Throughout the world, cooperatives are involved in diverse areas of business activity, and this is reflected in the sectoral organizations that make up the International Cooperative Alliance, covering agriculture, banking and credit, consumer, fisheries, health, housing, industry and services, insurance and travel.
In Barbados, cooperative success has really been limited to the credit union sector, which deals with financial services.
The reasons for the success and growth of credit unions versus the unsuccessful and stagnating non-credit union cooperative sector are worthy of serious research and analysis.
My own research and observation have led me to conclude that the basic issue is a lack of understanding and appreciation of the significant potential co-operatives hold for individual financial benefit and consequently, national economic benefit as well.
An examination of some of Barbados’ developed trading partners, particularly Canada and the United States, will show the significant economic possibilities of cooperative business approaches.
For example, by 2003 cooperatives were responsible for marketing 22 per cent of all grains and oil seeds and 39 per cent of milk products in western Canada – and more significantly, 57 per cent of all poultry and eggs produced in Canada. They also accounted for 59 per cent of the dairy sector.
It is clear that for the requisite understanding to be developed, deliberate and concerted efforts must be made to educate Barbadians, especially those under 40 years of age, about cooperative approaches to business.
This will go a long way in sensitizing our people not only to the potential for business and consequent financial success, but make them aware of the special requirements and responsibilities needed to ensure success in co-op ventures.
Some of the main challenges and reasons for the failure of co-op ventures include conflict between members (most often personality differences), a longer decision-making process, insufficient participation by some members, insufficient capital input by members, and lax corporate governance.
These challenges, however, will be less significant in a population educated and sensitized to the worth of cooperatives, particularly if the requisite sensible regulatory practices are implemented.
I have noted the strong agitation and steps taken to introduce tourism education into our schools.
Tourism has been dominant and significant to Barbados over the past 40 years, but it may eventually fade away like the sugar industry.
Cooperativism is not an industry but rather a philosophy, a way of doing business across industries, and indeed a way of life.
Making cooperative education part of Barbadian upbringing is even more important than educating on any one industry.
For more information on cooperatives, including the definition of cooperative, the values by which they operate and the internationally-accepted principles that guide them, visit The International Cooperative Alliance’s website www.ica.coop/al-ica/
