Production linkage, increasing strength for local products

05:24, 11/24/2023

The policy of encouraging cooperation and association in the production and consumption of agricultural products is considered an important "key" for the development of the agricultural sector.

Five years ago, when Decree No. 98/2018/ND-CP, dated July 5, 2018 of the Government , was issued, it was the driving force for cooperatives to promote investment according to the value chain model.

The province currently has about 150 agricultural cooperatives, 34 enterprises, 276 farms and ranches, more than 15,500 farming households, and 5 scientific organizations participating in agricultural production linkages. Most of the linkage chains have the participation of enterprises, cooperatives, and farmers. Currently, the linkage is gradually focusing on the province's key products, such as: coffee, pepper, rice, fruit trees (durian, longan, lychee, etc.), pigs, chickens, etc.

Localities have carried out propaganda, mobilization, and support for agricultural cooperatives to act as a link between farmers and enterprises to implement the value chain for sustainable development of agricultural products. In addition to coffee, some fruit trees in Ea Sup, Krong Pac, Buon Don, Krong Nang districts have formed commodity production areas.

Members of Ea Tu Fair Agricultural Service Cooperative (Buon Ma Thuot City) classify coffee.

The representative of the People's Committee of Krong Nang district said that in the district, there are currently 9/58 cooperatives linked with enterprises in product consumption. Currently, the district has implemented a project on developing value chain-linked production, associated with the consumption of fruit products (durian, avocado, mango, lychee, citrus), with 4 cooperatives participating on a scale of 60 hectares, with an output of 575 tons of durian/year, 250 tons of avocado/year, 112.5 tons of orange/year, 224 tons of lychee/year. The 4 participating cooperatives are supported by the district in training to improve management skills, production techniques, contract management capacity, chain management and market development; registration, granting of VietGAP certification; design of brand identity logos... At the same time, the district signed agreements with enterprises and supermarkets in the area to support the consumption of agricultural products with 4 cooperatives participating in the project. In addition, the district has also approved a list of 7 projects to develop value chain-linked production associated with product consumption for products such as high-yield avocado, durian, pepper, macadamia, coffee, lychee, and commercial pork according to VietGAP standards in 9/12 communes and towns.

Due to the increasing demand of the market, some agricultural cooperatives in the specialized areas producing specialty crops and key crops of the province are focusing on production according to VietGAP standards, especially granting growing area codes to create opportunities for export, helping members' products have stable output and prices.

For example, the Ea Tu Fair Agricultural Service Cooperative (Ea Tu commune, Buon Ma Thuot city) was established in 2015 (formerly the sustainable coffee production cooperative of Dakman Vietnam Co., Ltd.). Currently, the cooperative is cooperating with nearly 350 coffee growing households in Ea Tu commune, with a total area of over 320 hectares.

Mr. Tran Dinh Trong, Director of the Ea Tu Fair Agricultural Service Cooperative, said that since its establishment, the cooperative has organized for its members and local farmers to change their farming practices, produce products that meet international standards and certifications, and affix traceability stamps... to be able to sell products at higher prices. At the same time, it has linked up with export enterprises to gradually form a value chain and build a brand for the coffee region in Ea Tu commune.

Currently, the Cooperative organizes production according to the process from care to harvesting, preliminary processing, processing of coffee powder, instant coffee... achieving FLO certification for farmers and Dakman Vietnam Company Limited consumes most of its green coffee products, with stable prices and higher than the market price from 2 - 2.5 million VND/ton; the average profit of each member increases from 10 - 15 million VND/year compared to households not participating in the Cooperative.

Through association and trade promotion activities, the products of Ea Tu Agricultural Service Cooperative have been known and ordered by many domestic and international customers (such as the Netherlands, Japan, Switzerland, England, France, etc.).

In addition, the Cooperative is a member of the Specialty Coffee Association, producing using the Honey method (fermenting ripe fruit and drying naturally). Specialty coffee production has increased the value of coffee beans, bringing practical, direct benefits to farmers.

Durian growing model in Phu Xuan commune (Krong Nang district).

The development in linking and cooperating in the production and consumption of agricultural products has contributed to improving the quality of agricultural products and income for people; gradually changing the awareness and responsibility of people in working with cooperatives to build high-quality agricultural production areas associated with local value chains.

Up to now, the whole province has 114 chains, including 6 provincial-level chains, 106 district-level chains and 2 commune-level chains. In addition, there are about 10 chains linked by businesses and people themselves.

Thuy Dung

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