Co-operatives are hugely important to the economy, respond to social change, and are resilient, successful businesses creating jobs in all sectors.
The International Co-operative Alliance (ICA) defines a co-operative 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". Put more simply, a co-operative is a business owned and run by the people who work there and/or use its services.
What do co-ops do?
Co-ops range from small-scale to multi-million dollar businesses in over 100 countries across the globe, employ more than 100 million people and have more than 800 million individual members.- Champagne is predominantly produced by co-operatives
- 75% of Fairtrade goods are produced by co-operatives of smallholders
- Co-operatives employ over 20% more people than multinational corporations
- Visit the Co-operative's UK website for more background information about co-operatives and click here to learn about Co-operative's work in 2018.
- Agricultural or farmers' co-operatives - farmers pool their resources, share equipment and/or jointly market their produce.For example, Kuapa Kokoo is a co-operative of more than 45,000 cocoa farmers in Ghana - together they have a majority share in the London-based Divine Chocolate Company. Other well-know brands that are co-operatives include Ocean Spray cranberry and grapefruit producers and Sun Maid raisin producers in the USA.
- Utility co-operatives - providing a public utility such as energy, water or telecommunications, with profits reinvested or shared with members.The USA has many utility co-ops in rural areas, such as members of the National Rural Electric Co-operative Association. Another example is The Phone Co-op in the UK.
- Credit unions or Co-operative banks - provide a financial service but are owned and controlled by their members. They often have a community development focus and offer support to small enterprises or impoverished people that larger banks may not be inclined to invest in.For example, Oikocredit has financed the Covico Co-operative to set up a food market in Abidjan, Côte d'Ivoire.