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Outline What are co-operatives Types of co-operatives Definition, values & principles Seven co-operative principles Co-operatives as a means of organising Community, social capital & the change agent
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Outline What are food co-ops? Australian food co-ops How do food co-ops work? Thoughtful Foods case study Types of products Buying principles & factors Project aims & outcomes
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What are Co-operatives? A co-operative is a form of business enterprise different from private & public enterprises Co-operatives are a separate legal structure Registry of Co-operatives (NSW) Department of Fair Trading (NSW) Federation of Co-operatives (Victoria)
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What are Co-operatives? Co-operatives are owned & controlled by their member different because they are democratic, participatory, open, voluntary & community based reflect and reinforce co-operative values & principles Many different types of co-operatives exist
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Types of Co-operatives Agricultural - fishing, forestry, producer, supply. & marketing co-operatives Community service - aged care & child care. co-operatives Consumer co-operatives – provide consumer goods. for sale to members (& non-members) Credit - financial service co-operatives Education - school, student & supply. co-operatives Housing - community settlement & housing . co-operatives
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Types of Co-operatives Media - newspaper, radio station, telecommunications, television station, video production & publishing co-operatives Recreational - game park & urban camp cooperatives Store - bookshops, food, hardware, clothing & other merchandise co- operatives Transport - bus, courier & taxi co-operatives Utility co-operatives - energy, telephone & water service co-operatives
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Definition “A co-operative is an autonomous association of persons united voluntarily to meet their common economic, social & cultural needs & aspirations through a jointly-owned & democratically controlled enterprise” (Victorian Federation of Co-operatives, 2006)
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Definition Characterised by participative ownership & control, democratic structure & use of capital for mutual benefit Their unique structure is based on explicit values & principles in the International Co-operative Alliance's Statement.
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Co-operativesInvestor-owned companies Purpose Service drivenCapital driven Ownership The member usersInvestor shareholders Control Majority of members. Members elect board on basis of one vote per member Majority of shares. Investor shareholders control the company based number of shares they own Use Users of co-operatives are its members Users are not usually the majority of shareholders Shareholding Shareholding & non- shareholding. Limited number & interest Shareholding limited number and interest
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Values Based on values of self-help, self responsibility, democracy, equality, equity & solidarity Co-operative members believe in the ethical values of honesty, openness, social responsibility & caring for others
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Principles The co-operative principles are guidelines by which cooperatives put their values into practice. Seven principles defined in the International Co-operative Alliance's Statement on the Co-operative Identity (1995)
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Seven Co-operative Principles 1) Voluntary & open membership 2) Democratic member control 3) Member economic participation 4) Autonomy & independence 5) Education, training & information 6) Cooperation among co-operatives 7) Concern for community
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1) Voluntary & Open Membership Co-operatives are voluntary organizations, open to all persons able to use their services & willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination
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2) Democratic Member Control Co-operatives are democratic organizations controlled by their members, who actively participate in setting their policies & making decisions People serving as elected representatives are accountable to the membership In primary co-operatives members have equal voting rights (one member, one vote) & cooperatives at other levels are also organised in a democratic manner
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3) Member Economic Participation Members contribute equitably to, & democratically control, the capital of their cooperative. At least part of that capital is usually the common property of the co-operative Members usually receive limited compensation, if any, on capital subscribed as a condition of membership Members allocate surpluses for any or all of the following purposes : developing their co-operative, possibly by setting up reserves, part of which at least would be indivisible; benefiting members in proportion to their transactions with the co-operative; supporting other activities approved by the membership
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4) Autonomy & Independence Co-operatives are autonomous, self-help organizations controlled by their members If they enter into agreements with other organizations, including governments, or raise capital from external sources, they do so on terms that ensure democratic control by their members & maintain their co-operative autonomy
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5) Education, Training & Information Co-operatives provide education & training for their members, elected representatives, managers & employees so they can contribute effectively to the development of their cooperatives They inform the general public - particularly young people & opinion leaders - about the nature & benefits of cooperation
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6) Cooperation among Co-operatives Co-operatives serve their members most effectively and strengthen the co-operative movement by working together through local, national, regional and international structures 7) Concern for Community Co-operatives work for the sustainable development of their communities through policies approved by their members
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Co-operatives as a Means of Organising A process not just an outcome Pooling energy & resources to effect change for a common benefit Cooperation provides strength by bringing people together mutual aims & interests Mutual collective not individualist benefit Co-ops as a political form of organising Decentralised, participatory democracy not centralised hierarchy Autonomy, responsibility & freedom
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Community, Social Capital & the Change Agent A co-operative is about & is its members Formed for serving needs of members & the community not just the investment of capital Food co-operatives are not for profit Social capital, capacity building & the third economy Bill Moyer & the four roles of activism Food co-ops & the role of the change agent
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What are Food Co-ops? Food co-ops consist of a group of people (members) cooperating to take back control of their food Take into consideration how & where it is produced & under what conditions Provide accessible, affordable environmentally, socially & ethically responsible food & household products An alternative to stupormarkets
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How do Food Co-ops work? Food co-ops stock a range of products bought according to their buying principles & factors Open to community, staff, students & members Bulk, minimally packaged products Avoid, reduce, reuse, recycle BYO containers & DIY Engaging people with their food
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How do Food Co-ops work? Membership, shares & discounts Mostly volunteer run, members who volunteer get greater discounts than non-working members Coordinators, roles, Management Committee & decision making Differences between campus based & community based food co-ops
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Buying Principles & Factors Organic Biodynamic Chemical free GE free Irradiation free Fairtrade Vegan/vegetarian Cruelty free Wholefoods or healthiness Food miles / Localness Minimally packaged & bulk Ethics Availability Price Social/community component Supplier type Producer type
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Organic A method of farming based on the cultivation of good soil quality & biodiversity Use of agrochemicals is strictly regulated & kept to the absolute minimum Prohibits GMOs (even in animal feed) & is a legally binding term defined in international law Rearing organic animals must be according to strict welfare standards & they may only be treated with antibiotics as a last resort to cure illness When the term is used to describe a food product or item, at least 95% of its ingredients must be certified organic & it may not be irradiated There are Australian & overseas certification bodies
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Biodynamic Biodynamic farming relies on companion planting, homeopathic preparations & a seven-year cycle of crop rotation to remain entirely chemical free Biodynamic farms are completely self contained, integrating different crops & livestock to create a mini- ecosystem The lunar calendar is used as a guide to planting & harvesting crops, with different star constellations signalling the most fruitful times for these activities Biodynamic is part of the family of organic farming methods
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Chemical Free Agrochemical A chemical or chemical compound used in farming Also describes produce from farms that extensively use these chemicals, or the method of agriculture that utilizes agrochemicals Artificial additives Chemicals & chemical compounds that are added to foods to manipulate their colour, taste, texture or shelf life, including powerful toxins Only 7 of the 1000’s of additives used in non-organic food may be used in organic food
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Chemical Free Fertilisers Synthetic chemicals & chemical compounds based on based on synthetic nitrates used by farmers to give plants extra nutrients for growth. An excess of nitrates is known to cause cancer in humans & animals. Organic farming uses only natural fertilizers including manure, seaweed, clays & rockdust
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Chemical Free Pesticides Chemicals & chemical compounds used by farmers & gardeners to kill pests Often contain organophosphates Synthetic pesticides are routinely applied to crops & livestock in agrochemical agriculture to prevent & treat pests Organic farming relies on biodiversity to provide natural predators to control pests, or uses natural plants-pesticides
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Chemical Free Insecticides Chemicals & chemical compounds used to kill insects Organic farming prohibits their use Herbicides Chemicals and chemical compounds used to kill weeds Organic farming prohibits their use Fungicides Chemicals & chemical compounds used to prevent moulds growing on crops & food products by killing fungal spores Organic farming prohibits their use
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Food miles / Localness Food miles How far the food has been transported? Sydney Bioregion, NSW, East Coast, Australia, Overseas close, Overseas far How it has been transported? Ship, rail, truck, airplane Why? Ecological Footprint Carbon dioxide emissions & climate change Infrastructure required for transportation & other environmental impacts Supporting smaller local organic farmers rather than large-scale agrochemical monoculture based farming controlled by multinationals
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GE Free Genetic Engineering The manipulation of genetic material between different unrelated species of living things In agriculture, the creation of crops known as Genetically Modified Organisms (GMOs) or Transgenic Organisms by extracting genes from one species & inserting them in another GM farming is part of the family of farming styles that makes up agrochemical farming There are problems with labelling laws in Australia which have many loopholes Check out www.truefood.org.au for the Greenpeace True Food Guide or The Future of Food (film)
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FairTrade The concept is that a fair price should be paid for goods produced by farmers & workers in the developing world Many poorer farmers are forced to sell their products for much less than it just if there is no other outlet for them, compete with subsidised products from the developed world & high tariffs Fairtrade means a buyer from the developed world will not exploit farmers by paying less money for a commodity than it is worth Fairtrade Mark prohibits child & forced labour & guarantees that workers receive a decent standard of housing, healthcare & safety & employment rights Also promotes programmes for environmental sustainability Check out www.maketradefair.com/en/index.htm & www.oxfam.org.au (campaigns section)
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Irradiation Free Irradiation The passing of food through a radiation field to preserve it beyond its natural shelf life Involves gamma rays & Cobalt 60, a by-product of the nuclear fuel cycle (nuclear waste) The use of ionizing radiation to preserve food is prohibited under organic standards There are very few labeling laws in Australia Check out www.irradiationwatch.org for the new Irradiation Free Guide
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Vegan/Vegetarian Included for cruelty free & other ethical & environmental reasons Vegetarian Foods that don’t contain any meat or meat products & are produced without any meat products Vegan Foods that don’t contain any animal products & are produced without any animal products Examples Milk, cheese, honey & eggs are vegetarian but not vegan
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Availability & Price Availability Does the product exist? Is it currently available to buy? Seasonality Price Is it a reasonable price? Organic & Fairtrade products are often more expensive than conventional products
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Juggling a Balancing Act Buying principles & the problem of internal contradictions & tensions It isn’t always possible to tick all the boxes Which principles & factors are more important & why? How is the decision made? Examples Organic vs Food miles Organic vs Insecticide free vs price
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Project Aims Construct a profile of NSW & ACT food co-ops What, where, how & why, structure & decision making process, member involvement, SWOT analysis Register of existing co-ops & ordering people Identify existing buying policies, principles & factors Identify buying principles & factors Analyse values, reasoning, beliefs & politics on which they are based Create a stock database with all variables
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Project Aims Compare & contrast buying principles & factors Identify variations Analyse how & why buying principals & factors. & their relative importance varies Compare & contrast between food co-ops Develop a hierarchy of buying principles Compare & contrast within & between food.. co-ops Analyse the extent of variation - how & why. this exists
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Project Aims Identify internal tensions & contradictions Analyse how tensions are reconciled Develop a Decision Tree Analyse member knowledge, input into & understanding of buying principles Incorporate findings into a decision making tool? Report back on findings Action research approach
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Research Outcomes Profile of food co-ops in NSW & ACT Buying principles & factors paper Stock database Hierarchy of buying principles for each food co-op & an overall hierarchy table Decision Tree Analysis of results ? Decision making tool
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Australian Food Co-ops Northern Territory POD (Darwin) Queensland Griffith Uni Food Co-op (Brisbane) Community Foods (Cairns) South Australia Flinders Uni Food Co-op (Adelaide) Goodwood Goodfood Co-op (Adelaide) Clarence Park Community Food Co-op (Adelaide)
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Australian Food Co-ops Victoria Wholefoods (Monash Uni Food Co-op, Melbourne) Melbourne Uni Food Co-op (Melbourne) La Trobe Food Co-op (Melbourne) RMIT Food Co-op (Melbourne) Friends of the Earth Food Co-op (Melbourne) St Kilda Organic Food Co-op (Phillip Bay) Tasmania Hobart Organic Food Co-op
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NSW & ACT Food Co-ops University/Campus based Community based Broadway Food Co-op (UTS) Manly Food Co-op Sydney Uni Food Co-op Alfalfa House (Newtown) Thoughtful Foods (UNSW) Katoomba Food Co-op ANU Food Co-op* Sustenance (Newcastle Uni) Green Tucker Store (Forestville) Happy Bellies (University of Wollongong) Angophora Food Co-op (Blue Mountains) Seasons Food Co-op (Uni of. Western Sydney Hawkesbury) Beanstalk Organic Food Co-op. (Newcastle) Armidale Food Co-op (University of New England )
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