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Bio-Economic Assessment of Climate-Smart Tea Production in the Northern Mountainous Region of Vietnam

Author

Listed:
  • Tran, The Tuong
  • Branca, Giacomo
  • Arslan, Aslihan
  • Mai, Van Trinh

Abstract

Agricultural production in the face of climate change requires a climate-smart transformation and reorientation at multiple scales. Vietnam is one of the developing countries that is agriculture-based and severely affected by climate change; therefore it is crucial that the agricultural system advances toward this transformation. While climate-smart agriculture has gained a significant attention in global fora, context-specific evidence is still scarce in Vietnam. This study examines climate-smart agriculture potentials in tea production systems in the northern mountainous region of Vietnam. Since the climate-smart agriculture concept is multidimensional, which includes food security and adaptation and mitigation, an interdisciplinary analytical framework is employed in this research to assess the economic and biophysical dimensions. Enterprise budgets and representative farms (i.e., farms or households having one or more activities or enterprises) are developed for tea and alternative crops, as well as livestock production, to analyze the productivity dimension of food security. In evaluating the adaptation potential of tea production, local farmers’ perceptions and experiences of extreme weather events are combined with ERA-Interim data (1989-2013) and household survey data on income levels (reanalysis dataset taken from the European Centre for Medium-Range Weather Forecasts; ERA stands for ECMWF Reanalysis). Greenhouse gas emissions and carbon sequestration potentials are estimated through partial Carbon Footprint Life Cycle Assessment. Results show that tea production systems generate net margins, returns to capital, and family labor higher than the alternatives. Farmers, therefore, have high incentives to switch from other crops to tea production. In the face of climate change, tea has shown a strong biophysical adaptive capacity compared to other crops in the northern mountainous region. Tea production systems have a high capability for carbon storage. Evidence of strong synergies between food security and mitigation and adaptation is demonstrated for tea production systems in the northern mountainous region, and potential tradeoffs were highlighted, where relevant.

Suggested Citation

  • Tran, The Tuong & Branca, Giacomo & Arslan, Aslihan & Mai, Van Trinh, 2015. "Bio-Economic Assessment of Climate-Smart Tea Production in the Northern Mountainous Region of Vietnam," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 15(2), December.
  • Handle: RePEc:ags:phajad:280970
    DOI: 10.22004/ag.econ.280970
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    References listed on IDEAS

    as
    1. Leila D Landicho & Roberto G Visco & Roselyn F Paelmo & Rowena D Cabahug & Romnick S Baliton & Marya Laya O Espaldon & Rodel D. Lasco, 2015. "Field-Level Evidences of Climate Change and Coping Strategies of Smallholder Farmers in Molawin-Dampalit Sub-Watershed, Makiling Forest Reserve, Philippines," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 12(1), pages 81-94, June.
    2. Aslihan Arslan & Nancy McCarthy & Leslie Lipper & Solomon Asfaw & Andrea Cattaneo & Misael Kokwe, 2015. "Climate Smart Agriculture? Assessing the Adaptation Implications in Zambia," Journal of Agricultural Economics, Wiley Blackwell, vol. 66(3), pages 753-780, September.
    3. Affholder, François & Jourdain, Damien & Quang, Dang Dinh & Tuong, To Phuc & Morize, Marion & Ricome, Aymeric, 2010. "Constraints to farmers' adoption of direct-seeding mulch-based cropping systems: A farm scale modeling approach applied to the mountainous slopes of Vietnam," Agricultural Systems, Elsevier, vol. 103(1), pages 51-62, January.
    4. Giacomo Branca & Aslihan Arslan & Adriana Paolantonio & Romina Cavatassi & Nancy McCarthy & N. VanLinh & Leslie Lipper, 2018. "Economic Analysis of Improved Smallholder Paddy and Maize Production in Northern Viet Nam and Implications for Climate-Smart Agriculture," Natural Resource Management and Policy, in: Leslie Lipper & Nancy McCarthy & David Zilberman & Solomon Asfaw & Giacomo Branca (ed.), Climate Smart Agriculture, pages 563-595, Springer.
    5. Landicho, Leila D. & Visco, Roberto G. & Paelmo, Roselyn F. & Cabahug, Rowena D. & Baliton, Romnick S. & Espaldon, Marya Laya O. & Lasco, Rodel D., 2015. "Field-Level Evidences of Climate Change and Coping Strategies of Smallholder Farmers in Molawin-Dampalit Sub-Watershed, Makiling Forest Reserve, Philippines," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 12(01), pages 1-14, June.
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    More about this item

    Keywords

    Environmental Economics and Policy; Production Economics;

    JEL classification:

    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development

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