Ngoc T. A. Pham * , Quy D. Mai , Ha T. Dang , & Thuyen T. Pham

* Correspondence: Pham Thi Anh Ngoc (email: ngocpham@hcmuaf.edu.vn)

Main Article Content

Abstract

Vietnamese pangasius prices have become more volatile over the past decade exposing the business to risk and uncertainty. This study explored Vietnamese pangasius farmers’ perceptions about the sources of price risk and the effectiveness of price risk management strategies through Likert scales. The relationships between farm and farmer socioeconomic characteristics and their perceptions were also examined by using Chi-square analysis. Data were obtained through a structured survey with 110 farmers in three provinces of An Giang, Can Tho, and Dong Thap. Results suggested that pangasius farmers mostly concerned the instability of input prices, the volume of input supply, the instability of output prices, and the legislation of sales contracts between farmers and processors. We further found that price risk management strategies were not perceived as less effective measures to mitigate the price risk. Gender, farmers’ experience, farm size, crop period, farm types, and access to credit are positively related to the farmers’ perceptions. Findings on the price risk perceptions and management strategies are useful to support public and private of price risk management decision towards increasing the sustainability of pangasius production.
Keywords: Aquaculture, Pangasius, Risk management, Risk perceptions, Sustainability certification

Article Details

References

Ahsan, D. A. (2011). Farmers’ motivations, risk perceptions and risk management strategies in a developing economy: Bangladesh experience. Journal of Risk Research 14(3), 325-349. https://doi.org/10.1080/13669877.2010.541558

Asche, F., Dahl, R. E., & Steen, M. (2015). Price volatility in seafood markets: Farmed vs. wild fish. Aquaculture economics and management 19(3), 316-335. https://doi.org/10.1080/13657305.2015.1057879

Assefa, T. T., Meuwissen, M. P., & Lansink, A. G. O. (2017). Price risk perceptions and management strategies in selected European food supply chains: An exploratory approach. NJAS-Wageningen Journal of Life Sciences 80,15-26. https://doi.org/10.1016/j.njas.2016.11.002

Bergfjord, O. J. (2009). Risk perception and risk management in Norwegian aquaculture. Journal of Risk Research 12(1), 91-104. https://doi.org/10.1080/13669870802488941

Bush, S., Belton, B., Hall, D., Vandergeest, P., Murray, F. J., Ponte, S., Oosterveer, P., Islam, M. S., Mol, A. P., & Hatanaka, M. (2013). Certify Sustainable Aquaculture?. Science 341(6150), 1067-1068. https://doi.org/10.1126/science.1237314

Bush, S. R., & Duijf, M. (2011). Searching for (un)sustainabilty in pangasius aquaculture: A political economy of quality in European retail. Geoforum 42(2), 185-196. https://doi.org/10.1016/j.geoforum.2010.12.007

Churchill, G. A., & Iacobucci, D. (2006). Marketing research: methodological foundations. New York, USA: Dryden Press.

Dahl, R. E., & Oglend, A. (2014). Fish price volatility. Marine Resource Economics 29(4), 305-322.

FAO (Food and Agriculture Organization of the United Nations). (2017). China becomes largest pangasius market in Asia. Retrieved April 1, 2018, from http://www.fao.org/globefish/marketreports/resourcedetail/en/c/903636/.

Hall, D. C., Knight, T. O., Coble, K. H., Baquet, A. E., & Patrick, G. F. (2003). Analysis of beef producers’ risk management perceptions and desire for further risk management education. Review of Agricultural Economics 25(2), 430-448. https://doi.org/10.1111/1467-9353.00148

Heyder, M., Theuvsen, L., & Davier, Z. V. (2010). Strategies for coping with uncertainty: the adaptation of food chains to volatile markets. Journal on Chain and Network Science 10(1), 17-25. https://doi.org/10.3920/JCNS2010.x102

Huirne, R. B.M. , Meuwissen, M. P. M., Hardaker, J. B., & Anderson, J. R. (2000). Risk and risk management in agriculture: an overview and empirical results. International Journal of Risk Assessment and Management 1(1/2), 125-136.

Le, T. C., & Choong, F. (2010). Perceptions of risk and risk management in Vietnamese catfish farming: an empirical study. Aquaculture Economics and Management 14(4), 282-314. https://doi.org/10.1080/13657305.2010.526019

Little, D. C., Bush, S. R., Belton, B., Nguyen, P. T., Young, J. A., & Murray, F. J. (2012). Whitefish wars: Pangasius, politics and consumer confusion in Europe. Marine Policy 36(3), 738-745. https://doi.org/10.1016/j.marpol.2011.10.006

Loc, V. T. T. (2016). Assessment of agri-product value chains in the Mekong Delta: Problems and solutions. Can Tho University Journal of Science 2, 100-111. https://doi.org/10.22144/ctu.jen.2016.001

Meuwissen, M. P. M., Huirne, R. B. M., & Hardaker, J. B. (2001). Risk and risk management: an empirical analysis of Dutch livestock farmers. Livestock production science 69(1), 43-53. https://doi.org/10.1016/S0301-6226(00)00247-5

Pham, N. T. A., Meuwissen, M. P. M., Le, T. C., Bosma, R. H., Verreth, J., & Lansink, A. O. (2018). Price transmission along the Vietnamese pangasius export chain. Aquaculture 493, 416-423. https://doi.org/10.1016/j.aquaculture.2017.04.028

Pham, N. T. A., Meuwissen, M. P. M., Le, T. C., Bosma, R. H., Verreth, J., & Lansink, A. O. (2016). Economic feasibility of recirculating aquaculture systems in pangasius farming. Aquaculture Economics and Management 20(2), 185-200. https://doi.org/10.1080/13657305.2016.1156190

Rico, A., & Van den Brink, P. J. (2014). Probabilistic risk assessment of veterinary medicines applied to four major aquaculture species produced in Asia. Science of The Total Environment 468–469, 630-641. https://doi.org/10.1016/j.scitotenv.2013.08.063

Sahota, A., Haumann, B., Givens, H., & Baldwin, C. (2009). Ecolabeling and Consumer Interest in Sustainable Products. In Baldwin, C. (Ed). Sustainability in the Food Industry (159-184). Iowa, USA: Wiley- Blackwell. https://doi.org/10.1002/9781118467589.ch7

Seafood trade intelligence portal. (2017). Pangasius production and export statistics. Retrieved April 01, 2018, from https://seafood-tip.com/sourcingintelligence/countries/vietnam/pangasius/.

Trifkovic, N. (2014). Certified standards and vertical coordination in aquaculture: The case of pangasius from Vietnam. Aquaculture 433, 235-246. https://doi.org/10.1016/j.aquaculture.2014.06.010

Valeeva, N. I., van Asseldonk, M. A. P. M., & Backus, G. B. C. (2011). Perceived risk and strategy efficacy as motivators of risk management strategy adoption to prevent animal diseases in pig farming. Preventive veterinary medicine 102(4), 284-295. https://doi.org/10.1016/j.prevetmed.2011.08.005