Changing Mindset on Rural Economy

10:37:28 AM | 3/9/2021

The Prime Minister’s Decision 490/QD-TTg dated May 7, 2018 on One Commune One Product (OCOP) Program in 2018 - 2020 created a strong and widespread effect across provinces and cities, especially producers. Local specialties have been strongly developed to preserve culture on the one hand and improve people's livelihoods on the other.

According to the Central Coordination Office on New Rural Development, all 63 provinces and cities have to date approved and launched the OCOP Program and their action plans. This is an important basis for them to review, classify and develop their potential OCOP products. Currently, 46 provinces and cities have assessed, graded and recognized 2,169 OCOP products, reaching over 90% of the plan of 2,400 products, including nearly 700 4-star products and 43 5-star products graded by the National OCOP Council.

OCOP is a rural economy development program designed to tap internal forces and added value, and a solution and task to implement the National Target Program on New Rural Development. Specifically, the program aims to promote local potential and advantages and 4,800 OCOP products of six categories, carry out 8-10 models of cultural and tourist villages, and consolidate 100% of enterprises and cooperatives taking part in the OCOP Program.

OCOP Program generates jobs, fosters rural economic development, and especially empowers rural women and disadvantaged groups such as ethnic minorities. OCOP development is not only a solution to increase income and develop family businesses, but also an opportunity and condition for people to take care of and fulfill the responsibilities to their families and local communities.

Many products highlight their value and quality, and gradually form value chains engaged by cooperatives and enterprises. The role of OCOP products is aligned with cooperative development.

However, many OCOP products do not have good designs and brands, resulting in their quality being underestimated. Mr. Nguyen Minh Tien, Chief of the Central Coordination Office for New Rural Development, said localities have strongly focused on advertising and matching supply and demand of OCOP products since 2019. Localities organized OCOP trade fairs, encouraged and supported OCOP producers to take part in domestic and regional fairs to introduce their OCOP products. Many started developing OCOP showrooms and organizing annual exhibitions, fairs and conferences to connect suppliers and buyers of OCOP products like Hanoi, Quang Ninh, Ha Tinh, Soc Trang and Bac Kan. OCOP products have helped producers boost production, increase revenue and expand markets. The majority of OCOP products filed with the central government for assessment and grading reported revenue growth of 10-40%. Many products in poor localities managed to expand their markets, particularly overseas.

OCOP products have gradually entered the market as Vietnam's specialty products, becoming an identification mark of both policy aspect and product aspect for consumers, Mr. Tien said.

In the coming time, OCOP programs must prioritize value chain development to enhance quality, processing and engagement of communes, people, and small and medium-sized enterprises (SMEs). Especially, the OCOP Program is expected to engage 500 new SMEs and cooperatives in the program. According to the Ministry of Agriculture and Rural Development, OCOP focuses on developing agricultural and non-agricultural products and services of local advantages in the value chain operated by private sectors, collectives and SMEs.

In the OCOP Program, the government plays a constructive role, develops a legal and policy framework for program implementation that will help economic restructuring, in turn improving people's income and achieving economic and production criteria based on the National New Rural Development Standards.

OCOP Program will help speed up agricultural and rural industrialization and modernization, rationalize rural labor structure, protect the environment and preserve good traditional values of the Vietnamese countryside.

Source: Vietnam Business Forum