The “Star” cooperatives in Quang Tri province

DNHN - The Vietnam Cooperative Alliance has just held a ceremony to honour 100 cooperatives (COOPs) that won the “CoopStar Awards” in 2024. Dong Thanh Agricultural General Services Cooperative is the only unit in Quang Tri province to receive this award.

A typical cooperative

COOPs that won the “CoopStar Awards” in 2024 are assessed based on criteria such as production and business results, building sustainable value chains towards green consumption, applying science and technology, etc. Dong Thanh Cooperative fully meets all of the above criteria.

Dong Thanh Cooperative was established in 1981. In 2007, it was selected by the People’s Committee of Dong Ha City to build an advanced typical COOP. According to the assessment of the Provincial Cooperative Alliance, this is a COOP with a scale covering the entire ward, operating comprehensively, with many industries and seedlings. The infrastructure has been invested in and built to ensure efficient production and business. Dong Thanh Cooperative currently has 11 services (directing production processes, irrigation, plant protection, supplying fertilisers and seedlings, internal credit, building small-scale irrigation and water supply systems, afforestation, agricultural extension to transfer scientific and technical advances, harvesting, and land preparation).

Of these, 4 services (seedlings, agricultural extension to transfer scientific and technical advances, plant protection, and directing production processes) do not make a profit to support members and the community. In 2023, Dong Thanh Cooperative achieved revenue of over VND 2.85 billion and a profit of nearly VND 588 million.

To manage and organise 570 members to produce on a cultivated land area of nearly 424 ha each year (320 ha of rice/2 crops, 95 ha, 7.55 ha of aquaculture, 122 ha of forestry), and to implement 11 services regularly and effectively, the Management Board of Dong Thanh Cooperative has established production teams and specialised teams to provide services for the COOP.

Currently, the COOP has a pumping station operation team (4 people), an irrigation team (18 people), an agricultural extension team (12 people), a plant protection team (3 people), a construction team (5 people), a land preparation service team (26 people), and a harvesting service team (6 people). “The COOP regulates activities through teams to ensure strict management, with the right people doing the right job. The workers of the teams are assigned specific tasks, so they are proactive in production and business, ensuring professionalism,” said Mr Pham Van Quan, Chairman of the Management Board and Director of Dong Thanh Cooperative.

Youthful staff

One of the important factors contributing to the innovation and improved operating efficiency of Dong Thanh Cooperative is the rejuvenation of the COOP’s leadership, management, and executive staff. With their youth and basic training, they are quick-witted and dynamic in managing and directing the organisation of production and business activities according to the new COOP model.

Mr Pham Van Quan (born in 1989) is one of the three young cadres of the COOP. He is also one of those who have matured from the province’s COOP cadre training policy after being supported with part of the cost to study for 4 years at Hue University of Economics. “Coming from a farming family, after graduating, I returned to the ward to work as an agricultural extension officer. It was not until 2015 that I started working for the COOP, so I am familiar with the area and the people, and I have knowledge in the field I am in charge of, so my work is smooth,” said Mr Quan.

In the past, COOP members were accustomed to traditional production methods, so when new scientific and technical advances were applied, many people were apprehensive. Understanding this psychology, the members of the COOP’s management board divided the area (the ward has 11 residential areas, which were later merged into 5 residential areas) but still assigned cadres to be in charge of the old areas to facilitate small group meetings to disseminate information, in line with the characteristics and production practices of each area, which made it easier to build consensus.

In providing services, the COOP encourages members to use services in a way that improves quality, putting the interests of members first. For example, with the fertiliser supply service, to compete with the market, the COOP connects to the source of products from Binh Dien Fertiliser Joint Stock Company to ensure both quality and the lowest price. The Management Board also agreed to sell fertiliser to members at the original price that the COOP imported from the enterprise’s production warehouse if members paid immediately after purchasing the goods. If members owe money, the market price will apply (the repayment period is within 6 months and a preferential interest rate is applied).

Formation of specialised production areas

According to Mr Cap Kim Thanh, Chairman of the provincial Cooperative Alliance, Dong Thanh Cooperative is a unit that has achieved many important results in agricultural production and has initially formed production areas suitable for the cultivation of each type of seedling, creating a commodity production area that meets market demand. This has helped to solve employment, create conditions for the development of household economies, actively build and develop infrastructure and welfare projects, and contribute to poverty reduction in the locality.

One of the highlights of Dong Thanh Cooperative is that it has taken advantage of the support of the city and local programmes and projects to invest in building infrastructure for production (levelling the ground, building electricity systems, wells, water tanks, and sprinkler irrigation systems) and opening technical training courses to guide members in producing vegetables and fruits in a way that ensures food safety and hygiene.

From 3 ha of concentrated safe vegetable cultivation on a trial basis, the COOP now has 25 ha specialising in the safe production of vegetables, including 5 ha of vegetables grown according to VietGAP standards with 150 member households participating in the production. “The safe vegetable production model on a trial basis has brought about economic efficiency many times higher than traditional production, while also solving employment for workers and increasing income for members. Therefore, the members of the COOP are motivated to participate. To date, the COOP’s specialised vegetable growing area has applied sprinkler irrigation technology, so it is possible to grow vegetables out of season, bringing in an average income of over VND 500 million/ha/year. Some households that work hard, apply science and technology, and rotate crops have even higher incomes,” said Mr Quan.

In 2016, through information channels, the COOP learned about some new machines for land preparation in vegetable production that were very convenient, so it contacted the supplier to hold a practical demonstration workshop in the local area.

After this workshop, many people invested in buying land preparation machines for vegetable production, which reduced manual labour, increased the turnover rate of a cycle of crops, and thereby increased income. In parallel with the development of vegetable and fruit production, the COOP also created conditions and encouraged members to open more agricultural businesses that are suitable for the natural conditions and labour force of each household.

Currently, the COOP has 26 households specialising in bean sprout production with an average daily output of about 1.2 tonnes of commercial sprouts; 36 households growing various types of mushrooms with a total output of 25 - 27 tonnes/year, creating a significant additional source of income for households.

In addition to production and business activities, the COOP also actively participates in activities to support members and the community.

Every year, Dong Thanh Cooperative allocates VND 50 million from the “Production Development Fund” to support members in investing in upgrading and renovating plant varieties; and supports members in accessing capital from the “Development Support Fund” of the provincial Cooperative Alliance to purchase machinery and equipment for mechanising production. As a result, the COOP currently has 24 mini tractors, 3 Kubota tractors, and 2 combine harvesters.

Implementing the programme to concretise intra-field traffic, over the years, nearly 19 km of intra-field roads have been concretised in the area with a total investment of VND 5.795 billion, of which the COOP contributed VND 1.5 billion.

Le Hoan