The Asian Development Bank (ADB) will assist the government of Vietnam in improving the quality and safety of its agricultural products.


“As Vietnam’s agricultural sector becomes increasingly integrated with domestic and international markets, improvements in product quality and safety assume greater importance,” says Ahsan Tayyab, senior natural resources economist of ADB’s Southeast Asia department. “Efforts need to be directed at agriculture research, extension, marketing, post-harvest operations, and product grading and certification.”


The agricultural sector in Vietnam experienced rapid growth during the last decade, averaging about 4% annually. Food security has improved at the national level and the country has turned from a net food importer into a major exporter of various agricultural products. However, key concerns remain, most notably meat hygiene and pesticide residue.


Financial and human resource limitations of the government are preventing the establishment of an effective regulatory mechanism, and whatever resources are available are often too widely dispersed.


Through the project, ADB will assist the government of Vietnam in coming up with an action plan that will improve the quality and safety standards of agricultural products, increase the number of viable small and medium-scale enterprises in the sector and strengthen the capacity of concerned government agencies. The project is expected to contribute to Vietnam’s sustainable agricultural growth by improving the competitiveness of farm products and enhancing linkages among producers, traders, product processors and consumers.


The project is estimated to cost US$950,000, with ADB providing a grant ofUS$750,000 to cover most of that amount to be sourced from the Japan Special Fund. The balance will be covered in kind by the government of Vietnam.