The role of the collective economy

The collective economy, with cooperatives as its core, plays a crucial role in socio-economic development. Having gone through difficult times due to changes in management mechanisms and market conditions, in recent years the collective economy has gradually affirmed its vitality and is steadily progressing, especially in the context of reform and integration.

Implementing Resolution No. 20 of the 13th Central Committee of the Communist Party of Vietnam on continuing to innovate, develop, and improve the efficiency of the collective economy in the new period, the province has implemented support mechanisms and policies, focusing on removing difficulties and unleashing internal strengths to help economic models thrive. Many cooperatives have moved away from the subsidized mindset, operating more efficiently and transparently, linking the interests of members with the collective interests. From agriculture and fisheries to small-scale industries and services, cooperatives are increasingly expanding their scale, applying technology, improving product quality, and gradually asserting their position in the market.

The Hung Son Agricultural and Electricity Services Cooperative in Lam Thao commune was established in 2009 under challenging conditions regarding mechanisms, policies, human resources, and limited capital. However, after many years of research and innovation, along with government support, the cooperative has now become one of the leading and most efficient businesses in the fields of agriculture, environmental services, and electricity, with annual revenue reaching nearly 20 billion VND.

Hung Son Agricultural Services and Electricity Cooperative regularly maintains and upgrades its electricity supply system.

Ms. Kieu Thi Khoa, Director of the Cooperative, said: Electricity services account for 70% of the unit's revenue. For many years, the Cooperative has ensured the safety of the power grid, preventing incidents and meeting the production and living needs of the people. To ensure stable electricity quality, the Cooperative allocates funds annually for maintenance, upgrading power lines, connecting and balancing the load between transformer stations.

Starting work at 4 am, the sanitation workers of Hung Son Agricultural and Power Service Cooperative diligently go to each household to collect waste, transport it to the collection point, and then send it for processing. The cooperative's waste collection service not only provides a stable income for 20 local workers but also contributes to making the roads and alleys of Lam Thao commune cleaner and more attractive.

Before the cooperative was established, the problem of waste not being collected and littering being done indiscriminately was quite common. Since the cooperative started operating, the issue of collecting and processing household waste has been resolved, and people's awareness of environmental protection has been raised.

Through the effective implementation of its services, the Hung Son Agricultural and Electricity Service Cooperative has contributed to changing the face of rural areas and affirming the role of the collective economy in the new era.

Waste collection and disposal are carried out regularly, contributing to keeping the neighborhood clean and beautiful.

As one of the exemplary new-style cooperatives with a value chain linkage and its main product being VietGAP-certified cucumbers, the An Hoa Agricultural Service and Agricultural Products Trading Cooperative in Hoang An commune is demonstrating strong growth in developing clean and safe agriculture, protecting consumer health, and bringing high income to its members. With 34 households linked to growing clean cucumbers on a total area of ​​32 hectares, the cooperative is gradually building a closed production-consumption value chain.

Always aspiring to build a brand for An Hoa cucumbers and establish stable supply chains, in 2017, when the province invested in building a production area according to VietGAP standards, Mr. Do Van Dung, Director of the An Hoa Agricultural Service and Business Cooperative, proactively linked with 7 local households to establish a cooperative to develop the vegetable and fruit industry in a safe, sustainable manner and distribute products through supply chains.

With good quality and clear origin, the cooperative's products are purchased under contract by several supermarkets in the area and agricultural processing companies. From spontaneous, small-scale, and fragmented cultivation, cucumbers have gradually become a source of wealth, helping people feel secure in farming and "sticking to their fields and villages."

Members of the An Hoa Agricultural Service Cooperative, which deals in agricultural products, receive support in terms of capital and seeds.

farming techniques...

With the economic, health, environmental, and sustainability benefits it offers, many clean and safe production models have been invested in and implemented by localities and cooperatives in the province, affirming the firm position of the collective economy in the era of integration.

Proactively restructuring and innovating operating methods towards commodity production, closely linking with businesses and consumer markets, is also the direction chosen by the Vinh Phuc Safe Vegetable Cooperative in Hoi Thinh commune.

Established and operational since 2014, the Vinh Phuc Safe Vegetable Cooperative currently has 40 members and a total production area of ​​over 10 hectares. To date, the cooperative has linked and managed the entire chain from production to consumption to ensure product quality control according to standards. Members participating in the cooperative benefit from this collective economic model, having a stable market for their products and receiving support in terms of capital, seeds, and cultivation techniques.

The products of the Vinh Phuc Safe Vegetable Cooperative meet the increasing demands of consumers.

According to Ms. Kieu Thi Hue, Director of the Cooperative: The unit's main products include chayote fruit, chayote shoots, fragrant gourd, bottle gourd, Chinese cabbage, cabbage, green cabbage, sweet cabbage, Chinese broccoli, water spinach, and jute leaves. In 2020, the Cooperative introduced several new varieties such as lemon winter squash, purple cabbage, and purslane, while also developing baby chayote and pre-processed chayote shoots to meet the increasing demands of consumers.

With its expanding market network, the cooperative has contributed to increased revenue and higher incomes for its members. It also provides stable purchasing agreements for local households, creating a value chain, changing outdated production mindsets, and fostering a sense of responsibility for safe products.

It can be affirmed that, through successful organization of production along the value chain, closely linked with businesses and markets, cooperatives not only provide input services but also guarantee the purchase of output products, helping to reduce risks and increase production efficiency. Many cooperatives apply high technology, organic production, create traceability, and meet market demands both within and outside the province. In particular, cooperative models associated with OCOP products and community tourism are showing promising prospects.

The success of these models has affirmed the role of the collective economy. However, to create momentum, cooperatives not only need to apply science and technology to produce reputable, high-quality products, but also need to proactively adopt modern supply methods, integrate products into the market, connect directly with consumers, master production technology, and build sustainable product supply chains, contributing to increased income for members and workers.

Nguyen Anh

Source: https://baophutho.vn/vai-role-of-collective-economy-243095.htm