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Cooperation for Sustainable Business Development – The Case of the Skipjack Tuna Value Chain in Nha Trang, Vietnam

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  • The production and distribution of fish products in Vietnam have been faced with strict consumer requirements such as seafood quality, hygiene, safety standards, traceability, environmentally friendly manufacturing and fisheries resource conservation. These are compulsory requirements for sustainable business development in international markets. The research applies the Structure – Conduct – Performance (SCP) model for analyzing value chain of fishing products to develop sustainable business for these items. This paper uses the case of the skipjack tuna in the Nha Trang fishery in Vietnam, which the most important actors in the value chain are fishermen, middlemen and export seafood processing firms. The results show that the value chain develops on the lack of close cooperation and sustainability. The distributions of benefits and risk among the actors are unbalanced. The fishermen provide the biggest value-added, but they receive the lowest benefits, conversely, the middlemen and seafood processing companies contribute smaller ratios of value-added than that of the fishers while these two actors get the greatest benefit. The fishers are the actors facing the most disadvantages because of price fluctuation and high production risks, while the middlemen face with the least risks. The actors in the value chain face difficulties in accessing information of international markets and disadvantages due to high bargaining power from the importers. The research recommends establishing a modeling of vertical and horizontal cooperation to link closely the actors within the value chain for the sustainable business development of this item.
  • Keywords: Markets and Trade, Fisheries Economics, Value Chain Analysis
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  • Nguyen Ngoc, Duy and Nguyen Thi, Kim Anh. 2014. Cooperation for Sustainable Business Development – The Case of the Skipjack Tuna Value Chain in Nha Trang, Vietnam. In: Towards ecosystem based management of fisheries: what role can economics play?: Proceedings of the Seventeenth Biennial Conference of the International Institute of Fisheries Economics and Trade, July 7-11, 2014, Brisbane, Australia. Complied by Ann L. Shriver & Melissa Errend. Corvallis, OR: International Institute of Fisheries.
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  • Fisheries Research & Development Corporation, World Wildlife Fund, MG Kailis Group, AquaFish Innovation Lab, NOAA Fisheries, The European Association of Fisheries Economists, Japan International Fisheries Research Society, United Nations University, NORAD
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