Co-operatives and Development

An Alternative Approach to Development

Co-operatives focus not only on income as a means for poverty reduction, but also on giving working people a voice through being members of self-help organisations . Such organisations may include:

  • worker co-operatives and trade-unions
  • agricultural co-operatives
  • service co-operatives
  • marketing co-operatives
  • housing co-operatives
  • credit unions

Co-operatives deliver a fair income, security in the workplace and social protection for families. They also provide better prospects for personal development and social integration, equal opportunities for women and men, and give people the freedom to express their concerns and participate in the decisions that affect their lives.

It is imperative that co-operatives continue to be recognised for their developmental roles, and much research remains to be done in order to inform effective and appropriate policies with which to support their growth and attract investment from governments, development agencies and policy makers.

Co-operatives and Fair Trade

Co-operatives have played a key role as the Fair Trade movement has gathered pace in recent years. Fair Trade was initially established to help disadvantaged producers in developing countries to access international markets at fair prices.  Members of smallholder co-operatives began to receive a better price for thier products, through collectivley selling them to Fair Trade buyers. Co-operatives have therefore helped the Fair Trade network to access small scale farmers and allowed them to retain democratic control of the process.