Looking back at 4 years of transforming the market cooperative model in Vinh City

(Baonghean) -Implementing the policy of the Provincial People's Committee, in September 2008, 3 models of market service cooperatives (abbreviated as market cooperatives) officially held their founding congresses, namely Kenh Bac market cooperative, Cua Bac market cooperative and Ben Thuy market cooperative (Vinh city). The purpose of this conversion is to establish a unified market management organization model, in line with the socio-economic development orientation in the area, while creating a legal environment, encouraging economic sectors, organizations and individuals to invest in construction, management and exploitation, and improving the efficiency of market business in a civilized and modern direction.

The market management cooperative model is a form in which traders become members and contribute capital to establish a cooperative. Profits from market management and business will be shared among members, so the rights and responsibilities of traders increase. Market cooperatives can also contribute capital with other enterprises to invest according to the cooperative's charter. This model has been successful in some provinces such as Dong Nai, Can Tho...

After 4 years of operation, the market service cooperative model has been highly appreciated by the management board as well as the business households in the markets. The market cooperatives have really made many changes. Previously, all activities and revenues and expenditures of the market were under the People's Committee of the ward or commune, so the market management board lacked autonomy and could not promote its management capacity. Since switching to the market cooperative model, the management board has been completely proactive in revenues and expenditures, and is responsible before the State and the law. At the same time, due to autonomous operations, with specific plans, solutions, and solutions closely following the development situation of the market, the market has been operating more and more effectively, and the income of cooperative members has increased significantly.

In 2011, Ben Thuy Cooperative had a total revenue of 1,945,289,000 VND, this year the total revenue is estimated to reach nearly 2.5 billion VND, paying the State budget 377 million VND, profit 407 million VND; average income of workers is 2.5 - 3 million VND
Kenh Bac Market Cooperative, after 4 years of operating under the new model, has seen its total revenue increase steadily. Total revenue in 2011 was 670 million VND, profit 180 million VND. In 2012, revenue reached 780 million VND. Contributed to the State budget 105 million VND. Average income of workers is 2.5 million VND/month.
Cua Bac Cooperative, in 2011, had a total revenue of nearly 400 million VND, net profit of 160 million VND. In 2012, revenue reached 520 million VND, average income of workers was 3.5 million VND/month.



Grocery stall at Cua Bac market - Photo: Long Van

Ms. Hong, a long-time trader at Kenh Bac market, said: Since converting to the cooperative model, the market has been upgraded more, cleaner, and the services in the market are also quite reasonable, so traders here also have the opportunity to expand their trading of more products.

It can be seen that these are new models, but the initial operation has brought many positive results. Currently, 2/3 of these market cooperatives have leased land for a long time from the State, which is a very favorable condition for these cooperatives to carry out projects to upgrade the market to become more spacious and modern.

In 2012, Phong Toan market located in Ha Huy Tap ward also started operating under this model. However, the difference is that Phong Toan Cooperative built a new one, not a conversion from an old market. However, the effectiveness of these models in recent years is undeniable. Hopefully, in the coming time, Vinh City and the whole province in general will continue to have many such models.