Study On The Barriers And Operating Mechanism Funds Of Farmers’ Professional Co-operatives Of Fujian Province

Since the farmers’ professional cooperatives Act was put into effect in2007,farmers’ professional cooperatives is developing rapidly in the country, but shortageof funds has become a major bottleneck in restricting its development. Therefore,internal financing as the main channel of mutual financing for cooperative hasgradually be put on the agenda for development. But as spontaneous formation ofexploration financing by farmer members, farmer’s specialized cooperative mutualfinancing is still in the early stages of development, relevant operation mechanism isneed to be rich and perfect. So study on operation mechanism of cooperative mutualfinancing became a reality and challenging issue.This study uses theory explaination--specific analysis--service practice asresearch thought, qualitative analysis and quantitative analysis’combination asresearch method, on the base of analysis of farmers professional cooperatives fundsmutual run mechanism, combinates with actual development of Fujian provincecooperatives mutual fund, establishs evaluation system of Fujian provincecooperatives mutual fund run mechanism, evaluates the level of Fujian provincecooperatives mutual fund run mechanism, and according to the evaluation results,finds the main obstacles factors for restricting cooperatives mutual fund development,with the evaluation of the results and obstacles, presents the further strategies andrecommendations to perfect the operation mechanism of cooperative mutual financing.This paper focus on the following five parts spread:PartⅠ,Which are introduced the theoretical basis for professional farmers’cooperatives funds and mutual assistance, the basic content and the status quo. Thearticle elaborated on the basis of concept, the nature and characteristics of farmers’professional cooperatives funds mutual aid theory and cooperative mutual funds,focusing on the capital of Fujian Province, farmers’ professional cooperatives andmutual assistance to the three conditions and the course of development, andsummarizes the current Fujian provincial farmers’ professional cooperatives, mutualfunds the development of the number is increasing, mutual aid have been expanding,the basic status of the development model increasingly diverse.Part Ⅱ, Which are analysis of Fujian farmers’ professional cooperatives mutualfunds operating mechanism.The article from Fujian farmers’ professional cooperatives,mutual funds operating principle of cooperatives financial solidarity mechanism togenerate the path, the elements of structure of the cooperatives, mutual fundsoperating mechanism, Fujian Province, the actual build cooperatives, mutual fundsoperating mechanism as the basis for combinationindex evaluation system.Theelements of the operating mechanism, including: organizational structure, governancemechanisms, fund-raising mechanism, the borrowing of funds mechanism, interestrate pricing mechanism, risk prevention mechanism, as well as the main effect mechanism, social efficiency mechanisms.Part Ⅲ,Which are evaluated the level of farmers’ professional cooperativesmutual funds operating mechanism.During the process of mechanism evaluation, firstby the analytic, establishs hierarchy model; second,uses expert consultation method todetermine the index weight; last, uses fuzzy comprehensive evaluation method toevaluate and analysis present situation of cooperative mutual financing mechanismin Fujian province, concludes that the level of cooperative mutual financingmechanism is poor. Results of its evaluation of each indicator are: levels oforganization structure is better; levels of governance mechanisms is poor; levels offunding mechanisms is poor; levels of funding of borrowing and lending mechanismis general; levels of interest rate mechanisms is poor; levels of risk controlmechanisms is poor; levels of main efficiency mechanism is better; levels ofeconomic mechanisms is general; levels of social benefit mechanism is better.Part Ⅳ, Which are summarized the major obstacle to development of Fujianfarmers’ professional cooperatives mutual funds.This article aims at the evaluationresults to find out the main obstacle factors of restricting the development ofcooperative mutual financing. It summarizes as three points,first,cooperatives level ofgovernance structure isn’t sane, governance mechanism isn’t perfect, borrowingsystem isn’t sane, rates design isn’t reasonable, capital sources aren’t smooth; second,awareness of government level is insufficient, related policy regulations aren’t perfect,support efforts isn’t enough,training publicity system is absent, supervisionmanagement is missing; third, market main status of environment level isn’t clear,credit environment is lack, competition environment is fierce, professional talent islack, financial culture is lag and so on.Part Ⅴ, Which are improved the countermeasure proposal of Fujian farmers’professional cooperatives mutual funds operating mechanis. This article aims at theevaluation results and obstacles factors to propose the countermeasures and advicesfor operation mechanism of cooperative mutual financing from internal managementand external suppot two perspectives. From internal management, it is necessary tooptimize the organization structure of cooperatives funds mutual, to perfectcooperatives governance mechanism of cooperatives funds mutual, to manage strictlyborrowing process of cooperatives funds mutual,to strengthen risk management ofcooperatives funds mutual, to design reasonablely rates of mutual funds and so on;from external support,it is need to sound perfect related legal regulations system, todo publicity work, to construct external financing channel, to administer、regulate andstrengthen efforts of personnel training, to optimizate credit environment, to constructmutual culture and so forth.