Success story on distribution of dividend to herder in first year of operation

The Arbulag soum of Khuvsgul aimag has been involved in the project "Green Gold and Animal Health" funded by SDC in 2016.Over the short period, since the project launched in this sum,  Ms. Sergelen Uurtuya, the head of soum association of Pasture User Groups (APUG) has been initiatively working, gaining full trust of herders.

Within the framework of the project, jointly with the Pasture User Groups (PUG),the APUG organized internally training on a range of areas, including how herders can work cooperatively to reduce degradation of pasture, ways to promote PUGs, creating herders’ revolving fund and improving the procurement and quality of livestock-derived products. Alongside, the herder cooperative “Mandal Bayan Ulaan” established at the APUG began collecting sheep wool from its members.  This activity resulted in collecting a total of 18.1 tons of sheep wool at soum level and selling to domestic processors.Thus, the APUG initiates activities towards increasing income of herders through promoting herders who supplied wool to access to the sheep wool subsidyscheme and benefit dividend from the earnings of the first year wool trade.

The wool scheme worked in such a way that it was purchased at current market price and the suppliers received 2000 MNT per kg after all transactions completed, which however summed up at 3,627,000 MNT. With this and other actions, the APUG has been able to create a good success story and gain confidence of its members – herders. Consequently, the close cooperation with herders and coherent aptitude to bring up the value of the wool helped the APUG to build up the revolving fund where some 35,310,200 MNT has been as adeposit. The contributions to the fund come from around 80% of soum herders.  

Comments by herders:

As Ms. Lkhagvajav Munguntuya, the leader of PUG “Tsadaa Bayan”told, in the past years, herders do shear their sheep and wool is sold to middlemen. The price for which the wool purchased was very fluctuating as those, who sheared sheep earlier were able to afford selling at current price, but one or two-week delay either reduces or pushes up as much as twice. Keeping wool for more time is hard enough; the best is to give away at what the changers offer. The herder cooperative “Mandal Bayan Ulaan”, which collects wool from herders at well-regulated way, succeeds to maintain the price at attainable level. First days, the trust from our side was realistically less that we would receive difference in prices. However, after we received it, we were optimistically encouraged to support our cooperative through engaging in our revolving fund and attended all training the cooperative arranged.

Mr.Begz Gankhuyag, the leader of “Surt” PUG: as per PUG leaders besides herding, we are pleased being paid bonus for the working with member households during the summer this year. As the autumn approaches, need for cash appears to be lots as the children go to school. In such way if we work routinely and get some amountpaid, we would afford better living than staying at soum center. I wish good luck for your future activities.

 Mr.Gombosuren Tsengen, member of “Ikher Mandal” PUG. Frankly spoken, I did not believe that the margins of prices, at which the cooperative purchased our wool and sold to the factory, would return to us.  I told that as changers act on the price differences, why you do not regrettably do the same to make profit for yourselves. Latterly, on 18 July, the cooperative brought us 86,500 MNT as the sale marginal difference and I signed. Soon, my wife and I went to the soum center, watched horse racers’ naadam and bought some food, and filled up our car with gasoline. On 3 September, we joined the revolving fund by donating a sheep. 



Published: 2018-04-13 04:12:34