A cooperative, according to the International Labour Organization (ILO), is an independent organisation of people who have come together voluntarily to achieve their shared economic, social, and cultural needs and goals through a jointly owned and democratically controlled company. Cooperatives come in several forms, including Consumer Cooperative Society, Producer Cooperative Society, Credit Cooperative Society, Housing Cooperative Society, and Marketing Cooperative Society.
- It eliminates social cleavages and calms class disputes.
- It lowers the bureaucratic sins and follies of political groups; it overcomes agricultural development limits; and it generates a favourable climate for small and cottage companies.
- It offers agricultural credits and money when the public and private sectors have been unable to do so.
- It is a group for the impoverished who want to work together to address their difficulties.
- It offers strategic inputs to the agriculture sector, while consumer societies satisfy their consumption needs at reduced rates.
- People are not properly educated on the Movement’s aims, as well as the laws and regulations of cooperative institutions.
- The Co-operative Movement has been hampered by a lack of skilled workers.
- A vast membership turns out to be mismanaged unless such co-operatives are controlled in a secure manner. Money became such a prominent element in governing body elections that the top positions of chairman and vice-chairman were frequently given to the richest farmers who managed the organisation for their own profit.
- The majority of these organisations have only a few members and operate in only one or two locations.
- The cooperative movement’s guiding principle is to unite everyone while staying anonymous. People’s issues can be solved by the cooperative movement.
- Market links for agricultural producers and cooperative organisations should be established in order to strengthen cooperatives.
- However, there are inconsistencies in cooperatives, and to control them, regulations and better execution are required.
- With the advent of technology, new areas emerge, and cooperative societies can play a significant role in familiarising individuals with such regions and technologies.