using data of GSO (2006 and 2008) Reserve or expansion of land for agricultural uses such as building industrial paddy growing to meet the objective of food parks, golf and etc. has been criticized by security may lower the agricultural growth. many people. If because of worrying rice In general, land productivity of rice is much security, the government stops that land smaller than that of other crops. Based on the converting, the cost is too high. It will official data of GSO, it is estimated that one affect the process of industrialization and hectare of land for producing vegetables, slowdown positive structural change and sugar and beans, for fruits and for fishery thus economic growth. is equal to 1.30, 1.43 and 5.02 times as that For an exported food country like for paddy production, respectively (see Vietnam, obtaining food security by Table 7). Thus, shifting land from non- restricting exports in order to maintain paddy production to paddy production domestic consumption will result in lost will result in lower land productivity and export revenue and foreign exchange smaller agricultural production. Over the earnings (FAO, 2008) that happened in period of 1990-2007, the average growth Vietnam in the first months of 2008 as the rate of agricultural sector was about 4% global food crisis occurred. It is also noted per annual, while the average growth rate that although Vietnam is enjoyable with of paddy production was 1.1%, particularly its rice exports but the contribution of rice it became negative for the period of 2000- exports to total exports is still limited. The 2007 (-0.8%). Moreover, if the government agricultural exports contributed about 15% prohibits farmers to change their crops from of total exports, but exports of commercial paddy to other crops to reserve paddy land crops such as rubber, coffee, pepper and for the purpose of rice security, the value cashew nut play crucial role. Fishery of agricultural production is difficult to exports have been playing important increase and in turn, the agricultural growth role in recent years, if the government is negatively affected. attempts to keep paddy land that may lead The strategy to meet the objective to negative impacts on fishery exports and of food security creates negative impacts thus on total exports. not only on agricultural growth but also The other negative impact of rice on economic growth in general. The security at national level may be food problem of converting paddy land to non- insecurity at the household level. Small
11. Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 37 farm households keeping their small rice animal feed and middle-quality varieties farm may not lead them to a low income with middle-yield should be grown for family who cannot access to food and thus human consumption. the food insecurity at household level. Global food crisis generates more VI. Conclusions and Policy benefits than harms for Vietnamese Recommendations agricultural sector and economy. Because There is a trade-off between obtaining Vietnam has been a net food export country, food security and economic development in it benefits from high international food Vietnam. The increase in food demand as price as a result of global food crisis. Food population pressure is unavoidable. In order insecurity in the world is an opportunity to meet increasing demand, rice supply must for Vietnam obtaining food security at both be increasing. In order to increase rice supply national and household levels. Vietnamese to obtain food security, political and social rice farmers get benefits from higher price stability can be achieved, but some negative and thus they do more investments and get impacts on economic development occur. higher yield that results in more supply Keeping or expansion of paddy land for food and positive impacts on food security at security will dampen agricultural growth and national level. Poor rice farmers now get thus economic growth as a whole, because of more incomes from their small amount of forgone high land productivity of the other rice selling. Higher international rice price crops. Lower land productivity for paddy will bring more foreign exchanges from production cannot improve incomes of poor the some volume of rice exports. However, rice farmers that result in food insecurity high prices of food my lead to difficulties at the household level. Because of food in macroeconomic management that affects security, preventing from the using paddy economic growth in the short run and in the land for the purpose of industrialization long run. Higher prices of food significantly may harm the industrial development and influence consumer price index (CPI) thus economic development as a whole. because food expenditures share about 47% Regarding to the issue of food security of Vietnamese consumers’ basket. High CPI in Vietnam, this study recommends some leads to inflation that may be a problem for policies as follows. The government should macroeconomics. set a priority on increasing the paddy yield VII. References rather than regulating changes of land areas. Chu Tien Quang, 2008, San Xuat Lua Gao If the paddy yield is not increased, the food va Van De An Ninh Luong Thuc o Viet security may achieve until 2020, however, Nam [Rice Production and Problems the problem will become serious after of Food Security in Vietnam], Bao 2020. Increasing paddy yield is not simple, cao Hoi Nghi Khoa Hoc Kinh Te, 27- it requires a lot of investments. Improving 28/11/2008, Hanoi. technology must be considered as a decisive FAO, 2008. The state of food insecurity strategy, biotechnology in particular. in the world, Since there are different types of icatalog/ inter-e.htm demand for rice, the strategy of variety General Statistical Office (GSO), 2007. selection becomes important issue. In Statistical Yearbook 2006, Statistical general, a high-yield variety usually results Publishing House, Hanoi. in low quality and vice versa. High-quality General Statistical Office (GSO), 2008. varieties must be applied for rice exports, Statistical Yearbook 2007, Statistical while high-yield varieties are grown for Publishing House, Hanoi.
12. 38 Ho Chi Minh City Open University Journal of science- No. 1(1) 2011 GSO, 2009. ‘Consumption expenditure and cao%20tham%20luan%20Bo%20 consumption expenditure for living’, Y%20te%20(Mr.Hoan).doc extracted from Vietnam Household Trang Thu Huy Nhat and Tran Quang Living Standard Survey, Van, 2008. ‘Food security and rural gso.org.vn development’ in Bases for Territory- Nguyen T. Song An and others, 2001. based Rural Development in the Household Food Security in the Tu Southeast Region, Vietnam, Nguyen Giac Long Xuyen. Research Project, Van Ngai and Le Thanh Loan Code: B99-22-50. (eds.),VNU-HCM Publisher, Ho Chi Nguyen Van Sanh (2005) ‘Food Security, Minh City. Livelihood and Rural Development’, Trung Tam Tin va Tu lieu, CIEM, 2008. Dam A Report at a Workshop on Food Bao An Ninh Luong Thuc The Gioi va Security in Vietnam in Nong Lam Viet Nam [Obtaining Food Secrity in University, October 2005. the World and Vietnam]. Pham Thi Lan Anh, Pham Van Hoan and ciem.org.vn/home/vn/home/InfoList. Nguyen Duc Minh, 2009. ‘Nguy Co jsp?area=1&cat=124:bang Mat An Ninh Thuc Pham do Bien Vietnam Media, 2008. ‘Vietnam co nguy co Dong ve Tu Nhien va Kinh Te Xa mat 5 trieu tan thoc do bien doi khi hau, Hoi [Risk of losing foodstuff security [Vietnam can lose 5 million tomes of due to Natural and Socio-economic paddy per year due climate changes]’, changes]’, ( vn/Information%20Service/Report/ Plenary%20Meeting%20Report%20 17-11-2008/Group%203/Bao%20