Favourable consumption

Binh Minh organic agricultural cooperative has been established since December 2016 by gathering pig-raising households in the 2 communes of Danh Thang and Luong Phong (Hiep Hoa district). Since the very beginning, the cooperative has mapped out the development towards green farming. The good-quality pork product has been accepted by the market, thus, the cooperative has expanded their activity with slaughtering and intensive processing to enhance the product value since May 2019.

The members of Hung Vuong agricultural and multi-sector development cooperative pack oyster mushroom.

In early 2020, the cooperative spent fund to build the product traceability stamps. However, the information on the stamps was quite simple, which did not show all production procedures due to limited budget. In order to handle the limitation, the cooperative has been supported 40 million VND (1,694 USD) from the provincial budget to establish new traceability stamps with more information.

The province has 644 agricultural cooperatives (accounting for 64.8 percent of the total cooperative) more than 1.1 trillion VND (46.3 million USD) of total charter capital. In recent years, the agricultural cooperatives have affirmed their right tracks to transform towards diversified sectors and services, clean production under value chain and linkage with firms and traders for product consumption. Especially, many cooperatives paid attention to traceability stamps and promotion activities on e-commerce platforms.

Particularly, Hanh Phuc agricultural cooperative in Tang Tien commune, Viet Yen district built an e-commerce website thanks to 15 billion VND (631,685 USD) of supported fund. More customers found the products through the website and their consumption channel has been expanded. To date, the 2 OCOP products including Banh Chung Hanh Phuc and brown rice mixed with dang shen tea of the cooperative has been sold at Shoppee.vn and other retail systems of Winmart, Winmart+, Co.opmart and AEON (Japan).

Similarly, mushroom products of Hung Vuong agricultural and multi-sector development cooperative in Nghia Hung commune, Lang Giang district have been stamped with origin traceability and sold on e-commerce platforms thanks to the supported fund with 40 million VND (1,694 USD) .

Accompanying to bring the products go far

In fact, the people’s living standards have been improved where the product quality and origin are required more strictly. To that end, many agricultural cooperatives have quickly responded and paid attention to building close production chains with origin traceability while taking initiative to seek and expand modern distribution channels.

According to some cooperatives, in line with improving quality and designs, cooperatives should change their mindset to invest in traceability stamps to have firm stands at the e-commerce platforms. Nevertheless, application of traceability software, posting information on the internet and communication with customers of the cooperatives are limited due to inappropriate human resource quality and shortage of high-tech employees.

In order to remove these obstacles of the agricultural cooperatives, the provincial People’s Committee spent more than 2.6 billion VND (109,492) this year to support the cooperatives to carry out concentration of land, product traceability, human resource training, attracting qualified employees and building e-commerce websites.

In line with the province’s support policies, the competent agencies have provided guidance to the cooperatives for trademark establishment and protection. Particularly, the sub-department of rural development (under the Department of Agriculture and Rural development) has collaborated with related agencies to go directly to the cooperatives for “on-job training” and timely support them to finalize procedures for receiving support.

“The support is only the initial motivation to help the cooperatives to build, complete and upgrade their traceability stamps and websites. In order to have firm positions in the market, the cooperatives need to flexibly grasp the market trend to have appropriate investment”, said Nguyen Van Luy, director of the sub-department of rural development.

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