Provincial People's Council addresses weak links and increases value in agricultural production

Provincial People's Council delegates vote to approve the draft Resolution at the meeting. Photo: Thanh Cuong

One of the weak links in agricultural production in the province for a long time is the joint venture and association between enterprises and farmers from production to processing and consumption of products, in order to increase the added value of agricultural products.

From that reality, to promote joint ventures and associations in agricultural production, at the 8th session, the Provincial People's Council discussed and passed a Resolution regulating policies to encourage the development of cooperation and associations in production and consumption of agricultural products in Nghe An province.

Accordingly, this Resolution stipulates policies to support consulting costs, building linkages; policies to support infrastructure serving linkages; policies to support training, coaching and varieties, materials, packaging, and product labels.

Encourage linkage in consumption of agricultural products, increase production value. Photo: Minh Chi

Specifically, organizations and individuals in charge of the association will receive 100% support from the State budget for consulting costs on building the association, up to a maximum of 200 million VND (including consulting and research to build association contracts, association projects, plans, production and business plans, and market development).

The joint project is supported by the State budget with 30% of the capital investment in machinery and equipment; construction of infrastructure works serving the joint project (including factories, yards, warehouses serving production, preliminary processing, preservation, processing and consumption of agricultural products), with a total support level not exceeding 4 billion VND.

Promoting linkages to increase value and efficiency in agricultural production. Photo: Minh Chi

In addition to the capital support for construction of infrastructure works serving the association, this Resolution stipulates that the parties participating in the association will receive support from the State budget to implement the following contents:

+ Support 100% of technical training costs, improve management skills, production techniques, contract management capacity, chain management and market development for cooperative managers and farmers participating in linkages according to the budget approved by competent authorities and support 100% of vocational training costs related to contracts and linkage projects according to the budget approved by competent authorities;

+ Support 50% of costs for seeds, materials, packaging, product labels for 2 crops or 2 production cycles, product exploitation through centralized services of the cooperative;

+ Support 40% and not more than 300 million VND for transfer costs, application of new science and technology, application of technical processes and synchronous quality management in the chain for each contract and joint project.

The parties participating in the association whose projects have been approved by the Provincial People's Committee under Resolution No. 52/2016/NQ-HDND before this Resolution takes effect and are enjoying policies will continue to enjoy the approved policies.

In case the plan/project to build large fields linking production with agricultural product consumption is being proposed to the competent authority to enjoy policies before this Resolution takes effect, but the project has not been approved by the Provincial People's Committee, continue to complete and supplement the implementation dossier according to the provisions of this Resolution.