CONVERSION OF TEA PRODUCTION GROUP INTO COOPERATIVE FOR MEMBERS Posted: Jul 05,2018
On 14th of June 2018, the clean tea cooperative of the Son Hung Women’s Union (WU), originated from the clean tea group of TYM members in Son Hung commune, Thanh Son district, Phu Tho province, was established. The conversion was supported by local WU and TYM.
In 2014, TYM established a clean tea group for members in Son Hung commune, Thanh Son district where covered by Transaction Office no. 02 – Viet Tri Branch in Phu Tho province. During over 3 years, TYM organized many training courses providing knowledge and techniques in growing and processing clean tea leaves for its tea group members. Not only did TYM assist the group to design and improve products’ package but it also introduced the group’s products at both domestic and international commercial conferences and fairs. In 2016, TYM sent 200 tea packs of the group to Luxembourg to present at the “European Microfinance Week 2016” between 16th and 18 of November 2016, and another 100 to showcase at the Canadian Embassy’s Celebration Week. Thanks to all of that, the tea group of TYM members earned a sustainable number of consumers and popular recognition. Tea products of the group are always highly appreciated in terms of quality and becoming more and more favorable in the market.
Considering positive results of the group in the last 3 years, the WUs at all levels in Phu Tho province perceived the effectiveness of the group-based production as well as its potential to expand and develop more professionally. As a result, on June 14th 2018, under the program of supporting women to start-up launched by the central VWU, with the support of the local WUs, the Cooperative Alliances and TYM, the clean tea group of TYM members in Son Hung commune, Thanh Son district, Phu Tho province was converted into the clean tea Cooperative managed by the Son Hung WU. The Cooperative includes 14 members including both TYM existing members and the Son Hung WU’s members. They were chosen by the commune WU based on criteria in production scale set by the Vietnam Cooperative Alliance. The Cooperative is planned to apply for license and its own trademark in the near future right after being qualified in terms of personnel and meeting all the required criteria. This conversion is the first step in the progress to promote the group’s further professionalism and expansion. The establishment of the clean tea Cooperative in Son Hung commune, Thanh Son district, Phu Tho province has become a special milestone in the development of TYM members. It presents the results and the meanings of TYM BDS activities. TYM expects that thanks to this model, other production groups would be oriented and motivated in the future.
In 2014, TYM received funding from Rabobank Foundation for the project “Support members to pilot cooperative business model”. The project aimed at gathering clients with the same business production model and forming them into production group in order to promote and take full advantage of the collective production. It was also believed to help TYM members improve their agricultural products’ quality. TYM has established 4 production cooperative groups for its members, including tea production group in Thanh Son – Phu Tho, fish sauce production group in Cua Lo – Nghe An, fresh vegetable group in Phu Binh – Thai Nguyen and chicken breeding group in Lang Giang – Bac Giang. TYM also provides the groups with frequent consultancy to enhance their products’ design and quality to fit better the taste of consumers.