Improving the efficiency of cooperatives in the industrial and handicraft sectors

Exported bamboo and rattan products of Tan Tho handicraft cooperative, Trung Chinh commune.

Tan Tho handicraft cooperative, Trung Chinh commune has an average revenue of over 3 billion VND/year. Director of the Cooperative Nguyen Thi Tham said: "Promoting the application of science and technology, improving the quality of human resources to create high-quality products with diverse designs is the key to help the Cooperative stand firm and conquer the market. To improve operational efficiency, the Cooperative has boldly invested in machinery in production such as cutting machines, punching machines, etc.; focusing on occupational safety and hygiene; improving product quality, meeting the increasing demands of customers. The main products of the Cooperative are mainly made to order. The Cooperative has signed contracts with companies outside the province to produce export items to European countries. Due to the proactive source of raw materials, capital, and labor, the Cooperative has increasingly attracted more workers in the commune and neighboring communes to export to serve the foreign market. Operating stably, the Cooperative has created jobs for nearly 300 workers with an income of 4 - 6 million VND/person/month.

Currently, cooperatives operating in the industrial and handicraft sectors are mainly concentrated in industries such as rattan and bamboo weaving, garment, mechanical engineering, and agricultural processing. Many cooperatives have continuously invested in modern machinery, innovated technology, expanded production and business scale; and have been proactive and flexible in finding consumption markets. The average revenue is estimated at 7 billion VND/cooperative/year; the average profit is estimated at 262 million VND/cooperative/year; the average income of a regular worker in a cooperative is estimated at 50 million VND/year. The operating model of cooperatives is arranged in a flexible, compact direction, with increasingly effective business, making an important contribution to job creation and ensuring social security in the locality.

In addition to the achieved results, the operations of these cooperatives still face many difficulties such as low infrastructure conditions, technological level, and management capacity of many cooperatives; most cooperatives have difficulty accessing loans from credit institutions to expand their operations. The trade promotion capacity and competitiveness of some cooperatives producing and trading in products with strengths of the province such as embroidery, rattan, bamboo, wood, etc. are still limited.

To overcome difficulties and improve the operational efficiency of cooperatives in general and cooperatives operating in the industrial and handicraft sectors in particular, the province has had policies to support the development of collective economy and cooperatives suitable for each stage. In particular, to improve the management and operation capacity of cooperatives, implement the Government's project on training and fostering cooperative officials, every year, based on the support budget from the central budget, the Provincial People's Committee has allocated funds to support training and fostering cooperative management officials. The provincial Cooperative Union actively participates in developing policies on collective economy; regularly synthesizes recommendations and proposals of cooperatives with the Vietnam Cooperative Union, the province and relevant agencies; propagates and guides the implementation of the Law on Cooperatives, policies and laws related to cooperative economy; promotes support for cooperatives in vocational training, improving the quality of human resources, innovating technology, product designs, handling environmental pollution, and expanding consumption markets. At the same time, promote trade promotion activities and product consumption for cooperatives...

Up to now, cooperatives have made fundamental changes in their organizational model and operating methods according to the principles of autonomy and self-responsibility, developing many new industries, promoting production linkages associated with value chains, developing supply chains, contributing to improving economic efficiency, affirming the role and value of collective economy and cooperatives in local economic development.

Article and photos: Minh Ha

Source: https://baothanhhoa.vn/nang-cao-hieu-qua-hoat-dong-cac-htx-nbsp-trong-linh-vuc-cong-nghiep-tieu-thu-cong-nghiep-254530.htm