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Pretoria – Co-ops (self-help organisations whose members are all co-owners) in South Africa have great potential but they have yet to get off the ground, said Vic van Vuuren, International Labour Organisation (ILO) director for South Africa, Botswana, Lesotho, Namibia and Swaziland.
He was chatting to Sake24 in the wake of the department of trade and industry’s announcement that a cooperative development agency is to be established to ensure that financial and other support be given to co-ops.
On Tuesday, when the International Year of Cooperatives was announced, the deputy minister of the department, Elizabeth Thabethe, said the department was identifying programmes and products to ensure support for sustainable co-ops that play a meaningful role in the economic and social development of their members.
Van Vuuren said one reason for co-ops neglecting to play a significant role in the South African economy was a lack of education. “People are unaware of what a cooperative is and how to use it,” he said.
When the announcement was made he declared that globally co-ops have a crucial role in job creation and poverty relief.
He said the ILO was excited about government’s initiative and he believed that there would be many opportunities for job creation.
According to him, the department will use various agencies to promote the establishment of co-ops, including the National Youth Development Agency (NYDA) and the National Empowerment Fund (NEF). “Money is available, but people will have to present their business plans.”
He said if government is going to spearhead the promotion of co-ops, as it says it will, one might hope for many more co-ops to be established soon.
The ILO is prepared to render co-ops assistance in terms of expertise and projects.
The ILO possesses a wealth of information about successful co-ops – from the smallest local cooperative to the mightiest, such as the Mountain Equipment Co-op (MEC) in Canada – said Van Vuuren.
This co-op was established in 1971 by six mountain climbers who wanted to make high quality equipment and clothing available to fellow climbers. MEC’s membership today stands at 3 million and it has stores in virtually every Canadian province.
The NYDA is also going to celebrate the Year of Co-ops by showing young people how easy it is to establish and register a cooperative, and it will illustrate the benefits to people who come together to produce goods or services or buy provisions in bulk as a group.
On Monday Yershen Pillay, NYDA joint executive chair, launched an awareness campaign with the announcement of a recycling co-op in Alexandra.
The NYDA wants to use this campaign to encourage unemployed and dispirited youth to set up cooperative job creation establishments, with a major focus on the “greening” of communities.
He said the NYDA wants to encourage young people to identify needs within their communities and enter into partnerships that could be the start of successful cooperative community enterprises.
Thabete said that apart from the agency, her department would also set up a tribunal to help co-ops deal with conflict and to give management support.
He was chatting to Sake24 in the wake of the department of trade and industry’s announcement that a cooperative development agency is to be established to ensure that financial and other support be given to co-ops.
On Tuesday, when the International Year of Cooperatives was announced, the deputy minister of the department, Elizabeth Thabethe, said the department was identifying programmes and products to ensure support for sustainable co-ops that play a meaningful role in the economic and social development of their members.
Van Vuuren said one reason for co-ops neglecting to play a significant role in the South African economy was a lack of education. “People are unaware of what a cooperative is and how to use it,” he said.
When the announcement was made he declared that globally co-ops have a crucial role in job creation and poverty relief.
He said the ILO was excited about government’s initiative and he believed that there would be many opportunities for job creation.
According to him, the department will use various agencies to promote the establishment of co-ops, including the National Youth Development Agency (NYDA) and the National Empowerment Fund (NEF). “Money is available, but people will have to present their business plans.”
He said if government is going to spearhead the promotion of co-ops, as it says it will, one might hope for many more co-ops to be established soon.
The ILO is prepared to render co-ops assistance in terms of expertise and projects.
The ILO possesses a wealth of information about successful co-ops – from the smallest local cooperative to the mightiest, such as the Mountain Equipment Co-op (MEC) in Canada – said Van Vuuren.
This co-op was established in 1971 by six mountain climbers who wanted to make high quality equipment and clothing available to fellow climbers. MEC’s membership today stands at 3 million and it has stores in virtually every Canadian province.
The NYDA is also going to celebrate the Year of Co-ops by showing young people how easy it is to establish and register a cooperative, and it will illustrate the benefits to people who come together to produce goods or services or buy provisions in bulk as a group.
On Monday Yershen Pillay, NYDA joint executive chair, launched an awareness campaign with the announcement of a recycling co-op in Alexandra.
The NYDA wants to use this campaign to encourage unemployed and dispirited youth to set up cooperative job creation establishments, with a major focus on the “greening” of communities.
He said the NYDA wants to encourage young people to identify needs within their communities and enter into partnerships that could be the start of successful cooperative community enterprises.
Thabete said that apart from the agency, her department would also set up a tribunal to help co-ops deal with conflict and to give management support.
