In Vietnam, the consumption of dairy products has increased dramatically in recent years due
to rising incomes. To meet this growing demand, and reduce imports, the Vietnamese
Government has encouraged milk production. In this context, our research is primarily
interested in the distribution of value added among the actors within the fresh milk chain
observed in the province of Son La.
Our study demonstrates that value added within the fresh milk chain was unequally
distributed among actors in the chain in the bias orientation to the non-farmers (nonproducer).
The key feature in the chain was the dairy farmers, but they were also the most
vulnerable actors of the chain. Given the balance of power among the actors, the most
appropriate method to promote the added value for dairy producers is to help a better control
on their production costs by improving the management at the dairy farm.
In the second part of the work, we are inspired from foreign experience in this field to define
an accounting system for technical-economic monitoring of dairy cattle adapted for the
situation of Vietnamese farmers. This system has been tested in Moc Chau in an experimental
dairy farm to provide data regarding the efficiency and profitability of operations. Dairy
farmers were interested in the proposed monitoring system because it allows them to know
the level of performance and to compare it to the others. They were interested in revenue
generated from costs control. The major constraints in the application of this monitoring in
selected farms were the lack of capacity and knowledge from producers.
In conclusion, our study provides an appropriate model for the establishment of a
management system of milk production. The most suitable model is to set up an independent
agency. The cost of this monitoring was estimated, and scenarios for sustainability have been
proposed. Contributing to lower costs through a better understanding of technical and
economic performance of farmers, the service management operations will improve the
competitiveness of locally produced milk with imported products.