Farmers' Union should realise importance of collective economy: Deputy PM

October 12, 2023 - 16:53
According to Khái, the Government and the Party see the collective economy as one of four important aspects of the economy, and will create Việt Nam's economic power.


Experts hold discussions at the forum in Hà Nội on Thursday. VNA/VNS Photo Tuấn Đức

HÀ NỘI Deputy Prime Minister Lê Minh Khái outlined eight crucial missions to develop Việt Nam's collective economy, as he attended the eighth National Farmers' Forum on Thursday.

The forum in Hà Nội, under the theme of "Farmers' Union developing collective economy", was organised by the Việt Nam Farmers' Union, in association with the Ministry of Agriculture and Rural Development (MARD).

"Collective economy is an important economic component that must be strengthened and developed alongside the state economy to become a solid foundation of the national economy," Deputy PM Khái said.

"Emphasising that the development of the collective economy is an essential and objective trend, it is a task of the entire political system."

According to Khái, the Government and the Party see the collective economy as one of four important sectors of the economy, and will create Việt Nam's economic power.

Khái ordered leaders of localities and authorities, as well as the Việt Nam Farmers' Union, to focus on executing eight crucial missions.

One: It is essential to have a correct and comprehensive understanding of the nature, position, role and importance of the collective economy in the market-oriented socialist-oriented economy.

To fulfill this requirement, the Ministry of Planning and Investment should coordinate with relevant agencies in urgently revamping the National Steering Committee on the Collective Economy in accordance with the guidance of the Central Party Committee.

Two: Farmers' unions at all levels should continue to promote, mobilise and guide the establishment of more cooperatives and cooperative groups based on existing agricultural associations and vocational groups.

The general goal is to have 140,000 cooperatives, 45,000 cooperative groups, and 2 million members nationwide by 2030. Newly established cooperatives and cooperative groups should promptly apply advanced scientific and technological achievements to their production.

Three: The "Việt Nam Farmers' Union's Involvement in Developing the Collective Economy in Agriculture" project should be quickly proposed to the Prime Minister for ratification. The project must ensure feasibility and mobilise social resources, encourage innovative approaches and establish sustainable linkages.

Four: For ministries, sectors, and localities, in line with their functions and assigned tasks, they should focus on researching and resolving the difficulties and challenges raised by cooperative representatives at the Forum.

Five: It is necessary to enhance the effectiveness of state management in the field of the collective economy. Prioritise resources, allocate funds and appoint officials to monitor the innovation of the collective economy and cooperatives in organisations and units from the central to local levels.

Six: There is a need to strengthen international cooperation to attract resources for the development of the collective economy and cooperatives in agriculture, expand markets, promote cooperative products, and provide training and development for human resources within cooperative organisations.

Seven: It is of utmost importance that cooperatives take an active, innovative approach and transform their mindset and practices, shifting from agricultural production to agricultural economics with integrated added value.

The products they produce should have a strong brand, high quality, and be market-responsive, particularly aligning with the "One Commune One Product" (OCOP) program. Cooperatives should also swiftly embrace digital transformation in their production and business activities, actively apply new scientific and technical advancements to modernise production processes, and enhance product competitiveness.

Eight: The Việt Nam Farmers' Forum is a significant initiative that should be maintained as a beneficial platform for farmers to share practical production and business experiences. It should also provide suggestions and recommendations to the Government, the Prime Minister, and relevant ministries, departments, and local authorities to address challenges promptly with effective solutions.

The Việt Nam Farmers' Union should actively engage in promoting, mobilising, and guiding the establishment of cooperatives. Build mechanisms and policies to train, develop, and attract a young, educated workforce to work in cooperatives, meeting the increasing demands for value chain development and international integration.

Cooperatives play key role

At the forum, Đặng Văn Thanh, Deputy Director of the Cooperative Economic Department, Ministry of Planning and Investment, made a presentation on the situation of cooperatives and collective economy in Việt Nam.

According to Thanh, the number of cooperatives has risen during the last 10 years, at an average pace of 4.8 per cent. The numbers rose sharply in 2022, just after Resolution 20-NQ/TW on renovating and developing the collective economy was issued.

Việt Nam currently has 31,700 cooperatives, with 20,357 related to agriculture. The average annual revenue of a cooperative is VNĐ3.592 billion/year (US$143,000), and a worker can earn VNĐ56 million ($2,291) annually.

In just the seven months of 2023, 1,626 cooperatives were established, with 64.64 per cent in agriculture, forestry and fisheries. If compared to the period of 2013-2021, the number of new cooperatives in 2022 is lower, however, the size is much bigger, and the quality is much improved.

Thanh emphasised that in agriculture, cooperatives play a key role in networking and supporting its members both economically and technically. 

Cooperatives are well-suited to the specific scale of agricultural production in Việt Nam because they support farmers in forming linkages within value chains, adhering to standards and regulations, ensuring food safety, and connecting with the market.

According to Thanh, developing agricultural cooperatives is crucial in creating huge production zones, specialising in agricultural products, but with a processing and consuming value chain.

Good Farmers' Network introduced

The event also introduced the Việt Nam Good Farmers' Network, which connects more than 800 approved farmers, as well as model cooperatives to share farming experiences.

The initiative was started by the Nông Thôn Ngày Nay (Rural Today) newspaper.

"The selected individuals in the Good Farmers' Network are the best of the best, models, pioneers and inspirations for other farmers," said Nguyễn Văn Hoài, Deputy Editor-in-chief of the newspaper.

The formation of the Việt Nam Good Farmers' Network aims to gather and connect outstanding Vietnamese farmers from different periods, facilitating exchanges, learning, market exploration, and investment cooperation.

It also serves as a platform for sharing experiences and exchanging information in agricultural production, through means of training, farm visits, and social programs.

The network will primarily operate online, but there will also be in-person events planned. VNS