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VIETNAM
Enabling poor rural people
to overcome poverty

                             Developing Business with the
                             Rural Poor Programme (DBRP)
                             Ben Tre




                             Coconut processing creates employment for poor women in Ben Tre.


                             Programme Rationale
                             Ben Tre is one of 13 provinces and cities in the Mekong Delta. Agriculture, aquaculture and
                             forestry account for more than half of the province’s total production. Annual income per person
                             in 2005 was equivalent to USD 473 and it remains the third poorest of all provinces in the
                             Delta. The rural people of Ben Tre lack affordable land, expertise in production and marketing,
                             access to credit for investment, information on commodity markets, vocational training and
                             employment opportunities.

                             Programme Objectives
                             The goal is a sustainable reduction in rural poverty in Ben Tre province. Farmers would earn
                             higher incomes from their farms; poorer and landless people would also earn more; and
                             enterprises along value chains would become more efficient and profitable.

                             Programme Area and Target Group
                             The Programme covers seven districts in Ben Tre. Communes within these districts would
                             have the highest incidence of poverty, as measured by the Province Departments of Labour,
                             Invalids and Social Affairs (DOLISA). Better off communes would be included if market linkages
                             with the poorer communes were required to achieve an impact on poverty reduction, or the
                             capacity of the commune cadre is high enough to ensure success in the first year and achieve
                             a demonstrative effect for other communes.
International                The target groups are: (i) rural households with small land holdings and limited productive
Fund for                     assets; (ii) landless labourers; and (iii) women.
Agricultural
Development                                                                        IFAD VIETNAM   >>   DDRP Ben Tre        >> 1
Programme Strategy
Enabling poor rural people   The targeting principles are: (i) geographic targeting; (ii) design of sub-components and
to overcome poverty          selection of activities which are highly relevant to the marketing problems of the poorer; and (iii)
                             ensuring access of the poorer to services and to the wider range of opportunities which they
                             will create. Specific considerations would be made to ensure that programme activities reach
                             women and ethnic minorities.
                             The primary challenge in Ben Tre is to encourage broader commercial orientation, and
                             increase investment in diversified farm product value chains that meet the needs of emerging
                             markets.

                             Programme Components
                             • Improving the business and investment environment.
                             • Rural business development services.
                             • Creating sustainable, competitive value chains that respond to consumer demand.
                             • Increase market access and participation for the rural poor.
                             • Programme management with efficient coordination structures.

                             Programme Cost and Financing
                             Total costs for the programme are estimated at USD 24.188 million (VND 410.996 million).
                             Costs are spread as follows: IFAD: USD 17.7 million (loan), VBARD: USD 1 million, Private
                             sector investors, beneficiaries and co-financiers: USD1.7 million, The Government of Vietnam
                             (GoVN): USD 2.6 million (this would be in the form of duties and taxes either foregone or to be
                             returned to province and national revenue agencies).

                             Benefits and Impact
                             The main beneficiaries are rural poor people whose incomes and employment levels would
                             increase as current enterprises are improved and new enterprises are added. The Programme
                             would benefit others along value chains with commercial links to farmers and other enterprises.
                             More than 44,400 Ben Tre families should benefit in some way.

                             Contact details
                             Atsuko Toda
                             Country Programme Manager
                             Asia and Pacific Division
                             International Fund for Agricultural Development (IFAD)
                             Unit 304, UN Apartment Building
                             2E Van Phuc, Kim Ma Str, Ha Noi, Vietnam
                             Tel: 0084- (4) 3823 7231; Fax: + 84 (4) 3823 3819
                             Email: at.toda@ifad.org
                             Skype: atsuko.toda
                             Website: www.ifad.org.vn




International
Fund for
Agricultural
Development                                                                  IFAD VIETNAM        >>    DDRP Ben Tre        >> 2

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IFAD Vietnam Ben Tre programme

  • 1. VIETNAM Enabling poor rural people to overcome poverty Developing Business with the Rural Poor Programme (DBRP) Ben Tre Coconut processing creates employment for poor women in Ben Tre. Programme Rationale Ben Tre is one of 13 provinces and cities in the Mekong Delta. Agriculture, aquaculture and forestry account for more than half of the province’s total production. Annual income per person in 2005 was equivalent to USD 473 and it remains the third poorest of all provinces in the Delta. The rural people of Ben Tre lack affordable land, expertise in production and marketing, access to credit for investment, information on commodity markets, vocational training and employment opportunities. Programme Objectives The goal is a sustainable reduction in rural poverty in Ben Tre province. Farmers would earn higher incomes from their farms; poorer and landless people would also earn more; and enterprises along value chains would become more efficient and profitable. Programme Area and Target Group The Programme covers seven districts in Ben Tre. Communes within these districts would have the highest incidence of poverty, as measured by the Province Departments of Labour, Invalids and Social Affairs (DOLISA). Better off communes would be included if market linkages with the poorer communes were required to achieve an impact on poverty reduction, or the capacity of the commune cadre is high enough to ensure success in the first year and achieve a demonstrative effect for other communes. International The target groups are: (i) rural households with small land holdings and limited productive Fund for assets; (ii) landless labourers; and (iii) women. Agricultural Development IFAD VIETNAM >> DDRP Ben Tre >> 1
  • 2. Programme Strategy Enabling poor rural people The targeting principles are: (i) geographic targeting; (ii) design of sub-components and to overcome poverty selection of activities which are highly relevant to the marketing problems of the poorer; and (iii) ensuring access of the poorer to services and to the wider range of opportunities which they will create. Specific considerations would be made to ensure that programme activities reach women and ethnic minorities. The primary challenge in Ben Tre is to encourage broader commercial orientation, and increase investment in diversified farm product value chains that meet the needs of emerging markets. Programme Components • Improving the business and investment environment. • Rural business development services. • Creating sustainable, competitive value chains that respond to consumer demand. • Increase market access and participation for the rural poor. • Programme management with efficient coordination structures. Programme Cost and Financing Total costs for the programme are estimated at USD 24.188 million (VND 410.996 million). Costs are spread as follows: IFAD: USD 17.7 million (loan), VBARD: USD 1 million, Private sector investors, beneficiaries and co-financiers: USD1.7 million, The Government of Vietnam (GoVN): USD 2.6 million (this would be in the form of duties and taxes either foregone or to be returned to province and national revenue agencies). Benefits and Impact The main beneficiaries are rural poor people whose incomes and employment levels would increase as current enterprises are improved and new enterprises are added. The Programme would benefit others along value chains with commercial links to farmers and other enterprises. More than 44,400 Ben Tre families should benefit in some way. Contact details Atsuko Toda Country Programme Manager Asia and Pacific Division International Fund for Agricultural Development (IFAD) Unit 304, UN Apartment Building 2E Van Phuc, Kim Ma Str, Ha Noi, Vietnam Tel: 0084- (4) 3823 7231; Fax: + 84 (4) 3823 3819 Email: at.toda@ifad.org Skype: atsuko.toda Website: www.ifad.org.vn International Fund for Agricultural Development IFAD VIETNAM >> DDRP Ben Tre >> 2