Guidance on Classification of Farms and Economic Criteria of Each Type of Farm in Vietnam

Circular 02/2020/TT-BNNPTNT stipulating the criteria for farm economy in Vietnam, which officially takes effect from April 14, 2020.

The farm in Vietnam is categorized and must meet the following criteria:

Category Farm Average annual production value
(billion)
Total production area
(ha)
Note
Specialized Farm


(The production value ratio of the production field accounts for over 50%)
Crop farming 01 01  
Aquaculture 02 01 Meet the scale of livestock farms as prescribed in Article 52 of the Livestock Law
Livestock 02    
Forestry 01 10    
Salt production 0.35 01    
Mixed Farm


(A farm in which no production field accounts for over 50% of the production value structure of the farm in the year.)
  02 01  

The method to calculate the total production land area and production value of the farm in Vietnam is according to the provisions in Article 4 of Circular 02/TT-BNNPTNT as follows:

- Total production area:

It is the total area of production and business land of the farm, legally used according to the provisions of land law, including land area for crop farming, livestock, forestry, aquaculture, salt production, and land for infrastructure serving the production of the farm at the time of declaration.

- Farm's annual production value:

It is the production value of at least 1 year the farm achieved in the 3 years closest to the declaration year; calculated by the total production value of harvest or exploitation periods in the year.

For newly established farms without harvested products, the production value is estimated based on the production plan and the actual development situation of the farm.

Thus, from April 14, 2020, farms must be categorized and identified according to the above criteria. For cases where the farm economic certificate was issued previously according to Circular 27/2011/TT-BNNPTNT, it is no longer in effect and must be reissued to serve as a basis for determining the beneficiaries of state policies applicable to farm economy.

Lan Anh

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