Analysis Of The Benefit Mechanism Of Farmers' Specialized Cooperative In Jiangsu Province

Economic benefit is the basis and link of farmers'cooperation, and the root cause and power of existence and development of farmers'cooperation. As a community of benefit, farmers'cooperation is bound to arise conflicts because of benefit, so it needs a balance of benefit.Therefore, a reasonable benefit mechanism is an important guarantee for sound and rapid development of farmers'specialized cooperative in Jiangsu Province, and studying the benefit mechanism of farmers'specialized cooperative is significant.Based on economic theory of cooperation and income distribution, this paper takes Jiangsu province's farmers'cooperation for example, through questionnaires, case studies and statistical analysis, and analyzes the benefit mechanism of linking, the benefit mechanism of distribution and the benefit mechanism of distribution, incluing status, defects and impact factors (system of property right, governance structure).Finally this paper proposes thoughts and countermeasures to improving the benefit mechanism of farmers'specialized cooperative in Jiangsu province. The paper's main conclusions:1. Lack of the fair and reasonable benefit mechanism is an underlying reacon for restricting the development of farmers'cooperation.To the benefit mechanism of linking, price protection and services are the most important two ways, followed by the earnings returning to members, price concessions of product sales or supplying the implementation, the minimum guaranteed price and the share dividend, and finally establishing a risk subsidy fund. Generally speaking,the way of the benefit mechanism of linking is mainly loose linking of services and the contract linking.The mechanism of sharesand linking and return of surplus were not basically established, some organizations can only carry out some simple service.To the benefit mechanism of distribution, the problems are as follows:The vast majority of farmers'cooperation did not implement surplus return or the low proportion of return; Distribution is concentrated to large farmers; Distribution is not standardized, and the accumulation mechanism is not sound; Risk prevention capacity is weak; Lack of Financial supervision.To the benefit mechanism of protecting, including democratic governance, supervision and constraint mechanism and property right system.The problems are as follows:Long-term benefits of farmers are not guaranteed; Farmers'democratic rights are not guaranteed; Their income structure is irrational. 2. Defect of property right system and weak democracy management are the determining factor of restricting the benefit mechanismThe defects of the property right system are as follows:(1) The current ownership system does not fully reflect the relationship of equality among the members; (2) The current management system does not eliminate the differences of members'status in the management; (3) The current distribution system does not fully encourage members.Most farmers'specialized cooperative established governance structure forming of the member congress, the council and the board of supervisors,but had also the following shortcomings:(1) The governance structure of alienation; (2) Lack of democratic management; (3) Lack of effective incentive and restraint to leaders of cooperatives; (4) Local government mismanagement.3. Establishing and improving the benefit mechanism of farmers'specialized cooperative must follow the principlesEstablishing and improving the benefit mechanism of "benefit sharing, risk sharing," must follow the following principles:(1) The principle of fairness and efficiency; (2) The principle of combining incentives and constraints; (3) The principle of protecting the benefit of farmers; (4) The adaptive principle.4. The overall benefit mechanism of farmers'cooperative is "common share, benefit sharing, risk sharing"The mechanism includes the four basic content as follows:(1) Financial cooperation level; (2) Service level; (3) Contract connection level; (4) Division of labor level.Finally, this paper proposes recommendations to improving the benefit mechanism of farmers'specialized cooperative in Jiangsu province. On the one hand, Government guidance and support is a necessary condition for healthy development of farmers' specialized cooperative.To establish and improve the benefit mechanism of farmers' cooperative, we need to strengthen farmers'cooperative own system construction, and radically improve the co-operatives awareness and understanding of the leader and farmers. Government must also strengthen guidance and support,creating a good political, economic and cultural environment for cooperative development.On the other hand, Innovation of the organization system is a fundamental way to establish the benefit mechanism of farmers' cooperative.Innovation of the organization system mainly includes the following five points:(1) Improving people-oriented service and creating a common development mechanism; (2) Maintaining stability of cooperative and improving the benefit mechanism of linking; (3) Improving the pay system and the benefit mechanism of distribution; (4) Creating coordination mechanism of the relationship of property right and property right system, members as the mainbody; (5) Improving the management system and external oversight mechanism.