The Agricultural Cooperative Csengő was established to enhance local producers, to ensure the living of local families and to produce healthy local products.
Due to Harghita county`s rural, agricultural nature the economic activity among the county’s rural population is agriculture and SMEs in food sector. There are a lot of farms with 5-10 cows, where the milk production of the animals is low, which leads to a difficult sale.
To overcome this difficulty, in March 2011 was established the Agricultural Cooperative “Csengő” from the cooperation of farmers and forestry shareholders associations of Frumoasa, Mihăileni and Bârzava, with the support of the local government of Frumoasa. The number of members was 72, which currently has increased to 144. The main objectives of the cooperative includes: collection, processing and sale of milk, produced by local farmers. The farmers produce the milk, transport it to the cooperative, where the processing and sale process is taking place. During 2012 the cooperative has developed its facilities by purchasing cooling tank, measuring instrument and cleaning machines. On 2nd of April 2015, the milk processing factory was opened, which is operated by the Agricultural Cooperative “Csengő”, where the production line enables the production of a wide variety of cheese. 3800 litre milk is processed daily. Milk is purchased from 144 local farmers. The cooperative ensures the living of 200 families. All the products – milk, cheese, yoghurts, sour cream, butter, cottage cheese - are sold under the brand name Szépvízi. Products can be purchased in different marketplaces of the county.
Resources needed
Financial resources:
1. Own fund (2011-2020): 600.000 Euros
2. EU funded projects: 450.000 Euros
Human resources:
min. 11 employees in full time job.
Evidence of success
Quantitative results:
Nowadys 144 local producers are part of the Agricultural Cooperative ”Csengő”. The cooperative produces a wide variety of milk based products, which can be followed on their website www.szepvizi.ro
Qualitative results:
The Szépvízi Brand is both nationally and internationally recognized brand. The products are sold in different local and national marketplaces. They continuously hold product presentations in local, national and international fairs.
Difficulties encountered
The main difficulty was the local farmers’ lack of confidence in cooperative forms, which came from the communism, where collectives were formed to take away local farmers` lands and goods. The challenge hided in overcoming their bad experience and emphasize the benefits of today cooperatives.
Potential for learning or transfer
This local level good practice – the cooperative form - could be a good example for other countries local producers to learn from.
It facilitates the selling of their „local product” – in this case milk - such as raw material from which a wide range of products are made.
It is essential for the economic activity of local producers from rural areas by ensuring the financial background of their living.
Tags: SME
