Liu Wenkui, Executive Vice Chairman of the China Rural Development Foundation: Social enterprises practice the keynote speech of social innovation

On August 29, the Social Enterprise and Social Innovation Symposium co -sponsored by the China Rural Development Foundation (formerly China Poverty Alleviation Foundation) innovation and social enterprise promotion center and public welfare charitable school was held in Beijing. The theme of this meeting is "social enterprise and social innovation", and in -depth discussing how social enterprises help social innovation.

Liu Wenkui, executive vice chairman of the China Rural Development Foundation, gave a keynote speech on the title of "social enterprise practice social innovation".

1. Why does the Foundation start a social enterprise

The predecessor of the China Rural Development Foundation was the China Poverty Alleviation Foundation founded in 1989. Since 2000, it has helped farmers get rid of poverty through income increases since 2000. In 2000, the Grasson Bank model of Bangladesh introduced microfinance projects, and used microfinance technology to help farmers help farmers get financial support without asset mortgage guarantees.

The project has developed more than 30 projects in 2006, involving tens of thousands of farmers, and financial demand is very large. At that time, the World Bank loan provided financial services to farmers. The capital of the foundation was less and could not meet the needs of farmers. In order to expand the scale of the project, consider multiple operating modes, and finally choose to use bank loans to ensure the sustainability of the source of funds. Because bank loans can only loans to eligible corporate legal persons, after consulting national laws and regulations, it was founded in 2008. He Rong Credit Project Management Company loans to the bank with the company as the carrier. The first loan is supported by the National Development Bank, making small credit projects develop rapidly.

By 2019, the project has been in more than 300 counties across the country, with a loan balance of more than 10 billion yuan. It can provide financial services support for hundreds of thousands of farmers each year and strongly support farmers to get rid of poverty. With the successful end of poverty alleviation in 2020, the company’s company’s The historical mission was successfully completed, which was the first social enterprise we founded. Everyone can see that on the one hand, we directly solve the problem of difficulty loan in farmers; on the other hand, the principal we invested brought us a value -added of public welfare costs.

When participating in the reconstruction of the Ya'an earthquake in 2013, it was found that although the local kiwi was abundant, the sales of fruit farmers were generally sold to the past vehicles and tourists on the roadside. The Foundation hopes to help them connect to the market to sell kiwi. After many considerations, they choose to use the opportunity of e -commerce to open a Taobao shop on the Alibaba platform. It sells more than 300,000 kiwi a week to solve the kiwi inventory of a cooperative. Essence

After opening the Taobao store, I quickly found a problem. We opened the Taobao shop in the name of the village. Please ask the stars to help us spread it. One week, the Taobao shop made from the new store into a golden diamond level. There are no other products for selling after kiwi. After a year after the kiwi mature listing and then start the store, our users have lost all. At the same time, this Taobao shop has no way to bring goods to other villages. This way of operation is unsustainable. The last solution is that the Foundation establishes a public brand to serve more rural areas, but the public welfare organization and the foundation cannot open stores on Taobao to sell goods. Until now, the project has grown to 138 cooperatives in 109 counties in 19 provinces.

The Shanpin Commune mainly does three things. The first is to establish cooperatives in zero farmers in the village organization, from the scattered production of one family to the scale of the cooperative as the starting point. Standards, cooperatives are produced in scale in accordance with the standards, and the qualified products are pasted with the public logo of the Shanpin Commune to connect the market; the third is to establish a brand. At present, the categories of the Shanpin Commune are mainly fruits, supplemented by miscellaneous grains, honey and other products, supplemented by products. Since one product in 2014, there are more than 100 agricultural products, and the annual output value of farmers is about 1 billion yuan. This is the problem that Shanpin Commune is now trying to break through.

In the process of founding these two companies, we have the following experience:

First, social enterprises have broaden the boundaries of public welfare and gain.

In the 20 years of the establishment of Zhonghe Agricultural Credit, leverage 50 billion capital to provide financial services to farmers. The Foundation has been raised from 1989 to today's 33 years. Time leverage 50 billion capital to do what the foundation cannot do. In the case of the Foundation's unable to help farmers sell goods, the establishment of a good commune to help farmers increase their income. Social enterprises broaden the border of public welfare and let public welfare institutions and public welfare resources do unprecedented things.

Second, social enterprises have created public welfare increasing levels to make public welfare more sustainable.

The operating characteristics of the foundation are to accept social donations and transfer the donation funds to the people in need. According to the "Foundation Management Regulations", the public welfare expenditure of the public fund must not be lower than the total income of the previous year. Sustainability has great limitations, and there is no way to achieve value -added. Social enterprises borrow the power of capital, use the market to solve social problems, and realize the value -added of public welfare assets. Zhonghe Agricultural Corporation has made great benefits to the original public welfare capital, realizing the value -added of public welfare assets, and allowing public welfare assets to be sustainable.

Third, when solving social problems, social enterprises have great potential to create social value and deserve vigorous promotion. Twenty years of Zhonghe Agricultural Credit, more than 10 million yuan of social capital of more than 10 billion yuan of social capital to serve farmers. When the public welfare capital was approved after exit; after the establishment of the Shanpin Commune, more than 100 cooperatives were established in 7 years, and 30 certifications were certified. There are more than 10,000 acres of high -quality production bases, and tens of thousands of farmers have produced high -quality agricultural products in accordance with our rules. With the further expansion of the market, more farmers can increase their income. When more social enterprises join rural rejuvenation and other public causes, they can better realize the value -added of public welfare capital and more effective and sustainable social problems.

Fourth, the promotion of social enterprises is facing many challenges, and people who need to work together need to work together.

Now I know that there are too few people who know the value of social enterprises and recognize the value of social enterprises. They only spread in the small circle and play a role in a small range. Promoting it requires everyone to work together.

In the process of establishing these two companies, we have the following learning and cognition:

First, the difference between social enterprises and general enterprises: first, capital attributes.

The capital of private enterprises is a private capital, and the value -added generated is private. This is the attribute of private capital; the capital of social enterprises belongs to the society, belongs to public funds, public welfare resources, and the company invested by the foundation. Foundation; second, successful standards. Private enterprises are the highest target, and ordinary companies may sacrifice public interests when they achieve their goals. Social enterprises take the highest goal of solving social problems. In order to achieve this highest goal, sometimes they will abandon or transfer their own interests. For example, when Zhonghe Agricultural Credit, when the China Poverty Alleviation Foundation is a major shareholder, the asset return rate is limited to reduce capital and reduce capital Costs help farmers and pursue farmers' maximum benefits.

Second, the two major social values ​​of social enterprises.

Serving or solving social problems directly for disadvantaged groups is the purpose of social enterprises, the goal of pursuit, and the value it realizes; creating social value, and achieving value -added of public welfare capital through enterprises.

Third, the role of social enterprises.

Social enterprises integrate the strengths of the modern enterprise system and modern charitable mechanism, avoid the weaknesses of the two, and enable public welfare charities to gain strength. While pursuing economic benefits, they attach importance to social interests. Avoid the disadvantages of continuous social organizations and make public welfare more powerful. Because it can create an increase in public welfare, it also has great potential in alleviating the gap between the rich and the poor.

2. Promote social development and help rural revitalization

First, rural revitalization needs to introduce market methods and strength.

Industrial revitalization is the top priority of rural revitalization, and industrial revitalization will undoubtedly require the power of enterprises.

Second, the focus of rural revitalization is the revitalization of people.

In the process of rural rejuvenation, the main position of farmers should be highlighted, and farmers must benefit farmers, rather than companies to make money, and farmers are excluded. In this context, we believe that social enterprises are time to participate in rural revitalization and realize industrial revitalization, but also to ensure effective tools and carriers of farmers' interests. It is also a very good social innovation.

Third, the use of social enterprises in rural revitalization can give full play to the mechanism of the enterprise and achieve the sustainable development of the industry. On the other hand, while the development of enterprises, because of the mechanism of social enterprises, it can ensure the interests of farmers to the greatest extent. Whether it is understanding from the central government's policy or our personal practice, we can get a conclusion that social enterprises in rural rejuvenation, especially in rural industries, are promising.

Fourth, set up social enterprise investment funds, cultivate and incubate more subjects of social enterprises, support social enterprise innovation and development with financial means, and allow social enterprises to play a more important role in economic and social development in rural rejuvenation and play a greater role.

Since the value of the China Rural Development Foundation knows the value of social enterprises, we have been acting, promoting and promoting, and hope to cooperate and incubate more social enterprises with local governments with common desires.

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