World Food Policy Volume 3, No. 2/Volume 4, No. 1, Fall16/Spring17 | Page 75

What shapes the governance of the dairy value chain in Vietnam? Insights from Ba-Vì milkshed (Hanoi) into an asymmetric sharing of incomes. Yet our data is lacking to assess wheth- er contracted farmers earn more or less income than non-contracted ones, in particular through coercive measures on quality. of the products in the urban markets. Besides, technology is highlighted in transforming the chain and shaping the value chain governance (crossbred cows, new technology, and market dy- namics such as prices). The investments made by IDP have had a major impact on the upgrad- ing trajectory of the local value chain. Among the upgrading dimensions, vertical integration and upgrading of both processes and products appear to be the most significant changes. The capacity of IDP to invest in farmers’ development projects and in UHT pro- cessing technology has provided new opportunities and value addition for farmers and for other small-scale pro- cessors, through improved processing and packaging. The future of processing firms may depend on their capacity to set up contracts with appropriate incen- tives. The role of the authorities in man- aging the Ba-Vì certification trademark and milk quality control will certainly affect success chances of semi-industri- al processing plants in the future. Governance structure and upgrading strategy T he governance of the value chain relies on very complex social networks including dairy pro- ducers, collectors, processors, and pub- l