Challenges to Rural Poverty Reduction in Viet Nam - Oxfam Blogs

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Participatory poverty monitoring in rural communities in Viet Nam 30 BOX 1.2. Households gradually accumulate from livestock Ms L.T.X., of the Tay ethnic group escaped from poverty with buffalo and pig farming in Doi 1 village, Ban Lien commune (Bac Ha, Lao Cai). Between 2007 and 2009 she and her husband grew tea on an upland farm. Every year, her household was short of food for 2-3 months. Over the next few years Mrs L.T.X. sold pigs and cattle to purchase more productive land. In April 2010, she sold four pig litters and bought one hectare of land to grow tea. In August 2010, she sold a buffalo calf. In October 2010, she received 9 million as compensation for land used for road construction. She bought more land worth 3 million VND, paid a debt of 1.2 million, and used the remaining money to buy paddy. In 2010, her household registered to grow 0.5 ha of pine trees and aims to harvest them in 2015. In November 2011, her buffalo gave birth to another calf. She still has an outstanding bank loan of 12 million VND. She and her husband intended to sell a calf to pay the outstanding loan: “We will sell a one-year old calf to pay the debt. After paying debt, we can escape from poverty. Our life is better thanks to pig and buffalo breeding.” Relative living standards Average Gets married Has baby Borrowing money from Social Policy Bank to buy a buffalo and piglets Four pig litters Uses 9 million dong from land compensation to buy wet rice land and clear debt Uses profits from pigs to buy tea planting land Wet rice land affected by road construction Poor Another buffalo was delivered Moves to a new house A new buffalo was delivered Extremely Poor 2007 2008 2009 2010 2011 Migrant work and local casual jobs. Over the past five years wages from local casual work for both men and women have increased in line with inflation. At some monitoring points casual jobs depend on the weather, seasons and individual projects. Incomes from local casual work is typically spent on necessary expenditures such as rice, food, and school fees. Savings tends to be low. In contrast remittances from men and women working away from home contributes significantly to increasing household incomes, providing for daily necessities, housing improvements and children’s education. Migratory labour is most prominent in lowland and Kinh areas such as Duc Huong-Ha Tinh, Thuan Hoa-Tra Vinh and Cu Hue-Dak Lak, where many households have escaped poverty. Poor mountainous and ethnic minority households tend to lack the social relations, education and health necessary to secure migrant jobs. See Section 5 “Labour Mobility and Gender Impacts”. Expanding productive land. Households with surplus labour expand productive land
Five-year Synthesis Report Part 1: Poverty Trends and Key Themes of Rural Poverty Reduction by reclaiming, buying or renting land. In northern mountainous and ethnic minority areas (Thuan Hoa-Ha Giang, and Ban Lien-Lao Cai), many people try to reclaim small terraced fields in well watered places. In Thanh Xuong-Dien Bien, many households rent land from state-owned farms. In Ban Lien-Lao Cai, some households bought tea hills from those with surplus land. The second round of land plot merging and exchange in 2009 in Duc Huong-Ha Tinh provided land-shortage households with more land to till. In Duc Huong- Ha Tinh, some households rented land from those lacking labour (particularly the elderly or those with children working away from home) to expand production. Land expansion is limited by population growth and an increasing shortage of arable and irrigated land. 31 Benefiting from direct government support policies. Government policies for housing construction (Decision 167), concessional loans, support for disabled children and social assistance (Decree 67) have helped many poor people (Box 1.3). BOX 1.3. Households with disabled children benefit from Government assistance Mr. H.T.H is head of a poor Kh’mer household with no productive land in Thuy Hoa village, Thuan Hoa commune (Cau Ngang, Tra Vinh). He has three children. The youngest son is ten years old and severely disabled. Mr. H.T.H earns a wage carrying rice husks and goes fishing for his household’s daily food. His wife cannot do physically arduous work, but earns occasional income doing small jobs. In 2008, his eldest daughter went to work in a garment factory in Binh Duong province. In late 2009, with Government assistance, his son moved to a specialist centre for disabled children in Tra Vinh Province. As a result Mr H.T.H no longer has to purchase food, clothing and, most importantly, medical treatment for his son. Mr. H.T.H said, “He can go to school. He is now at second grade and is an excellent student. He can read and write now. Since he went to Tra Vinh, our family life has been much less difficult.” In 2010, he received assistance to build his house under Decision 167. His relatives also provided support. In late 2010 his wife had an accident and could no longer work. In early 2011, their second son also went to work in Binh Duong, and, along with his sister, now sends money home every month. Relative living standards Average Youngest son with disabilities nurtured by the State Constructing house under Decision 167 Second son goes to work in Binh Duong Poor Eldest daughter working in Binh Duong Wife can no longer work Extremely poor 2007 2008 2009 2010 2011 Investment in education is not matched economic efficiency for rural households. Investment in children’s education has increased in most of the monitoring points in the past five years (2007-2011). However, for many the returns have proved unsatisfactory. In the short run, households face higher costs. In Duc Huong-Ha Tinh, for example,
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Page 7: PREFACE 1 7 In early 2007, Viet Nam
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Part 3 Toward Sustainable Rural Pov
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