PROMOTING COOPERATIVE DEVELOPMENT
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Manuel Mariño

5 February 2020

Cooperative Integration

The issue of cooperative integration is one of the aspects that have been most discussed and raised for years in many of the conferences, seminars, and workshops organized by cooperatives and their integration organizations.

In spite of this and the greater awareness that exists within the sector of the importance of the subject, integration problems, whether political and/or economic, persist and in some cases are aggravated. This means that the outcomes of the work of advocacy towards public policies are few and, in some cases, nonexistent.

For this reason, I want to raise in this and other articles aspects of cooperative integration that I consider relevant.

Background and definition of cooperative integration

Of the three revisions of the Cooperative Principles that the International Cooperative Alliance (ICA) has carried out (1937, 1966 and 1995), only the first one does not explicitly mention the principle of cooperative integration.

The 6th principle was manifestly expressed for the first time as one of the cooperative principles in what, at the time, was described as a "clarification" of the principles, at the 23rd Alliance Congress held in Vienna in 1966. This review recognized in order to capture the vision of a new cooperative economy, cooperatives had to nourish and support each other explicitly. The report of the Congress of Vienna included the following recommendation:

’We have thought it important to add a principle of growth through cooperation between cooperatives:
All cooperative organizations, to best benefit their members and communities, should actively cooperate in all practical aspects with other cooperatives at local, national and international levels.’

The report kept explaining:

’although the principles have emerged as norms to govern the relations of the individual members of the cooperatives with each other and with their societies, their application is not limited to first degree societies. They must be loyally respected by the institutions that represent cooperation between cooperative societies, rather than between individuals

[...] The idea of a cooperative sector in the economy is very often an intellectual concept without a corresponding material reality, simply due to the lack of unity and cohesion between the different sectors of the movement.’

The report also recognized that cooperatives had little chance of reaching their full potential by working alone. The idea and promise of a cooperative movement required coordination, cooperation, and collaboration among existing cooperatives, as well as the extension of the mutual aid model to an ever-increasing number of economic sectors, social problems, and geographic regions. The report went on like this:

’In order for the cooperative movement to reach its full dimension, whether in each country or internationally, [...] cooperative institutions must support each other without reservation.’

At the General Assembly of the Alliance in 1995, the Cooperative Principles are reviewed again in the context of the new Statement on the Cooperative Identity and the sixth cooperative principle "Cooperation between Cooperatives", which refers precisely to the issue of cooperative integration, says verbatim:

’Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional and international structures.’

Interpretation of the words and phrases of the 6th principle

’Cooperatives serve their members most effectively and strengthen the cooperative movement by working together.’ This statement acknowledges the fact that although cooperatives can go very far locally, they can go even further if they collaborate to create economies on a larger scale and build a mutual and representative force. This requires a difficult balance of interests: large-scale advantages for all cooperatives while maintaining independence and democratic control by members. It is a permanent challenge for all cooperative structures and a test for cooperative ingenuity.

’‘Working together through local, national, regional and international structures’. The statement in the first part of the sentence dealt with the "why", and the second part addresses the "how". The "how", the way cooperatives work together, is through local, national, regional and international structures. This 6th principle speaks of working together always with the same goal, not simply an occasional collaboration. Collaboration, although similar, works for a specific and precise objective, while cooperation is a deeper and longer-term commitment to achieve common goals.

Achieving effective cooperation requires time, resources and problem-solving skills. It also requires the application of the 2nd democratic principle: open, transparent, responsible and democratic decision-making processes must exist when cooperatives work together for mutual benefit.

Some premises to take into account in integration processes:

1. It is necessary to strengthen grassroots organizations and second-degree integration organizations;

2. It is essential that members of cooperatives have the necessary elements and tools so that their participation in the democratic life of the cooperative is not only a matter of form but also an agent of change;

3. Clarity in defining the roles of integration agencies is essential;

4. Have credible, ethical and committed leaders.

Keep in mind that when we talk about integration, we not only refer to the political-ideological-union perspective but also the economic one.

NOTE: The views and opinions expressed in these articles are those of the author only and do not necessarily reflect the views of PromoCoop and its partners.

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