Household economy develops border villages in Lai Chau

(VOVWORLD) - One of the poorest districts in the border province of Lai Chau, Phong Tho has 28 communes and towns of which 13 are border communes and the rest are extremely poor. 97% of Phong Tho’s people are ethnic minority. In recent years, thanks to the support of local governments and social organizations, Phong Tho has invested in household business to escape poverty.
Household economy develops border villages in Lai Chau - ảnh 1 Household economy helps people in border district of Phong Tho, Lai Chau province escape poverty (Photo: Khac Kien/VOV bureau in northwestern region)

In 2016, Tan San May’s family in Mo Si San commune borrowed 2,200 USD from the Bank for Social Policy to buy a truck. From earnings from transport services they save up 4,300 USD to buy brick-making equipment and build a small brick workshop.

Now May’s family earns 8,600 USD per year from making bricks and transporting materials. The workshop has generated stable jobs for 4 or 5 local workers who earn a monthly wage of more than 200 USD.

May said: “We were very poor and had no farm land. With earnings from animal husbandary and a bank loan, we bought a truck to start a transport service. The proceeds were invested in a brick workshop. Now each year we are able to save a few thousand dollars.”

Tẩn San Mẩy is one of several households that have been helped by local associations to start a household business.

In recent years, the Mo Si San communal Farmers’ Association has helped members borrow money and choose a production model.

A number of new models have been piloted, and the Association can easily pursuade other members to follow the most effective models.

Phan Lao Ta, the Association’s Chairman, said: “The Association has helped its members obtain production loans from the district Bank for Social Policy. The Association will continue to encourage its members to do business and develop new-style rural areas.”

Last year, 2,800 farm families in Phong Tho obtained business loans. Thousands of rural workers received vocational training for production and trading jobs. The movement to encourage production and trading helped reduce poverty.

Bui Van Son, Deputy Chairman of the Phong Tho district People’s Committee, said: “The Association has encouraged farmers to breed cattle, borrow capital for production, and build new-style rural areas. The Association has asked the district People’s Committee to donate money to the Farmers’ Association to fund production loans for poor families. Our efforts have paid off.”