To date, there were already 76 housing cooperatives and cooperative societies that operated in secondary industry or home crafts in Dong Nai.60 of such cooperatives were housing cooperatives or cooperative- like groups that created jobs for more 500 people.
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| Hiep Luc Weaving Cooperative was receiving foreign customers |
To date, there were already 76 housing cooperatives and cooperative societies that operated in secondary industry or home crafts in Dong Nai. 60 of such cooperatives were housing cooperatives or cooperative- like groups that created jobs for more 500 people. The province’s housing cooperative sector contained the following traditional crafts such as fine arts, processing of cassava starch, iron casting, and export wood processing, brocade weaving and so on. During the past years, most of the housing cooperative societies in Dong Nai have grown significantly and formed a vital economic sector in the local society. The private housing sector played an important role in the economy and encouraged economic management on the part of families in the province. A cooperative is any type of organization that is owned and controlled by its member-users for a common purpose and that follows the cooperative principles. A cooperative operates for the benefit of its members. Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local structure. Expansion of cooperative societies benefits economic growth in the province. Until now, there are 16 cooperatives operating in Dong Nai with the charter capitals of 21.6 billion VND. Particularly, Thai Duong Pottery Cooperative has an average annual turnover of 10-16 billion VND. In 2002, its turnover hit highest record of 20 billion VND. In 2004, due to run pottery business under great difficulties as caused by reduced export production, export market shortening and high price raw materials, Thai Duong Pottery Cooperative and similar units had a cut 30-40 % in production capacity. However, thanks to find new export market opportunities, Thai Duong Pottery Cooperative achieved turnover up 13 billion VND and hit export turnover of US$ 789,000. At the same time, it created and maintained jobs for 300,000 people. Its export turnover in the first half of 2005 reached up US$ 300,000. Besides, Binh Minh Cooperative which specialized in processing of cassava starch established in 2003 in Trang Bom district. Before adopting a new business model that operates effectively and gained better results than before, Binh Minh had faced difficulties in market economy resulted from lack of raw materials and unstable consumption of its products. At present, the cooperative finds local suppliers of most raw materials and its products are not only supplied to the domestic market but also exported to foreign countries. Recently, Binh Minh diversified into some new product categories: wooden fine arts, rattan and bamboo wares for export etc. In 2004, it recorded turnover of 2.4 billion VND and earned profits of 72 million VND. During the first half of this year, Binh Minh researched and produced junk- wood craft kit that supplied to foreign customers such as
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| Weaving Products for export participated in Golden V award 2005 as introduced by the Cooperative in Dinh Quan district |
With above mentioned results gained from operation of housing cooperatives and cooperative societies, this non-state owned sector contributed actively to development of multi-components economy. Dong Nai Cooperative Alliance and Individual Entrepreneurs make up a strategy towards 2010 of growth that will encourage and stimulate further achievements from local cooperatives. Accordingly, best results can be seen through production effectiveness of cooperatives. Dong Nai Cooperative Alliance has just contracted with the Provincial Department of Industry about researching, implementing new policies for growth of local cooperatives as well as providing supports for members in increasing more competitive of their products in the domestic and world markets with purpose of reaching the target of more rapid expansion in consumption.
Le Huong Thom
