(HBO) – The collective economic sector, with cooperatives at its core, has adapted to the market economy and affirmed its role in socio-economic development of Hoa Binh province and its rural areas in particular.

 

During the COVID-19 outbreak, the collective sector and cooperatives have maintained operations and ensured income for labourers.


 The Huy Chi Cooperative in Hung Son commune, Kim Boi district, which specialises in making clothes for export, has generated jobs for about 50 local labourers.

Over the past 20 years, the collective sector and cooperatives have grown in both quality and quantity.

Statistics show that as of the end of 2021, the province counted 228 cooperative groups, up 2.78 percent from 2001; and 476 cooperatives, up 73.9 percent, of which 446 are operational.

The average turnover of each cooperative during the 2013-2021 period doubled that in 2001-2012, and reached 3 billion USD last year. Meanwhile, each labourer earns over 4 million VND monthly.

Notably, the cooperatives have promoted major local products, and many of them have cooperated with supermarkets and big businesses to expand the consumption market for their products, contributing to improving product quality and competitiveness.

Bui Huyen, Vice Chairman of the Yen Thuy district People’s Committee, said cooperative groups and cooperatives have operated in a wide range of areas like agriculture, handicraft ad transportation services.

Resources have been mobilised to develop the collective sector through assisting with the establishment of new cooperatives, providing them with modern machines, and helping put products on e-commercial platforms, thus encouraging locals to join cooperatives.

Dinh Cong Su, Vice Chairman of the provincial People’s Committee and head of the provincial steering board for the development of cooperatives, noted that cooperatives have brought about sustainable production outcomes in rural areas, especially disadvantaged and ethnic minority-inhabited areas.

In up to 65 percent of communes, cooperatives have actively contributed to the local agriculture-based economy and new-style rural area building, according to the official.

Hang Kia tourism service and agricultural cooperative in Mai Chau district was established in June 2021 with 11 members, of which three households offer community-based tourism services, one specialises in brocade production, and seven others engage in farming.

Each year, the cooperative welcomes nearly 10,000 holidaymakers and earns some 1 billion VND from tourism. It has also created jobs for 15 labourers, each with income ranging from 3-5 million VND per month.

The cooperative’s community-based tourism services have been recognised as four-star OCOP products by the provincial People’s Committee.

Hoa Binh now has 58 products of 41 cooperatives that are rated three stars and above.

Apart from such achievements, limitations still remain in the collective economic sector such as slow, unstable growth and modest contributions to the province’s gross regional domestic product (GRDP).

Given this, Hoa Binh aims to raise the sector’s contributions to the GRDP to 6 percent by 2030, and have 300 cooperative groups, 730 cooperatives and 10 cooperative alliances, with 27,200 members.

Su said to achieve the targets, the province needs to raise public awareness of the collective economy and promote the role of all-level Party Committees and authorities and localities as well as coordination between departments, agencies and organisations in leadership.

Other tasks include consolidating relevant mechanisms, promoting new-style cooperative models and investing more in the models, especially those in agriculture, in disadvantaged and ethnic minority-inhabited areas./.

 


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