Case Analysis On Operating Mechanism Establishment Of Farmer Specialty Cooperative

The three elementary principles, that are member possession, member management and member benefit-share, were the base of construction of farmer specialty cooperative. The inner operating mechanisms including benefit association, democratic management and benefit allocation should be established in farmer specialty cooperative to implement these principles.Based on analysis of intrinsical characteristics and developmental tendency of cooperative in the world, the paper pointed out that the cooperative was an industry, a special organization form owned by all members and managed democratically in terms of developmental tendency of cooperative of the developed countries. It is a fact that democratic management within cooperative will never be changed whatever cooperative develops to any direction and the core of cooperative system is return benefit to member according to the trade ratio between member and cooperative society. Meanwhile, the three "bridge-roles" of farmer specialty cooperative in promoting agricultural structure strategic adjustment and increasing farmer income, that were bridges among farmers, between agricultural leading industry and farmers and among government, industry, farmer and other organizations, were summarized after discussing the dynamic reasons of China farmer specialty cooperative development and its role in agricultural economic development in presented paper.Based on analysis of operating mechanism connotation of farmer specialty cooperative, the principles of operating mechanism establishment for farmer specialty cooperative were put forward. Following principles such as holding benefit first and market-demand piloting mush be insisted on to ensure stand up in drastic market competition and to realize standardization development in the process of development and enlargement of farmer specialty cooperative. Therefore, the cooperative must take effective practices and innovate own operating mechanism according to actual demands in development.After analysis of the operating mechanism, operating practices and benefit of a case cooperative, Donglin fruit and vegetable cooperative of Linhai city, some new characteristics such as more elements of self-governed in operating mechanism, focusing on productive integration and innovation of management right in operating process, putting emphasis on member's marketing ability and organically combination of management resources in selecting members were found and summarized. It was suggested that above new characteristics reflected the direction of operating mechanism innovation of farmer specialty cooperative in Zhejiang province.