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New rules for agricultural cooperatives benefit their autonomy

New rules for agricultural cooperatives benefit their autonomyHAVANA, Cuba, May 29 (ACN) Greater financial autonomy and the strengthening of contracting are among the main impacts of the new legal rules aimed at updating the functioning of agricultural cooperatives, which will enter into force next November.

One of the most important novelties of the legal body is that it is now the power of the assembly from the proposal of the board of directors, without intermediation of any external element to determine the amounts of the development fund and the socio-cultural fund, said Ricardo Monzón Novoa, director of Cooperative Development of the Ministry of Agriculture.

During the radio and television show Roundtable, the official stressed that the decree law allows owners and usufructuaries to put the means of their property at the service of natural and legal persons without intermediation of any entity.

It also defines that Credit and Service Cooperatives can create accounts through which money can circulate to pay for sales made by producers, according to the Cubadebate website published today.

Orlando Diaz Rodriguez, Legal Director of the Ministry of Agriculture, clarified that the link between companies, government agencies and cooperatives is based on contractual obligations based on compliance with technical standards governing the production process.

Diaz Rodriguez added that the newly updated rules are part of the process of continuous improvement of other policies already approved in Cuba such as the consolidation of the delivery of idle land in usufruct, the improvement of the UBPC and the linkage of small farmers to tourism institutions.

The executive noted that the issues that were not updated now remain as they were established. And that the policy of facilitating the purchase of products directly through the agricultural logistics system continues, as well as allowing cooperatives to market their products in other markets after fulfilling their state orders.

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