Thi Thanh Dung Huynh, Popova L.V. Blockchain Application to Coffee Production in Vietnam in the Context of Global Value Chains

Thi  Thanh  Dung  Huynh
Volgograd State University, Volgograd, Russian Federation
Larisa V.  Popova
Volgograd State Agrarian University, Volgograd, Russian Federation

Abstract. The research aims to identify factors influencing the adoption of blockchain technology and the role of supportive policies in facilitating the implementation of blockchain technology in coffee production in Vietnam within the context of the global value chain. The study employs a semi-structured interview method to explore the practices of technology use in coffee production,  understanding the perceptions of blockchain technology  by producers. Descriptive statistics methods, multiple linear regression analysis, and Pearson correlation analysis are used to determine the relationship and key factors influencing the adoption of blockchain technology and the role of supporting policies. The research results indicate that blockchain technology has not been used in coffee production in Vietnam. Age of producers, land area for production, understanding of the technology, and level of education are key factors influencing the decision to implement blockchain. Government and large coffee companies’ support policies play a crucial role in support of coffee producers and appearance of positive results. Therefore, producers require support from the government and companies to use blockchain technology in coffee production. The application of blockchain in coffee production will help Vietnam improve its competitiveness in the global value chain; thus, appropriate technological support policies are needed for the implementation of blockchain in coffee production. Based on the research results, we suggest the development of agricultural and industrial cooperatives operating in the form of joint ventures and government support through investments in technology. Cooperatives operating under this model of joint business can solve problems that individual farmers are unable to resolve. These include the involvement of educated young workers; growth of crop area through blockchain technology and other modern technologies, which will save on production costs and increase productivity and product quality; provision with high-quality raw materials and control of the quality of coffee beans, eliminating dependence on intermediary businesses.
Key words: Vietnam, coffee production, blockchain-technology, global value chain, semi-structured interview method.
Citation. Thi Thanh Dung Huynh, Popova L.V., 2024. Blockchain Application to Coffee Production in Vietnam in the Context of Global Value Chains. Regionalnaya ekonomika. Yug Rossii [Regional Economy. South of Russia], vol. 12, no. 3, pp. 118-131. (in Russian). DOI: https://doi.org/10.15688/re.volsu.2024.3.12
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