The true costs of food production in Viet Nam

Key takeaways True cost accounting allows for the measurement of hidden impacts of food production on the environment, human health, and society. • Our findings show that at the national level for all crop sectors: o Environmental externalities account for 73% and social for 27% of external cost structure. o Major environmental impact sources are land occupation, air pollution, and climate change. o Major social impact sources are underpayment of farm workers and the incidence of child labor. • In NATURE+ sites in Sa Pa and Mai Son districts for the crop sector: o External costs represent about 24% of all household crop production costs. o Environmental externalities (61%) are greater than social (39%). o Land occupation is the most important external impact source, followed by soil degradation and climate change. o Under earning (underpayment of workers and/or low famer profits) are significant social costs, followed by the gender wage gap and the incidence of child labor.