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MAY 2018

The May 2018 edition of Co-op News: connecting, challenging and championing the global co-operative movement. This issue shines a spotlight on governance – and how co-operatives do it differently. We also look at co-ops on the agenda in Westminster, sustainability supporting and preview some of the motions being put to the vote at the Co-op Group AGM.

The May 2018 edition of Co-op News: connecting, challenging and championing the global co-operative movement. This issue shines a spotlight on governance – and how co-operatives do it differently. We also look at co-ops on the agenda in Westminster, sustainability supporting and preview some of the motions being put to the vote at the Co-op Group AGM.

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GLOBAL<br />

What is the state of agri<br />

co-op sectors across<br />

the world?<br />

The executive committee of the<br />

International Co-operative Agricultural<br />

Organisation met in Turkey in April to<br />

discuss new developments in the sector.<br />

This included continued growth in<br />

India’s dairy sector, which is set to reach<br />

to Rs 9.4tn (US$145.7bn) by 2020. The<br />

country accounts for 19% of the world’s<br />

milk production. Other sectors are<br />

also growing, and the government has<br />

invested of Rs 50,000 crore (US$7.7bn) to<br />

develop permanent irrigation solutions<br />

for drought, and a mentorship programme<br />

for agri start-ups.<br />

From Malaysia, Dato’ HJ. Kamarudin<br />

Bin HJ. Ismail, vice president of ANGKASA,<br />

introduced the federation’s long-term<br />

plan. Oil palms account for 74% of the<br />

country’s agricultural crop, followed<br />

by rubber (14.63%), coconut (1.2%) and<br />

cocoa (0.22%). Agriculture is the thirdlargest<br />

export income for Malaysia, with<br />

palm oil and rubber making up 8% of the<br />

total export income.<br />

The government is considering<br />

expanding its biofuel B5 programme<br />

increasing the mix of 5% of palm<br />

methylester into petroleum diesel to 10%.<br />

In Turkey, 172 new co-ops<br />

related to agriculture were formed<br />

last year. The country is home to<br />

13,315 agricultural co-ops with<br />

4 million members. Agricultural sales coops<br />

are an important part of the sector,<br />

with 447 active co-ops operating in 2017.<br />

These purchase 38.8% of the oil sunflower<br />

produced in the country, 16.8% of the<br />

dry grape production, 10.5% of the mass<br />

cotton production, 9.2% of the olive<br />

production, 7.5% of the fig production and<br />

9.2% of olive oil production is purchased.<br />

A new action plan is being drawn up to<br />

increase the sector’s visibility.<br />

From Japan, Hironori Hijioka, executive<br />

director of agri-co-op umbrella body<br />

JA-Zenchu, told how the organisation,<br />

is working to engage more with its<br />

member co-ops. Around 36.8% of the<br />

Japanese primary agricultural co-ops<br />

have placed a stronger emphasis on<br />

farm guidance, sales and purchases. The<br />

organisation will continue to focus on<br />

training employees to facilitate member<br />

enrolment, prepare materials to let<br />

members know about the role of primary<br />

agricultural co-ops, and increase door-todoor<br />

visits.<br />

Mieczysław Grodzki and Adam<br />

Piechowski of the National Cooperative<br />

Council of Poland said the number<br />

of agricultural co-ops in their country<br />

had fallen from 2,873 in 2016 to 2,814<br />

in <strong>2018</strong>. During past year the council<br />

has worked with parliament on a bill<br />

which would grant farmers exemption<br />

from property tax and corporate income<br />

tax. The council is also working to help<br />

reduce some of the regulatory burdens<br />

related to setting up co-operative<br />

producers’ groups as well as accessing<br />

grants from EU funds.<br />

In Brazil, agri co-ops started a campaign<br />

called “We are co-op”, to highlight the<br />

co-operative enterprise model. The<br />

national co-operative federation, OCB,<br />

also launched a Catalogue of Export<br />

Co-operatives, listing Brazilian co-ops<br />

engaged in international trade.<br />

Ivan Asiimwe, CEO of Uganda<br />

Cooperatives Alliance, presented<br />

a regional report from Ethiopia,<br />

Madagascar, Morocco, Malawi, Zambia,<br />

Uganda and Kenya.<br />

In Ethiopia the movement hosted the<br />

fifth National Co-operative Exhibition<br />

on 8-9 February, bringing together<br />

representatives from Uganda’s co-op<br />

movement in an exchange of experience.<br />

In Madagascar, the USA’s National<br />

Co-operative Business Association (NCBA<br />

CLUSA) has facilitated training for 841<br />

vanilla farmers.<br />

Morocco and Malawi are also<br />

strengthening agricultural co-operation<br />

via a formal agreement, with the later<br />

looking to learn from the former’s<br />

irrigation systems and technology.<br />

Co-ops in Africa are expected to<br />

benefit from a partnership between<br />

African Guarantee Fund for Small and<br />

Medium-sized Enterprises (AGF) and<br />

social investor Oikocredit, which will<br />

allocate US $10m to finance agriculture<br />

and renewable energy SMEs and co-ops<br />

serving low-income populations in sub-<br />

Saharan Africa.<br />

In Zambia, women launched Zambia<br />

Women in Agriculture Cooperative<br />

Society, which deal in fresh fruit and<br />

vegetables.<br />

In Kenya, dairy co-operatives are<br />

playing a key role in reducing the cost of<br />

milk marketing and enabling farmers to<br />

achieve higher returns.<br />

The Food and Agriculture Organization<br />

(FAO) of the UN is scaling up its work with<br />

AgriCord, a global alliance, with a new<br />

five-year agreement to help farmers gain<br />

access to markets and adapt to extreme<br />

weather conditions.<br />

20 | <strong>MAY</strong> <strong>2018</strong>

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