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     From Cooperative to Co-op Federation
Add Time :2009-10-10      Hits:2193

从合作社到联合会

From Cooperative to Co-op Federation

Advantage of Massing Agricultural Products at Chongming, Shanghai

By: Tao Jian and Du Ye

Source: Farmer’s Daily

On May 22nd, Shanghai Ecological Agricultural Product Briefing 2009 opened and this briefing held for one week long. The difference between this year and past years is there has an “initiator” called Chongming Green Food Production and Marketing Co-op Federation. The agricultural products just like a “group army” including green asparagus, White Hyacinth Bean, Chongming Cake and almost 80 kinds of fresh agricultural product and deep processing products with “Chongming Brands” that automatically are available in over 70 supermarkets, standard markets and franchised stores of Bailian Group and Bright Food (Group) Co., Ltd.

 
Large scale cooperatives guarantee the quality of products.
Mr. Mao Defei, Deputy Section Chief of Comprehensive Section of Agricultural Committee in Chongming County remembers that the organic rice Chongming farmer planted smells nice and taste glutinous. If they sell them to the big supermarkets in urban district, the price will be high up to 5.5RMB/500grams. However, the traditional unshared housing producing model cannot get a high production and they have no brand and comparative market information. They cannot sell their product to supermarket relaying on individual families. They have to operate this by a specialized organization if they want to make business by a reasonable price.

This county improves the quality of its agricultural products through the improvement of eco-system and development of ecological agriculture. Presently, here has become the national ecological demonstration zone and ecological agriculture county concluding 500 thousands mu farm land of 16 counties that has been authenticated with green agricultural products and nearly 44 characteristic products of 25 enterprises have been tested through relative quality authentication. It forms the five dominate industries: Chinese mitten crab, white mountain goat, characteristic vegetables, high-quality rice, forest, fruit and flowers. At the mean time, a great amount of rural professional cooperatives have been setting up. The traditional unshared housing style has been replaced by relative intensification style.

During this process, Chongming agricultural products are attempting to get into the market of Shanghai. It depends on three dominant channels to open up the distribution: First, exhibit the Chongming ecological agricultural products and take the charge of integrate purchase through the retreats of Shanghai Kai Nong Industry Co. ltd. in downtown areas. Second, set up product marketing service points in standard market in urban districts through Shanghai Bao Ying Agricultural Product Delivery Co. ltd. Third, send Chongming wck, sweet melon, glutinous corn and other characteristic products into the intermediate and luxury hotels through the assistance of Shanghai Song Jie Agricultural Product Professional Cooperative.

Co-op Federation brings the territorial advantage and potential market.

This year, agricultural departments of Chongming County gives their attention to the wider market, the chain stores and the sales field. The products of Chongming went into those areas before but only remained sale intermittence. Due to this reason, the agricultural departments of Chongming County did an investigation and analyst. The key problem is the scale is too small.  

On April 21st, 2009, Chongming Green Food Production and Marketing Co-op Federation that unified the bridge function, stage function, coordination function and server function in one organization. More than 20 farmers’ professional cooperatives and agricultural enterprises that are engaging with the production, processing, sales and management of green food become the first members. The outstanding function of this federation is resource integration, which means the enterprises that are good at sales will give suggestion on marketing; the cooperatives that are good at researching will pay more time to do research and development and the deep processing enterprises will supply processing service to the products that are delayed to sell to extend the industry chain. 

“Found of the cooperative unites hundred and thousand farmer families; Initially solved the joint problem between small farming units and big markets. Chongming Green Food Production and Marketing JCo-op Federation is a creative innovation attempt for development of regional cooperatives’ cooperation and this would bring a break-through for further promotion of Chongming agricultural products.” Said confidently by Ms. Gaohui who is the person in charge of Chongming Green Cauliflower Cooperative.

Only one month later since the Co-op Federation found and it starts to organize the Chongming Ecological Agricultural Products Briefing 2009. There is an agreement that nearly 30 urban supermarkets, standard market and franchised stores of Bailian Group will accept Chongming agricultural products collectively to do business with shop in shop style. Lianhua Supermarket Holdings Co., Ltd., Century Mart and other supermarkets also open a green channel for Chongming agricultural products as well as provide the most preferential treatment and free equipments.

Mr. Mao Defei says that those shops in shop are temporary shops; however, all of the Chongming villagers have great expectation to this briefing and they consider this event as a drill to test the ability for bring the products to the supermarkets. If it works, those temporary shops will become the regular shops in the future. Chongming agricultural product is going to reach 80 marketing spots in downtown areas including the supermarkets, sales fields, standard market and franchised stores. The sale will increase up to 10% comparing with last year’s.

Copyright: International Committee for the Promotion of Chinese Industrial Cooperatives
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