HCM CITY — HCM City will adopt the co-operative model to develop its agriculture, the administration has decided.

Speaking at a workshop on December 3, the city’s Party Secretary Nguyễn Thiện Nhân said: “To develop the city’s agricultural production, besides choosing right plants and animals, the most important factor is choosing the best model.”

He pointed out that the ratio of agricultural workers in the city has fallen sharply from 5 per cent in 2000 to 1 per cent last year.

Globally, the co-operative model is the most popular, not households or joint ventures, he said.

“Households do not know what the market needs: the market wants high-quality products, a large number of them and with brands, and food quality and safety. All can be addressed through the co-operative model.”

Besides, co-operatives would find it easier to approach banks since they have proper production plans and enough customers, can adopt technology and farm more efficiently than households, he said.

“If HCM City wants to sustain its agriculture, authorities must switch the production model from household to co-operatives.”

Currently, some 77 per cent of the agriculture is carried out by households while co-operatives account for only 5 per cent.

Lê Thanh Liêm, deputy chairman of the city People’s Committee, said: “Farmers’ profits at co-operatives are 30 – 50 per cent and co-operatives are a must for agricultural development.”

The city has 230 agricultural production groups and 10–20 per cent of them should be upgraded into co-operatives soon, he said.

“The city has already issued support policies for newly established co-operatives but related authorities should implement them gradually.

“The Department of Agriculture and Rural Development along with relevant authorities should educate farmers for them to understand the benefits of the co-operative model and its success.”

According to the department, the city has 41 co-operatives with 2,235 members, and plans to set up seven model co-operatives in Củ Chi, Hóc Môn, Bình Chánh, Nhà Bè and Cần Giờ districts.

“The department has suggested that the city should send well-educated staff to manage co-operatives for the first three years at a salary of over VNĐ11 million (US$500) a month,” Trần Ngọc Hồ, deputy director of the department, said. — VNS