Contributing to the sustainable development of the tea-growing region.

In recent years, the Tan Cuong People's Credit Fund (Thai Nguyen City) has gradually affirmed its role as an effective financial "support" for local people and production households. Not only does it serve credit needs, but the Fund also contributes to creating momentum for sustainable production and business models, improving the income and living standards of the people.

The family of Ms. Nguyen Thi Thu, from Hong Thai 2 hamlet, Tan Cuong commune, borrowed capital from the Tan Cuong People's Credit Fund to invest in tea production and processing.

The Tan Cuong tea region has long been a renowned brand, known as the "tea capital" of Thai Nguyen . With its exceptionally suitable climate and soil conditions, the local people have a long tradition of tea cultivation. However, to improve productivity and product value, they urgently need support in terms of capital, technology, and markets.

In particular, credit from the Tan Cuong People's Credit Fund has become a crucial "lever" helping many households transform their farming methods from small-scale to semi-industrial, investing in modern processing machinery and expanding production scale towards safe and organic practices. Many households, after accessing loans, have boldly improved tea varieties, invested in sprinkler irrigation systems, and installed high-tech tea leaf drying ovens... As a result, product prices have increased, making it easier to access demanding markets such as Hanoi and Ho Chi Minh City, and export to the Middle East and Europe.

A prime example is the family of Ms. Nguyen Thi Thu, from Hong Thai 2 hamlet – one of the active members of the Fund. Thanks to timely loans for investment in tea production and processing, Ms. Thu said: “The loan procedures at the Fund are simple, disbursement is quick, and it's close to home, which is very convenient for us people. With 1.2 hectares of tea, my family harvests about 2 tons of dried tea buds each year. After deducting expenses, the profit reaches 500 to 700 million VND. Thanks to the Fund's capital, we have the opportunity to expand processing and increase the value of our products.”

One important factor that leads many people to choose Tan Cuong People's Credit Fund is the reasonable interest rate on loans, which is suitable for agricultural production conditions. Ms. Pham Thi Tham, from Lam Son hamlet, shared: "The interest rate here is comparable to other credit institutions. Meanwhile, the Fund's staff are well-versed in the situation of each household and provide dedicated advice, so we feel very secure when borrowing to invest in expanding our tea plantations."

From these practical results, it is clear that the role of Tan Cuong People's Credit Fund is not simply that of a financial institution supporting people's access to loans, but also a factor contributing to the restructuring of the local tea industry, in line with the orientation in Resolution No. 11-NQ/TU dated February 3, 2025, of the Thai Nguyen Provincial Party Committee on the development of the tea industry in the period 2025-2030. This resolution emphasizes the goal of improving quality, increasing processing value, and expanding the consumer market – goals that people can only achieve with a solid, stable, and long-term financial resource like that provided by the People's Credit Fund system.

Sharing his vision for the future, Mr. Phan Van Tuan, Chairman of the Board of Directors of Tan Cuong People's Credit Fund, said: “We clearly define the Fund's role as serving local economic development, especially in the tea production sector – the main crop of the commune. Therefore, in 2025, the Fund will continue to implement preferential loan packages according to Resolution 11-NQ/TU on the development of the tea industry. Besides that, we will also focus on improving service quality, applying information technology, and ensuring safety and transparency in operations.”

In 2025, Tan Cuong People's Credit Fund has set the following targets: total mobilized capital reaching 65 billion VND, the number of members increasing to 876, and business profit striving to reach nearly 1.3 billion VND... To achieve this goal, the Fund will continue to promote its products and services, implement preferential interest rate packages, especially credit packages specifically for cooperatives and tea-growing households. The Fund will also focus on improving the skills of its staff, cautiously controlling credit growth, prioritizing quality over quantity...

The Xinjiang People's Credit Fund currently has 806 members. As of December 31, 2024, the Fund's total capital reached VND 63.2 billion, of which VND 50.2 billion was mobilized capital and VND 1.4 billion was entrusted capital. Loan disbursements in 2024 reached nearly VND 89 billion, and income from credit activities reached VND 7.1 billion. Besides lending, the Fund also develops convenient financial services such as interbank money transfers and intermediary withdrawals, effectively meeting the transaction needs of rural residents.

Source: https://baothainguyen.vn/kinh-te/202504/gop-phan-phat-trien-ben-vung-vung-che-a63260c/