Vietnam News Agency is reporting that Đặng Kim Sơn, former head of the Institute of Policy and Strategy for Agriculture and Rural Development, has called for the State to establish agencies to conduct market research/analyses to reduce risks of oversupply or shortages in agricultural products.
Vietnam, which ranks 31st in the world for percentage of GDP coming from Agriculture, has historically seen wide swings in that sector’s contribution to total GDP. In 4th Quarter 2016 total Agriculture was valued at 468 Billion VND, 1st Quarter 2017 saw that level drop to 67 Billion VND, a 70% change.
The country is now taking significant action using market research and analysis to enable better management of the agricultural output for both domestic and export markets.
“The farmers need the State to help them study the market and provide information about directions to be taken, such as standards, policies and distribution systems. When the State provides full and up-to-date information for producers and traders, they will be able to make reasonable decisions on production and business to reduce losses for them and the economy as a whole,” Sơn said.
Since the initiative appears to be in its early stages, there is little known about the specific market research methodologies to be used. However, very likely there will be both qualitative and quantitative research involved, combined with analyses and projections from the responsible state agencies. Ministries, sectors and localities will need to work together to generate the most representative and useful information.
It will be an interesting period to watch. And reinforces our Leverage Research Solutions philosophy: “More effective research means better decisions.”