This presentation outlines maize commercialization and livelihood transition in Viengthong District, Huaphan Province, Lao PDR.

1. Maize Commercialization and
Livelihood Transition in
Viengthong District, Huaphan
Province, Lao PDR
ASEAN-Swiss Partnership on Social Forestry and Climate Change
Khamphet Phomphoumy (NUoL), Rob Cole, Maarit Kallio, Grace Wong (CIFOR)

2. Contents
1. Introduction to ASFCC, research aims and methods
2. Policy context
3. Maize contract farming in Viengthong district, Huaphan province
4. Motivations
5. Constraints
6. Conclusions and policy recommendations

3. 1. Introduction to ASFCC, research aims and
methods
• CIFOR ASEAN Swiss Partnership on Forests and Climate Change
(ASFCC) project works in partnership with DoF and NUoL in Lao PDR
• Project aims to use data from household surveys and interviews with
central organizations to support REDD+ policy design
• Household surveys look at social networks linking rural to urban areas
that exchange information, financial or other resources
• One of the most active of these networks, that involves most
respondents in our study locations, is maize contract farming

4. 2. Policy context: Agricultural Master Plan
2011- 2015
GOAL 1: Food security is first priority of livelihood improvement
GOAL 2: Increased and modernized production of commodities will
lead to “pro-poor and green value chains”
GOAL 3: Sustainable production patterns, including stabilization of
shifting cultivation
GOAL 4: Sustainable forest management to preserve biodiversity,
improve forest cover
-- (GoL, 2010)

5. MAIZE
COMPANY
DISTRICT
AUTHORITY
CLUSTER &
VILLAGE
HEAD
HOUSEHOLD
VILLAGE
TRADER
DISTRICT
TRADER
3. Maizecontract farming in Viengthong district,
Huaphan province

6. 1
1
2
1
1 7
4
3
4
20
13
13
5
3
4
8
3
5
6
1
1
1
0 5 10 15 20 25 30 35 40
TOTAL HH
LIVESTOCK
NTFPS
WAGE - CONSTRUCTION
WAGE - FARM
VILLAGE STAFF/ TEACHER
SHOP / SERVICE
Livelihood Composition: Village A
Paddy only Upland maize only Paddy + swidden Paddy + maize
Swidden + maize Paddy + swidden + maize Non-farm

7. 1
1
1
2
1
1
1
2
1
1
1
4
3
1
1
1
1
20
9
11
2
4
1
9
7
5
1
1
1
1
1
1
1
1
1
1
1
0 5 10 15 20 25 30 35 40
TOTAL HH
LIVESTOCK
NTFPS
CASSAVA
WAGE - FARM
VILLAGE STAFF / TEACHER
SHOP / SERVICE
Livelihood Composition: Village B
Paddy only Swidden only Paddy + swidden Paddy + maize
Swidden + maize Paddy + swidden + maize Cassava Non-farm

8. 53
48.5
71.5
10.5
66
110
111.5
19
0 20 40 60 80 100 120
PADDY
RICE SWIDDEN
MAIZE SWIDDEN
GARDEN / OTHER
Total declared land use (ha)*
Village A Village B

9. 26
108
19
9
0
19
3
91
0
0
182
40
22.5
17
0
7
119
48
0 20 40 60 80 100 120 140 160 180 200
RICE *
MAIZE
LIVESTOCK*
NTFPS
CASSAVA
WAGE - CONSTRUCTION*
WAGE - FARM*
GOVT SALARY (INC. TEACHERS)
SHOP / SERVICE*
Total declared income (LAK millions)*
Village A Village B

10. Motivations
1. Income: Maize is the biggest earner “According to the real situation,
I see only growing maize that makes higher income than other
activities” (RespA32)
2. Land quality: Shortening fallow periods affects rice, but “Maize isn’t
selective about soil, you can grow it everywhere” (RespB5)
3. Market engagement: District and village head “lead people to
change their occupation, to make progress to help themselves”
(RespB9)
4. Labour: Youth out-migration reducing supply, “Doing upland rice is
very hard, growing maize is easy. Weed the grass only one time,
then the second time use the knife to cut … the maize gets more
than rice, if the rice gets 5 tons, the maize gets 10 tons.” (RespA1)

11. Constraints
1. Contractual issues: “They broke the contract about buying-selling, they
said that the maize was in the low price period, they can’t buy maize at
1,000 kip/kg, they would like to buy 800 kip/kg.” (RespA39)
2. Sustainability: “The first year of growing maize the yield would be good,
but if they continue at the same place the yield would reduce … here
land is limited, so villagers have to grow maize at the same place.”
(District Trader)
3. Land access: “The rice is not enough to eat, because our land is small …
the place suitable for cultivating is in prohibited areas, so we don’t have
land for production. We are newcomers.” (RespB3)

12. Staying behind …
“I would like to grow maize but have no land in (village B), and maize
traders can’t reach here as there is no good road. Rice is more useful
for us for food, maize you can only transport once and sell.” (RespB41)

13. Conclusions: Agricultural Master Plan 2011-2015
GOAL 1: Food security – Already food secure HH continue to be with maize as
income stream, food security of those lacking land is not improved
GOAL 2: Increased and modernized production of commodities will lead to
“pro-poor and green value chains” – Production not yet modernized / green,
farmers benefit but from weak power positions, value captured externally
GOAL 3: Sustainable production, stabilization of shifting cultivation – Shifting
cultivation remains active in maize producing communities
GOAL 4: Sustainable forest management – Farmers converting fallows to
maize continue clear old forest for rice: “Maize swidden is near the village but
we have to walk 1 hour and a half to reach the rice swidden, and clear the big
trees.” (RespA15)

14. Policy recommendations
District and sub-district:
• Local authorities could play a stronger role in mediating contracts to
lessen risks to farmers
• Support provision of cost-benefit information on emerging market
opportunities (together with NUoL, NAFRI and NERI)
National-level:
• Central agencies could at the same time set safeguards for managing
agricultural investments – including contract farming systems – to
minimize social and environmental costs and support sustainable
growth

15. Thank you.