TITLE:
Factors Affecting to Tea-Growing Household’s Financial Efficiency: A Case Study from Thai Nguyen Province
AUTHORS:
Tran Thi Quy Chinh, Tran Cuong, Jiancheng Chen
KEYWORDS:
Financial Efficiency, Tea Farmers, Training, Factor, Thai Nguyen
JOURNAL NAME:
Open Access Library Journal,
Vol.7 No.12,
December
10,
2020
ABSTRACT: Due to one of the major tea-producing regions of the country, the quality and brand have been affirmed, Thai Nguyen province has identified tea as the main crop to develop local economy as well as improve farm households income. The main objective of this study is analyzing the financial efficiency of tea farmers in Thai Nguyen province through the data collected from 210 households. The results indicated that the financial efficiency of tea cultivation is quite high with the rate of return on total cost of 48.97%. In addition, there are five factors related to the production stage that affect the financial efficiency of tea farmers, of which three factors that have a positive impact were productivity, credit access, training technical and two negative impact factors were tea area and risk. Thence, this study recommends solutions to enhance the financial efficiency such as improving tea yields, reducing input costs, strengthening activities of cooperatives, and maintaining techniques training as well as advancing ability access to credit for farmers.