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Ministry of Agriculture & Rural Development

Collaboration for Agriculture and Rural Development



CARD PROJECT PROGRESS REPORT



027/07VIE
: Improving traditional
integrated farming systems (VAC) – a new
livelihood option for poor farmers in the
coastal communities


MS8: Project Completion Report

5
th
February 2008 to 18
th
June 2010







July, 2010

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Table of Contents

1.
 Institute Information ___________________________________________________ 1
2. Project Abstract _______________________________________________________ 2
3. Executive Summary ____________________________________________________ 2
4. Introduction & Background _____________________________________________ 4
5. Progress to Date _______________________________________________________ 5
5.1 Implementation Highlights ________________________________________________ 5
5.2 Smallholder Benefits______________________________________________________ 5
5.3 Capacity Building ________________________________________________________ 6
5.4 Publicity________________________________________________________________ 6
5.5 Project Management _____________________________________________________ 6
6. Report on Cross-Cutting Issues___________________________________________ 6
6.1 Environment ____________________________________________________________ 6
6.2 Gender and Social Issues __________________________________________________ 6
7. Implementation & Sustainability Issues ____________________________________ 6
7.1 Issues and Constraints ____________________________________________________ 6
7.2 Options_________________________________________________________________ 7
7.3 Sustainability____________________________________________________________ 7
8. Next Critical Steps _____________________________________________________ 7
9. Conclusion ___________________________________________________________ 7
10. Statutory Declaration___________________________Error! Bookmark not defined.


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1. Institute Information
Project Name Improving traditional integrated farming systems
(VAC) - a new livelihood option for poor farmers
in the coastal communities
Vietnamese Institution
Centre for Environment and Disease Monitoring
in Aquaculture (CEDMA)
Vietnamese Project Team Leader
Mr. Mai Van Tai (Project director)
Mr. Vo Van Binh (Project manager)
Australian Organisation
Agriculture and Environment - Division of
Science and Engineering-Curtin University of
Technology (CUT)
Australian Personnel
Assoc. Professor Ravi Fotedar (Team Leader)
Prof. Graeme Robertson (Management)
Dr. Jane Fewtrell (Environmental Scientist)
Mr. Simon Longbottom (Aquaculture Scientist)
Date commenced
8
th
February 2009
Completion date (original)
January 2010
Completion date (revised)
June 2010
Reporting period

Project completion report
Contact Officer(s)
In Australia: Team Leader
Name:
Dr Ravi Fotedar
Telephone:
+61 8 92664508
Position:
International Program Director,
A/Prof
Fax:
+61 8 92664422
Organisation
Muresk Institute, CUT
Email:


In Australia: Administrative contact
Name: As mentioned above Telephone:
Position:

Fax:

Organisation

Email:


In Vietnam
Name:

Mr Vo Van Binh
Telephone:
0983105537
Position:
Head of environment Department
Fax:
0241840241
Organisation
Centre for Environment and
Disease Monitoring in
Aquaculture (CEDMA)
Email:


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2. Project Abstract


















3. Executive Summary
To achieve the goals of the project that is improving the income base to sustain livelihoods of
poor coastal farmers in Central Vietnam through environmentally sustainable aquaculture ,
background information and data was collected in the provinces of; Thanh Hoa, Nghe An, Ha
Tinh, Quang Binh and Quang Tri. From the information gained through this information, 18
farms were selected to demonstrate new technology, which included earthworm culture to
minimize pollution risk from husbandry wastes by making efficiently recycling materials
within the VAC system, and the introduction of high value species to increase income. The
operational plan for each modified site has been disseminated to local extension workers, the
households of modified VAC systems and other interested farming households.
Socio – economic analysis of the traditional VAC community has shown that the education
levels of farmers is low, possibly leading to difficulty in approaching new technology. For
example, a survey of 109 families showed that 29% of individuals completed secondary
school (ie can read, write and basic calculation; but poor performance of basic analysis), 58%
were attended primary school only (ie. can read and write; but poor in calculation), and up to
13 % were illiterate.
Fifty eight percent of farms surveyed were involved in integrated fish farming, including fish
pond/s, horticulture and terrestrial animal husbandry, while 58% of farms were without fish
ponds. Different types of farming and provinces lead to the various investment and income.
The average income from aquaculture was about VND million 3.859, whereas terrestrial
animal husbandry and horticulture were VND million 7.538 and 3.688, respectively.
After the results of the survey to acquire background information on the areas were analyzed,
new or modified VAC systems were built on demonstration sites that were based on the
modification and adaptation of current integrated systems. The new systems included the
introduction of earthworm culture into the system and high value species. There were 3
demonstration farms built in the first year (in 2008) of the project (2 in Quang Tri and 1 in
This project is expected to make a significant contribution to the Government of Vietnam’s

Comprehensive Poverty Reduction and Growth Strategy (CPRGS), which is aligned with the
CARD program strategic framework. The project is expected to improve the productivity of
traditional VAC farming practices through the farming of high-value aquatic species and
following better managed farming practices in an environmentally friendly manner. The outcome
of the project will assist in improving the management of all components of VAC farming. Project
activities have included;
i) Surveys to collect base-line information on the economic status of farmers participating in
traditional VAC farming systems in four selected districts of Vietnam.
ii) Selection of twenty (20) demonstration sites, of which, 18 are completely operational. The set
up includes semi-intensive culture systems based on recirculating aquaculture system (RAS)
technologies that have been stocked with local, high-value species including snake head fish,
grouper, frog, brackish water white eel and soft-shell turtle.
iii) The operational plan for each site has been disseminated to local extension workers, the
households of modified VAC systems and other interesting farming households.
To date, all project objectives have been successfully implemented, some exceeding expectations.
The results of the social – economic analysis indicate that the modified VAC systems installed at
demonstration sites resulted in an increase in income and better environmental conditions when
compared with those of the original systems.

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Nghe An province) and the rest were built in the second year (2009) (3 in Hue, 3 in Quang
Binh, 4 in Ha Tinh, 1 in Nghe An, and 4 in Thanh Hoa). See Appendix 1 for the final
economic analysis summary.
Six high value aquatic species were introduced into integrated systems that is, snake head
fish (in 8 demonstration sites), frog (in 3 sites), soft-shell turtle (in 2 sites), grouper
fingerlings (in 2 sites), white eel and goby (in 1 sites each). In addition, a hatchery which can
produce grass carp, silver carp and common carp larvae has been included in a demonstration
site in Quang Binh.
It was found that snake head fish in tanks resulted in higher economic return and were more
suitable for farms situated in Central provinces than other species such as turtle and frog. In

addition, it was found that collecting grouper fry from rivers and rearing them to fingerlings
has potential to generate income. However, to successfully rear the grouper, farmers must
acquire higher skills in aquaculture techniques. It cannot be expected that the farmers can
acquire the necessary level of skill within the time limits of this project (ie. 2 years)
(Appendix 2).
During project implementation, there were two training/workshops carried out in Hue and in
Quang Tri provinces. The first workshop was to introduce the concept proposed in the
project, discussing the alternative modification and adaptation for feasibility of successful
demonstration. There second training/workshop was to disseminate information and expand
on the improved VAC model with information gained from local extension, interested
farmers.
Exchange visits presented an efficient way for farmers to learn and applythe new technology.
The visits gave opportunities for interested persons to achieve the goal of modifying their
system just by “mimicking” what other farmers do. The exchange visits were implemented in
2 levels, that is, within province and inter-provinces. Seven trips within provinces were
organized for more than 200 farmers that were both involved and not involved in the project.
Three trips were conducted for 16 farmers in each province to visit other provincial
demonstrations.
A series of formal meetings amongst farmers operating demonstration sites and farmers
interested in incorporating aspects of the new VAC system into their existing system were
successfully conducted. Also, each visit to demonstration sites conducted by CEDMA’s staff,
was used as an opportunity to share knowledge and skills for making further modifications in
the management and/or design of the system to adapt the new technology.
So far, the project has produced a number of significant benefits to integrated farming
methods. Some notable examples are;
• In Thanh Hoa province, one farmer involved in the project has successfully cultured
worms for his snakehead fish in tanks and cages. All manure from his pigs and
chickens has been used as a food source for the worm culture instead of being
allowed to flow into his pond therefore reducing the organic load on his pond. The
changes have resulted in a significant income being generated which has been

recognized by neighboring farmers and local authorities. This year the farmer has
been able to use the RAS from the project to nurse fingerlings and then use the
fingerlings o stock his grow out tanks and cages. He has also provided 17 other
farmers with fingerlings from his new RAS system. Together with this, local
authorities have realized the potential of the model and thus planed to support farmers
in the commune to participate in training and applying the technology used in this
system.

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• By applying the project RAS model it is possible for a family who does not have any
ponds (eg farms in Ha Tinh) to secure protein and generate income through high
value aquatic species in tanks. The overwhelming success of the demonstration model
has generated interest throughout the district, resulting in an agricultural program on
district TV covering the new RAS model and demonstration sites for material in their
extension programs.
• Project funding has enabled a hatchery to be constructed on a demonstration site in
Quang Binh. This hatchery now provides 1/3 of the carp fry and fingerlings to the Le
Thuy district.
• The media in Quang Tri (provincial level) has broadcasted the two snake-head fish
demonstrations in Trieu Phong and Trieu Hoa several times. The provincial extension
office uses the project trials as visiting sites in their aquaculture extension programs;
• By including earthworms in the integrated system, a demonstration site for producing
frog larvae in Hue reduced feed costs by 50% while increasing survival from 30% to
80%. The farmer has now doubled his farm size and has introduced a new species
(Notopterus chitala) for breeding (copying the protocol for culturing frog).
4. Introduction & Background
The farming communities in the Central coastal areas of Vietnam have very limited
productive land, and marine aquatic resources are overexploited. Further, about 80% of the
households in coastal communities rely heavily on income from fishing and aquaculture
activities (contributing up to 95% total family income). In recent times, natural marine

resources have declined due to over fishing and destruction of mangroves for the
construction of shrimp ponds leading to the loss of income and livelihood for already poor
communities.
An integrated farming system, encompassing gardening, fish pond and livestock pen (under
Vietnamese acronym VAC) is the most popular practice in the rural communities of
Vietnam. Usually, in the VAC system, the fish pond ecosystem utilises either raw animal
manure or compost to improve the natural primary and secondary productivity for carp
aquaculture.
This project aims to improve the efficiency of the traditional VAC system while decreasing
environmental impact through the application of current farming technologies and
introduction of local but higher value species. The objectives are:
i) To carry out an analysis of current economic status and practices of household
farming (includes aquaculture, horticulture and animal husbandry practices) and
identify incentives and constraints for improved VAC application.
ii) To develop appropriate improved VAC guidelines and manuals for household
aquaculture in the North Central of Vietnam.
iii) To build capacity for improved VAC application among stakeholders involved in
aquaculture product market chains, especially smallholder producers.
As outlined in the log frame, the performance measures are;
• Collection of improved VAC materials available regionally and internationally;
• Construction of questionnaire and interviewing of existing farming communities who
are participating in the traditional VAC systems;

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• Selection of 18 households/farms to demonstrate improved VAC practices;
• Drafting of action plans for VAC demonstration systems which including farming of
high-value species in an environmentally sustainable manner.
Additional demonstration farms selected represent traditional VAC systems where,
introduction of new high-value species and production intensification by incorporating a new
recirculating system into the existing VAC was either not feasible or not necessary. These

situations involved VAC systems where plenty of good quality water was available and it
was felt that, with modifications in the operation protocols and changes in the species, the
desired objectives could be achieved. In making such decisions, markets and skills available
were also considered. An example of such a situation is a farm in Ha Tinh where the water
surface area was greater than three hectares and instead of intensification, a new worm
production system was established in order to convert waste organic manure into a useful by-
product (earth worms). This meant that raw manure was not being released directly into the
water body and thus prevented the future possibility of eutrophication and subsequent loss of
productivity.
5. Progress to Date
5.1 Implementation Highlights
Main achievements for this reporting period were;
i) Completion of data collection of the implementation eighteen (18) VAC
demonstration farms;
ii) Completion of the economic analysis of these demonstration sites including
earthworm and high value aquatic species;
iii) Implementation of 2 more workshops, that is, training/workshop held in Quang
Tri and the project closing workshop in Nghe An;
iv) Implementation of 3 exchange visits at inter-provincial level. All project farmers
and many interested farmers in six project provinces have had the chance to visit
other farms and learn more for their farm modification;
v) Organizing the visit for 2 of CEDMA’s staff to Australia. The visit was for
consolidation and completion of the project;
vi) Inviting Curtin’s experts to visit Vietnam two times, first visit organized in 5
th

15
th
, April and second visit was between 15
th

– 25
th
, June 2010;
vii) Completion of the final report and closing the project.
5.2 Smallholder Benefits
The project created a new income generation for many farmers in Central Costal
communities. Many farmers, who did not have aquaculture as a part of their VAC system
before the project, can now include aquaculture and generate more profit from the production
of aquatic species by applying the RAS introduced through this project. It has been sown that
the modification and adaptation of the traditional VAC using the technology introduced
through this project has generated an increase in income for the farmers involved and has
contributed to the environmental sustainability of the system.

It is obvious that the benefits achieved to the household farmers as outlined in section 2.2 of
the project proposal have been achieved. The benefits will be quantified during the second
year of the project. To date, the direct benefits in terms of knowledge and skills used in

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modified VAC operations to small-scale farmers have been achieved through the workshops
and exchange visits run in various provinces and at demonstration sites.

5.3 Capacity Building
As a result of several visits from Australian teams and interaction with CARD officials of
Vietnam, together with the visits of CEDMA’s staff to Curtin University, the knowledge and
skills necessary for successfully using the Recirculating Aquaculture System (RAS) has been
strengthening. The transfer of technologies in the areas of RAS, efficient nutrient recycling
across various farming components of VAC practices, production of additional farming by-
product (earth worms) and environmental monitoring programs have been completed but
will continue as a part of capacity building exercises with the demonstration VAC site
householders. To monitor the progress in capacity building, workshops/meetings in all

project provinces for the local Extension Officers were conducted. Additionally, the
exchange visits led by local extension staff, under the supervised support of CEDMA and
Curtin expertise, enhanced the capacity of the local extension system.
5.4 Publicity
Extension material including brochures, posters and single page pamphlets have been
published and distributed to local extension offices in all project provinces.

The guidelines for implementation of an improved VAC system have also been published
and distributed to farmers who are both involved and not involved in the project.
5.5 Project Management
Management of the project has been satisfactory and no major constraints were encountered.

6. Report on Cross-Cutting Issues
6.1 Environment
The protocol for monitoring the environmental impacts of the improved systems has been
formulated and monitoring activities have commenced.
6.2 Gender and Social Issues
As significantly higher males participated in the meetings and workshops, gender
participation was not balanced. However, this has not created or was not due to any social
issues. It was felt that the timing of the workshops was not conducive for females due to their
other engagements. No other social issues were faced which would have had an adverse
impact on the progress of the project.
7. Implementation & Sustainability Issues
7.1 Issues and Constraints
During this reporting period, the project activities were concentrated on dissemination of
information on the improved VAC through training/workshops, exchange visits, and

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meetings. On occasion the activities have been postponed as a result of coinciding with the
heaviest production cycle for the farmers. Farmers had to spend more time, looking after

their farms and some of them could not attend the events as planned.

Also, the final records for the environmental parameters that were measured by farmers, were
lost at some demonstration sites.
7.2 Options
No issues to report.
7.3 Sustainability
The main aim of the project was to improve the economic status of the farmers practicing
traditional VAC practices. This is achieved by improving the productivity and thus the
income base from the traditional VAC system in an environmentally sustainable way. The
modified VAC system envisages minimum adverse impacts on the surrounding environment
and diversifying the production base so that disease and production and marketing risks are
minimised. The established environmental protocol will also help householders to recycle the
nutrients from one production base to another and hence reduce the cost of overall VAC
operations. This will have a positive impact on the sustainability of the farming practices.
Furthermore, activities and research aimed at improving the efficiency and environmental
sustainability of the improved integrated systems will continue after the project has finished.
This will include two CEDMA staff members commencing PhD studies at Curtin University,
Australia. In addition, the environmental monitoring of the improved VAC will be strongly
linked to the National Environment and Disease Monitoring program, and will be carried out
once per year.
8. Next Critical Steps
On completion of the project, the project outcomes will be developed further by;

1. Continuation of the dissemination of project results and further assessment of the
socio-economics of the integrated system through the PhD at Curtin University (Mr.
Nguyen Van Suc);
2. The RAS system will be reviewed and adapted further to increase efficiency of the
VAC system through another PhD at Curtin University (Mr. Vo Van Binh);
3. The continued environmental monitoring of the new VAC systems will be linked

closely into the National Mission for Aquaculture Environment and Disease
Monitoring;
4. The training in the environmental sustainability of aquaculture will be continued
through CEDMA’s activities.
9. Conclusion
The project has been successfully implemented. All objectives proposed have been achieved.

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