Need to mobilize resources to raise funds to support farmers

Attending the meeting were Deputy Heads of the Provincial National Assembly Delegation: Nguyen Thanh Hien, Tran Van Mao; leaders of the Provincial Farmers' Association. Photo: Thanh Le

The Farmers Support Fund (FSF) was established to support and help farmer members build and replicate economic development models and reduce poverty.

Borrowers are farmer member households who voluntarily participate in the project of borrowing households to develop production and business under the direction and guidance of the Farmers' Association at all levels; cooperative groups of members and farmers; agricultural cooperatives that have signed contracts or cooperation agreements with the Farmers' Association on supporting farmers, especially poor and near-poor households in the region to organize production, business, consume products, solve employment, and increase income.

Currently, the People's Credit Fund has been established at the provincial level and 21/21 districts, cities and towns. The total capital of the Fund in the whole province reached 54,647 million VND, and has deployed loans to 450 projects with nearly 6,000 farmer households borrowing capital. Of which, the provincial-managed source has 97 projects with outstanding debt, the district-managed source has 25 projects with outstanding debt.

Chairman of the Provincial Farmers' Association Nguyen Quang Tung spoke at the meeting. Photo: Thanh Le

According to the Standing Vice Chairman of the Provincial Farmers' Association, Chairman of the Provincial Farmers' Association Fund, Tran Van Huong, the assessment is that although it has not fully met the capital needs, the Farmers' Association Fund has partially solved the capital needs for farmers to solve difficulties in production. Loan projects in the whole province have promoted the effectiveness of capital sources, creating motivation for development and replication of highly effective economic models.

Deputy Head of the Provincial Delegation of National Assembly Deputies Tran Van Mao reflected on the shortcomings: The capital of the People's Credit Fund from the State budget operates with the purpose and principles of the Fund, which is not to mobilize capital for profitable investment. In order for the People's Credit Fund to develop effectively, it is necessary to supplement and amend regulations as well as policy mechanisms from the Central to the province so that the Fund can mobilize resources and raise funds to support farmers in borrowing capital for production. Photo: Thanh Le

Not yet met the needs

Chairman of the Provincial Farmers' Association Fund, Tran Van Huong, reflected: The capital of the Farmers' Association Fund at all levels is still very small and cannot meet the capital needs for investment in building economic development models for farmers. The selection of models and construction of projects in the direction of linking cooperatives and cooperatives to produce concentrated goods along the value chain from production to product consumption is still limited.

“The Government needs to issue a Decree on the establishment and development of the Farmers’ Association Fund so that Farmers’ Associations at all levels can direct the construction and development of effective agricultural economic models to remove difficulties for farmers. Increase capital for the Fund to support farmers in developing production,” Mr. Huong suggested.

Farmers in Nghi An commune (Vinh city) produce green vegetables for high income. Photo: Thanh Le

Speaking at the monitoring session, Director of the Provincial Judgment Enforcement Department Hoang Thi Thu Trang expressed concern about the limited capital source while the need to use the fund is very large.

"The loan amount is low (the lowest is 20 million VND), the whole province only has 2 models that can borrow 50 million VND. While farmers are currently implementing many high-tech agricultural models, the demand is high, the supply from the State budget is limited" - delegate Hoang Thi Thu Trang said.

Deputy Head of the Provincial National Assembly Delegation Nguyen Thanh Hien concluded the meeting. Photo: Thanh Le

At the meeting, Deputy Head of the Provincial National Assembly Delegation Nguyen Thanh Hien affirmed that the Farmers' Association Fund brings practical benefits to farmers, many economic models increase farmers' income as well as enhance the role and position of the Farmers' Association. The management of the Farmers' Association Fund is strictly implemented, using capital for the right purposes.

To improve the effectiveness of the Fund's operations, the Deputy Head of the Provincial National Assembly Delegation suggested that in the coming time, Farmers' Associations at all levels continue to promote the purpose and significance of the Farmers' Association Fund. Advise local authorities on mobilizing resources to increase the fund's resources, helping more members in difficulty to borrow capital to invest in production development.

In addition, the Provincial Farmers' Association needs to pay attention to improving the capacity of the Association's staff in conjunction with the programs and projects implemented by the Farmers' Association as well as improving the Fund management capacity of staff and members.