Livelihood Diversification in Tử Nê Commune, Northern Việt Nam

Abstract

Relatively little research has been conducted on the role diverse economies visions play in post-socialist Việt Nam. Diverse economies is an extension of post-development which aims to destabilise the dominance of capitalism by exploring noncapitalist and informal forms of economic activity. By redefining the economy, post-development tries to build upon existing economic practices and assets to sustain local livelihoods. Post-development provides an ‘alternative’ lens to analyse livelihood diversification and poverty reduction efforts in rural Việt Nam. This thesis explores whether diverse economies visions are present within The Center for Environment and Community Assets Development (CECAD) alternative income generation projects in Tử Nê commune, Northern Việt Nam. CECAD is a local non-governmental organisation that strives to reduce poverty by utilising local assets. Through semi-structured interviews and discourse analysis, I examine the impact beekeeping, mushroom cultivation, community-based tourism and microfinance have on participating households. Neoliberal and capitalist concepts are becoming increasingly important in current Vietnamese thinking. Since the introduction of the Ðổi Mới (economic reforms), the market has played a bigger role in shaping the economy and society than first envisioned. Participating households are beginning to shift away from subsistence agricultural livelihoods to a more market-based orientation. Farmers are now vulnerable to price fluctuations and at the mercy of commodity markets. Challenges with pricing, excess produce, low tourist numbers and small loans have resulted in small profit margins. Income earned from CECAD’s diversification programmes are used for smoothing consumption rather than for investment purposes. The ‘success’ of CECAD’s programmes have been attributed to the increase in social capital, local capacity and collective action. Through the promotion of grassroots democracy principles, CECAD has increased villagers voices in local development decision-making processes. Unfortunately because of the push for market-driven livelihoods throughout their programmes, there is a possibility that other forms of economic development could be devalued or marginalised in the future. By analysing the ‘success’ of CECAD’s diversification programmes, this study concludes that undertaking post-development initiatives is difficult in an increasingly capitalist and market-led society that characterises modern-day Việt Nam.