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OVERVIEW OF MONGOLIAN COOPERATIVE SECTOR

OVERVIEW OF MONGOLIAN COOPERATIVE SECTOR. Ts.Altantuya Vice President National Association of Mongolian Agricultural Cooperatives. MONGOLIA. Territory – 1.564.116 square km 19 th place in the world by the territory 2 nd largest landlocked country

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OVERVIEW OF MONGOLIAN COOPERATIVE SECTOR

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  1. OVERVIEW OF MONGOLIAN COOPERATIVE SECTOR Ts.Altantuya Vice President National Association of Mongolian Agricultural Cooperatives

  2. MONGOLIA • Territory – 1.564.116 square km • 19th place in the world by the territory • 2nd largest landlocked country • Border with Russia to the north and China to the south

  3. MONGOLIA • Population – 2.8 million /one of the most sparsely populated country/ • 49.5% - male population • 50.5% - female population • 45% of total population live in a capital city • 714.0 households of which 146.1 are still follow nomadic lifestyle • Literacy rate is 96.3% • Poverty rate – 27.4% /by World bank/

  4. MONGOLIA • Mongolia divided into 21 provinces and 329 soums /administrative unit/ • It has 4 seasons with long cold winters /temperature drops down to -30 C/ • Main economic sectors are mining, agriculture and service

  5. Cooperative development • 1916 – first cooperative idea • 1918 – first coop was established, but did not exist for long /18 initial founders/ • Oct. 1921-Model bylaw of cooperatives was approved • Dec. 1921 – Mutual help cooperative of people /116 members among them the King and the Queen of Mongolia/

  6. Cooperative development • Since 1921 consumers, agricultural, industrial and other types of cooperative business started to establish • These cooperatives became under the government control

  7. Cooperative development • 1990 – Democratic changes • Privatization of state owned enterprises and cooperatives • Establishment of new cooperatives according to the international cooperative principles and values

  8. Cooperative sector today • About 3000 cooperatives are registered • Cooperative sector has 4 tier structure COOPERATIVES PROVINCIAL ASSOCIATIONS NATIONAL ASSOCIATIONS MNCA

  9. Cooperative sector today

  10. Cooperative sector today • There are 5 national associations: • CUMTCC • CUMIC • NAMAC • UMPSC • MOCCU • These organizations together established Mongolian cooperative training and information center in 1998 and formed MNCA in 2008.

  11. LEGAL ENVIRONMENT • First Cooperative law – 1995 • Amendments and revisions - 1998,2002, 2006 • Savings and credit cooperatives law – 2011 • Today, a working group consisted of government and cooperative sector stakeholders is developing Cooperative law revisions as well as working on eliminating gaps and overlapping of legal acts concerning cooperative businesses

  12. Government support • National program on cooperative development: • I phase 1998-2008 /was focused on cooperative promotion, capacity building and strengthening cooperative support centers/ • II phase 2009-2017 /focused on enabling legal environment, support formation of cooperative supply chain, provide investments/ • National livestock program

  13. Government support Campaign to promote rural cooperatives – 2012 • First time assessments were done and training were given to all cooperatives throughout Mongolia. As a result 105 cooperatives received support from the Government

  14. Short term goals of the sector • Increase public awareness about cooperatives • Create more favorable legal and business environment • Develop cooperative human resources • Form financial institution to support cooperative business • Create supply chain of cooperative products • Improve statistics of cooperative sector • Support member participation

  15. ENHANCING THE ROLE OF WOMEN IN COOPERATIVE BUSINESS-BEST PRACTICES

  16. Gender equality • 45% of total cooperative members are women • Women leadership rate is high: • In CUMIC member cooperatives 62% have women as directors • In NAMAC members – 47.5% • In UMPSC members – 40%

  17. Best practices • Moncord - the first Savings and credit cooperative of Mongolia was founded in 1996 by the initiative of 15 women with the aim to improve their living standards and social status, and to introduce credit union services in Mongolia

  18. Best practices • It was a hard and long time for these women to prove the advantages of the cooperative business • Today it has 2281 members • Until now women are predominant in the membership with 66.5%

  19. Best practices • Darkhannoos cooperative • Traditional felt handicraft cooperative was established in 2003 by the initiative of women in Darkhan-Uul province • 84.5% of total membership are women

  20. Best practices • In 10 years they have established marketing channels in Darkhan city, in several souvenir stores in Ulaanbaatar and exports members products to Germany, the USA, Japan, Switzerland and Norway. • From 2011 cooperative implements a program to help unemployed women through trainings

  21. Best practices • Ur jims cooperative 1999 – 10 single mothers who became unemployed established a cooperative Main activities: • Forestation • Fruit tree plantation • Fruit processing • Seedling nursery

  22. Best practices • One of the cooperative’s main goals is to afforest the region • Started with 56000 tree saplings in 1 hectare • Past 12 years coop has regenerated 360 hectares of wasteland and have planted over 2.1 million trees • New varieties of trees were introduced in the region in 92 hectares and called their place “Green wall”

  23. Before After

  24. THANK YOU!

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