Co-operatives

Posted 26 December 2006 - 10:21am by Shelley Moore

While Eco Innovation is not directly involved with co-operatives, it sees them as a potential source of eco-innovations by virtue of the facts that co-operatives (also known as co-ops) can support local producers and increase rural income; can improve community cohesion and form new networks, and can reduce environmental impacts. This page provides some information on the theory behind co-operatives , consumers' co-operatives and agricultural co-operatives . It does not claim to be an extensive resource on the subject: please explore some of the suggested links and references to find out more about co-operatives.

Theory Behind Cooperatives

Sorting organic fruit and vegetables in an Australian Organic Food Co-opThe International Cooperatives Alliance describes co-operatives as "an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise". They "are based on the values of self-help, self-responsibility, democracy, equality, equity and solidarity. In the tradition of their founders, co-operative members believe in the ethical values of honesty, openness, social responsibility and caring for others". There are over 800 million members of co-operatives worldwide embracing these theories of socially responsible investing and co-operative individualism.

There are many different types of co-operatives including housing co-ops, building co-ops, retailers' co-ops, utily co-ops, workers' co-ops, social co-ops, consumers' co-ops, agricultural co-ops, co-operative banking (credit unions) and even small-scale initiatives such as car sharing. Of these, the main ones of interest in an eco-innovation sense are consumers' co-ops and agricultural co-ops.

Consumers' Co-operativesFresh fruit and vegetables for a consumers' co-operative

Wikipedia describes consumers' co-operatives as " a business owned by its customers for their mutual gain". These can range in size from supermarkets and co-operative stores (commonly found on university campuses) to small-scale vegetable box delivery schemes. They are economic democracies in that they have consumer ownership and control, and if correctly run they should lower costs to the consumer and provide food security.

Some of the most successful co-operatives in terms of eco-innovation are the organic food co-operatives that buy organic food from local suppliers and distribute it to members. This benefits the environment by supporting organic food production and therefore reducing pesticides and herbicides, and also reducing greenhouse gas emissions through buying locally. It also changes the food distribution system so that it is run locally and supports local producers, who do not have to sub-contract to agri-business and therefore have more autonomy. Community networks of like-minded people are generated through the volunteering of members, and it can form a basis for discussion or action on other related issues. Some examples of successful food co-operatives can be found in the links section below.

farmer's co-opAgricultural Co-operatives

Co-operative agriculture is a system in which farmers pool their resources - this is usually either an agricultural supply co-operative or and agricultural marketing co-operative. As their names would suggest, supply co-operatives purchase services and supplies such as seeds and fertiliser together, while marketing co-operatives pool their resources for the transformation, packaging, distribution and marketing of produce. In some areas these types of co-operatives are not so successful; for example agricultural co-operatives were found to have difficulties in the Eco Innovation study of farming systems in the Burren region of Ireland . However, some agricultural co-operatives, such as the Western Province Organic Growers' Alliance in Kenya, are able to successfully involve many farmers for the benefit of all.

Useful Links

Successful Co-operative Websites

Useful References

  • Birchall, J. (1997). The International Co-operative Movement. Manchester, Manchester University Press
  • Gide, C. (1922). Consumer's Co-operative Societies. New York, Knopf
  • Purdue, D., J. Durrschmidt, et al. (1997). "DIY culture and extended milieux: LETS, veggie boxes and festivals." Sociological Review 45(4): 645-667. View abstract
  • Warbasse, J.P. (1942). Problems of Co-operation. New York, Island Press
  • Zeuli, K.A., Cropp, R. (2004). Cooperatives: Principles and Practices in the 21st Century. View online pdf