Agricultural Co-Ops: A Community Solution for Quality Food

By Carol Johnson

The first agricultural cooperatives were created in Europe over a century ago to provide a way for communities to work together to share labor, expenses, and responsibilities so everyone could also share in the quality agricultural products that resulted from working together.

The International Co-operative Alliance’s Statement on the Cooperative Identity defines the word "cooperative" 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. In other words, a co-op is a business owned by the people who use its products and services.

Agricultural co-ops are usually organized around a group of people engaging in agricultural enterprises with varying kinds of services, such as plowing, irrigation, land improvement, etc. Costs are affordable because everyone is sharing expenses. Co-ops help to encourage thriftiness on the part of members because any accumulated savings can help in improving the standard of living and productivity of the members. Agricultural co-ops procure and produce quality food products for sale to their members and the general public. Buyers who purchase in bulk are assured of accurate measures and fair prices.

There are two major types of agricultural cooperatives—supply co-ops and marketing co-ops. Supply co-ops work together to purchase agricultural supplies (seeds, fertilizers, tools, etc.) and services. Marketing co-ops engage in growing, packaging, distributing, and marketing produce. With the help of the government, some co-ops have developed marketing centers not only locally but also abroad.

Co-ops were founded decades ago around a core group of values: self-help, self-responsibility, democracy, equality, equity, and solidarity. Those values are still at the root of today’s co-ops. Members believe in the ethical importance of treating each other honestly and openly, showing social responsibility and caring for others. Membership in a co-op is open to the public, so anyone who meets certain conditions may join. Most co-ops are governed by one vote per member, to avoid one group or one person having an unbalanced amount of control. Economic benefits are distributed proportionally according to how much economic support each member has put into the co-op.

Agricultural co-ops have become a significant tool for assisting in the agricultural development of emerging countries. Because co-ops were originally designed to enable farmers to engage in business together and reap the rewards together, the idea of co-ops has been invaluable in teaching people to help each other in times of crisis while at the same time improving their own livelihood and quality of life.

Every state in the United States has multiple co-ops, often in rural areas. For more information, visit the National Cooperative Business Association website. To find an agricultural cooperative in your area, visit the National Grange website.