States, Hmong, and Markets: Comparing Ethnic Markets in Luang Phrabang (Laos) and Sapa - Bac Ha (Vietnam)

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1 Hmong in Comparative Contexts Conference The Hmong Studies Consortium University of Wisconsin-Madison/University of Minnesota Center for Southeast Asian Studies, March 4, 2011 March 6, 2011 States, Hmong, and Markets: Comparing Ethnic Markets in Luang Phrabang (Laos) and Sapa - Bac Ha (Vietnam) Dr. Christian CULAS Institute of Research on Contemporary South-East Asia (IRASEC - Bangkok) French National Center for Scientific Research (CNRS) christianculas@yahoo.fr

2 1 Ethnic groups in Vietnam and Laos Contrasts in ethnic and political context: A National Demography 1) In Vietnam, ethnic groups make up roughly 13% of the total population compared to 87% for the ethnic Kinh. Political participation of ethnic minorities is low and is often locally managed by the Kinh. Hmong are at the outer fringes of the political system. 2) In Laos, ethnic minorities make up roughly 52% of total population with 48% for the ethnic Lao. Political participation of ethnic minorities is better than in Vietnam, especially for the Hmong. They are often highlevel, political representatives at the state/national level.

3 1 Ethnic groups in Vietnam and Laos Similarities within an ethnic context: B Provincial Demography 1) In the Lao Cai province (Vietnam), ethnic minorities constitute around 65% of population (Hmong and Dao- Mien make up 50% of all minority ethnic groups). The Kinh represent 35% of the total population. 2) In the Luang Phrabang province (Laos), ethnic minorities constitute around 70% of the population (Khamou: 45%, Hmong and Yao-Mien: 15% of all minority ethnic groups). The ethnic Lao represent 30% of the total population.

4 Ethnic diversity in North Laos and Vietnam

5 1 Ethnic groups in Vietnam and Laos Similarities within an ethnic context: C Economy and market management 1) In both Vietnam and Laos, ethnic tourist markets were created at the initiative of the ethnic minorities. They are the main source of income for hundreds of minority families. 2) In both countries, local authorities need and plan to organise and control these markets in terms of the local "development standards" and the national tourism lobbies.

6 2- History of the Creation of Tourist Markets and Current Management

7 2- History of the Luang Phrabang Tourist Market Luang Phrabang (Laos) : : 10 Hmong women were the first vendors in the city's central square (currently the ethnic market place ) : 170 ethnic vendors (Hmong, Thai Dam, Khamou) : market banned from city centre (170 families excluded, all income lost) : agreement between UNESCO, the Luang Prabang municipality, and vendors = better organized market in city centre : new market organized: more income for minority and Lao vendors and more tourists

8 Hmong Stands, Luang Prabang day market, 2004

9 Hmong Stands, Luang Prabang night market, 2004

10 2- History of the Sapa Tourist Market Sapa (Vietnam) : : First foreign tourists in Sapa. The Hmong and the Dao- Yao sold home-made, handicrafts on the street : Construction of new concrete market in the city centre, with a small space reserved for minority vendors. Street sales continued. First Kinh-owned stores selling ethnic textiles : Experts analyzed possibilities to develop the Sapa market: modernisation, allowing minorities a designated place, income : Project to move the ethnic market into the modern building. However the rent was too high for minority vendors, excluding them and leading to a loss of income. However, new ethnic label shops were opened for Kinh vendors.

11 Hmong and Yao street vendors, Sapa, 2009

12 Hmong street vendors, Sapa, 2009

13 Hmong Stands, Sapa market, 2008

14 2- History of Bac Ha Tourist Market Bac Ha (Vietnam): -1998: First tourist tours visited this minority market (no products for tourists, only products for local people and farming supplies) : Experts studied possibilities to develop and manage the Bac Ha market: modernization, allowing minorities a designated place, better income: project fight poverty ). Experts' recommendation: 2 separate markets is worthwhile. A Map was published to explain the situation and the main economical and social risks.

15 Bac Ha : 2- History of Bac Ha Tourist Market Creation of 2 distinct markets: a local minority market that sold to both local and tourist consumers. No tourist shops run by Bac Ha minorities (only Kinh and Tay from other places). - Total exclusion of local ethnic tourist trade, despite the recommendations of the review. - The government notes the problem of low-income for minority groups in Sapa and Bac Ha. It created some specific development projects (Top Down) to help them and asked for international financial support (World Bank, European Union

16 Hmong Stands (local incense), Bac Ha market, 2009

17 Hmong Stand (traditional medecine), Bac Ha market, 2009

18 3- Comparing elements (A) Origin of handicrafts Market and shops selling ethnic products Dwelling place of the ethnic market vendors Laos Vietnam Luang Phrabang Sapa Bac Ha Local network of ethnic family -Fabric from Thailand - Size from US and EU Specific market made for local Ethnic (95%), Lao 5% Luang Prabang center in Town and Villages from the city Local network of ethnic family Local Ethnic 10%, Kinh sellers 90% Hmong and Dao have a space in the central market All minority villages are outside the town of Sapa Chinese and Vietnamese industrial production Kinh 90% Tày 10% (all dealers) All minority villages are outside the town of Bac Ha

19 3- Comparing elements (B) Market organization Laos Vietnam Luang Phrabang Sapa Bac Ha Specific trade by ethnicity (only local handicrafts with control of origin) - Chinese and Vietnamese products are banned Today space for ethnic groups, but in the new market = excluded ethnic sellers for economic reasons Stalls for tourists outside the local market (excluding local ethnic groups) Market Management Group City council responsibles (Lao), representatives of vendors markets + Hmong and Lao City and district council managersresponsibles (Kinh) (no representatives of Hmong and Dao vendors) Kinh and Tay (no representatives of Hmong, Dao, Phula)

20 3 Summary of Differences - Luang Phrabang : tourism market based on minority business => 170 minority families earn their livelihood directly from the market. * Shared management : Lao authorities, minority vendors, and UNESCO experts with project follow-ups that span several years. - Sapa : tourist market that tolerates minority vendors (income for 15 families inside the old building). Difficulties in the future of the ethnic market? * Management by government authorities only (no minority vendors, and study reports since 1994 have been largely ignored) - Bac Ha: Tourist market organised by excluding local minorities. No local groups earn income from sales to tourists. * Management by government authorities only (no minority vendors, and study reports since 2004 have been largely ignored)

21 Development Projects The economic and social integration of minority ethnic groups are two main goals in Laos and Vietnam. Since 1998, P 135, a national program in Vietnam has spent more than 50 Millions US$ every year to Eradicate poverty in mountainous regions. * For the market Laos, consultation (expert studies) and negotiation have lead to urban integration and the strong development of both the minority market and the city of Luang Prabang * Both markets of Vietnam show that contract management is done without consultation (expert studies) nor negotiation with minority groups. Despite the rapid development of Sapa and Bac Ha cities, ethnic groups are not integrated economically or socially (excluded from urban space and tourist revenue)

22 4 Some questions Almost every development report states that ethnic groups are «underdeveloped» because «they do not know how to take advatage of business opportunities». 1) How then have ethnic minorities created successful, new businesses (not traditional ones) in Luang Prabang and Sapa markets, and many other places in South- East Asia? 1) Why are they not capable of doing the same with other products? 2) Do we know enough about minority societies and economy to state that they do not know how to do business?

23 4 Some questions The Vietnamese government's official goals for the Sapa and Bac Ha markets are to «better integrate minority groups into Vietnamese economy and society.» These are not the observable goals in the markets themselves. 1) What are the government's real objectives for the minorities? 2) Why does the majority of development projects not take into account independant and local development initiatives? 3) Does the government's conception of minorities hamper its ability to find effective solutions?

24 Conclusion In each context, what are the possibilities for negotiations between ethnic populations and local authorities? These negotiations are set to: -The level of trust between partners (this is better confidence in Laos and Vietnam between Hmong and authorities) - The social networks of people involved (better social/political networks of Hmong in Laos and Vietnam) The Hmong of Laos have strong relationships (mutual support) with their families overseas and with some local authorities - The level of confidence of market vendors, to be able to invest more in their activities