Announcement of research results "Some economic issues to consider in the Draft Law on Cooperatives"

Announcement of research results “Some economic issues to consider in the Draft Law on Cooperatives”

Đăng vào 30/05/2023

On the morning of May 30, 2023, in Hanoi, the Vietnam Center for Economic and Strategic Studies (VESS) held a meeting to announce the research results “Some economic issues to consider in the Draft Law on Cooperatives”.

Download the file HERE.

Photos of the announcement ceremony were constantly updated HERE.

Mr. Nguyen Duc Thanh, Director of the Vietnam Center for Economic and Strategic Studies, said that the current Law on Cooperatives which was approved by the XIII National Assembly at its 4th session in 2012 and has been effective from July 1, 2013. The main objective of the Law on Cooperatives was to encourage the type of cooperation among employees and improve the status of workers and socio-economic efficiency through voluntary cooperation among individuals, out of the traditional cooperative model that was no longer suitable.

Assoc.Prof.Dr. Nguyen Duc Thanh, Director of the Vietnam Center for Economic and Strategic Studies (VESS) spoke at the meeting

In nearly a decade of existence, the implementation of the Law on Cooperatives has revealed many limitations, showing that this area has not yet developed its potential to meet the legitimate needs of workers as well as the type of business -manufacturing following this mode of equal cooperation. The report has contributed several amendments to the draft Cooperative Law 2023 compared to the 2012 Law on Cooperatives. Specifically, in Article 22 on tax policy, fees, and charges, cooperative groups, cooperatives, and unions of cooperatives enjoy the highest tax incentives, fee and fee incentives in the same field, industry, profession, and geographical area according to the law on taxes, and fees. The report also contributed to the Government detailing Article 73 on the contribution of charter capital to cooperatives and unions of cooperatives.

Dr. Le Duc Thinh, Director of the Department of Economic Co-operation and Rural Development (Ministry of Agriculture and Rural Development), assessed that Cooperatives were established to overcome the limitations of the market economy and ensure the interests of members. Cooperative economic development is an objective necessity. However, in recent years, we still lack institutions to promote the market economy to develop more fully. The Draft Law on Cooperatives (amended) should focus more on protecting people’s legitimate interests, creating a solid bridge for people with markets and investors…

Dr. Le Duc Thinh, Director of the Department of Economic Cooperation and Rural Development, Ministry of Agriculture and Rural Development shared at the announcement

Sharing the views, Prof. Dr. Tran Duc Vien, Chairman of the Council of Science and Training, Vietnam National University of Agriculture emphasized: “The model of Vietnamese cooperatives must be the model for the farmers”. He also raised the issue that, in theory, cooperatives bring great benefits, but why a large part of Vietnamese farmers were still not interested in cooperatives?

Prof. Dr. Tran Duc Vien, Chairman of the Science and Training Council, Vietnam National University of Agriculture

“The cooperative must be of the farmers. Cooperatives are autonomous organizations of farmers, so the provisions of the Law on Cooperatives should be guidelines for farmers, rather than rigid regulations. Otherwise, the results will only be on the report,” emphasized Prof. Dr. Tran Duc Vien.

Assoc. Prof. Dr. Chu Tien Quang, former head of the Policy Department for Rural Development, Central Institute for Economic Management (CIEM), said that the amendment of the Law on Cooperatives should focus on long-term development goals, ensuring long-term development. inheritance, synchronization with other laws… Specifically, it is necessary to have clear regulations on the transfer of capital between members. Periodic audits and democratic practices in organizations in the collective economic sector should be promoted, but imposition should be avoided.