Co-operative News

Unipol rights issue to lead the way for merger

AlisonGrant — Fri, 03 Feb 2012 16:22:46 +0000

Unipol Gruppo Finanziario SpA (Unipol), currently Italy’s third-biggest insurer and ICMIF member, plans to raise up to 1.1 billion EUR by selling new shares as it continues with plans to merge with Premafin Assicurazioni, Fondiaria-SAI and Milano Assicurazioni. This will make Unipol Italy’s second-largest insurance group (by premiums).

On January 13, 2012, Unipol signed a letter of intent to take control of Premafin and merge with Fondiaria and Fondiaria’s unit Milano Assicurazioni SpA thus ending the Ligresti family’s control of the group. The Ligresti family is currently the majority owner of Premafin, a debt-laden holding company, which in turn controls Fondiaria-SAI and Milano Assicurazioni.

However, the initial proposal had to be withdrawn after Italy’s market regulator CONSOB indicated that the proposal would hurt minority shareholders in Fondiaria while favouring the Ligresti family.

A revised deal was announced on January 29, in which Unipol will undertake a rights issue allowing them to assume control of Premafin, subsequently Premafin will undertake a €400m capital increase at Fondiaria-SAI and finally Milano Assicurazioni will be absorbed into the Group.

“The integration project aims to safeguard current and future solvency of Premafin and Fondiaria-SAI and create at the same time a top national insurance operator capable of competing effectively with main national and European rivals and of creating value for all shareholders,” Unipol said.

The planned merger would create a new giant in the Italian insurance market. Analysts believe that the resulting Unipol group would control around 32 percent of the non-life sector and 10 percent of the life insurance.

Unipol and Premafin said they expected the four-way merger to be completed by the end of 2012.

COCETA

Mariana Vilnitzky — Fri, 03 Feb 2012 15:47:46 +0000

Organisation:

COCETA

Size of worker co-op sector

John Atherton — Fri, 03 Feb 2012 14:23:39 +0000

I collated some info for the last worker co-operative council meeting (Co-operatives UK's representative body for worker co-ops). I thought you might be interested in some of the figures.

This does come with a warning however: These are my own own calculations and not that of our specialists. These may not be the same as our official figures in the more rigorous annual report on the co-operative economy and don't include large employee trust co-operatives like John Lewis (they just massively scew the figures by a few £bn).

This table does however give an indication of the split of worker co-ops by different industry sectors, which may be of interest.

Industry Sector
Numbers
Turnover

Food Retail & Wholesale
41
£74,398,944

Non-food retail
23
£51,047,281

Engineering and Technology
8
£30,947,437

Media and Communications
32
£4,544,368

Newspaper & Publishing
8
£4,302,618

Research and Consultancy
8
£2,871,121

Education, Employment and Training
40
£2,435,466

Business Services
30
£2,416,334

Business Consultancy
19
£1,494,555

Environmental Services
IT Services
21
14
£1,336,807
£1.186,368

Health & Social Care
25
£1,103,153

Creative Arts
34
£1,074,211

Childcare
30
£961,133

Manufacturing
15
£532,305

Financial Services
5
£410,023

Architects
9
£408,706

Community
12
£295,697

Energy
8
£165,624

Leisure and Tourism
11
£122,332

Café, Catering
9
£36,501

Agricultural
17
£23,681

(blank)
12

Grand Total
431
£181,314,665

Unfortunately as there is no specific worker co-op legal form and therefore regsiter, we only know figures for the worker co-ops that tell us and usually only from our members.

On the map below are all the worker co-ops we know about (and if their members). If you know about a worker co-op that isn't on this list, let me know (it may well be classed as another type of co-op or we just don't know it). A case in point is Northern Ireland and I don't believe there are only 2 in the whole of Northern Ireland.

I've also llisted if their paid up member of Co-opertives UK. Membership is voluntary and the annual subscription may feel a lot for the smallest co-ops (£75), but the more members we have the stronger we all are.
If you want to tell me about a worker co-op not listed below, or help me recruit a non member to Co-operatives UK get in touch.

Also health warning about locations, due to the way "geocoding" is done business probably is not exactly where it says it is on the map and there will undboutly be errors, (first time i did 2 were suposedly in the US..)

View Worker Co-ops in the UK in a full screen map

The Co-operative Group supports ICA Art Competition

AnthonyMurray — Fri, 03 Feb 2012 12:10:29 +0000

Thanks to the wonderful UK based Co-operative Group for their generous headline sponsorship for the ICA’s International Year of Co-operatives Art Competition - Coop’Art.

They join five supporters Cooperative Central Bank Cyprus, Central Cooperative Union Bulgaria and Federacion des Cajas Populare Alianza and IPACOOP, Mexico and SOK from Finland. To find out how you can join this prestigious line-up in sponsoring or supporting the Coop’Art competition and demonstrating the importance of youth to your co-operative - http://www.2012.coop/en/get-involved/competitions or contact Rodrigo Gouveia by email rgouveia@eurocoop.coop

Cooperatives: an economic giant, a political mouse?

Lyne Gagnon — Fri, 03 Feb 2012 11:19:00 +0000

“An economic giant, but a political mouse.” That’s how the cooperative movement has sometimes been described. How can it become a real sphere of influence in economic and political arenas? This is one of the questions the 2012 Summit participants will address. From an economic standpoint, there is no question about the importance and impact of the cooperative movement, which has 750,000 cooperatives in over 100 countries and more than 800 million members worldwide. It also provides 100 million jobs – about 20% more than multinationals. Globally, cooperatives and mutuals generate an aggregative turnover equal to Canada’s GDP! From a sociopolitical perspective, however, the cooperative and mutualist movement’s influence is more modest. For example, although it has been shown to have a significant impact on the development of local communities, this is not necessarily reflected in the choices consumers make. Getting people to recognize the distinctive characteristics of cooperatives and mutuals is a competitive advantage that is not being fully exploited. There is still some scepticism about what makes cooperatives and mutuals different from other businesses. What’s more, the cooperative movement plays a limited role in higher spheres of influence and political decision-making. Yet the recent economic crisis demonstrated the resilience of the cooperative and mutualist model and showed that this business model is part of the sustainable solutions to global crises. The Summit will include a round table on the sociopolitical influence of cooperatives to determine what policies, laws and regulations governments need to put in place to support cooperative development and gain recognition for cooperatives at the social and political level. The 2012 Summit participants will also be encouraged to discuss how cooperatives can increase public awareness and exert their fair share of influence on sociopolitical decision-making. Discussions will also focus on how the participatory nature of cooperative governance can influence other types of businesses and serve as an example of leadership.

ARGENTINA: Fair Trade Going Strong Amid Global Crisis

AnthonyMurray — Fri, 03 Feb 2012 04:55:00 +0000

By Marcela Valente

BUENOS AIRES, Feb 3 (IPS) - With a steady growth in production and exports, fair trade in Argentina is proving that socially and environmentally sustainable practices can be much more than a refuge from external crises.

'One of the advantages of fair trade is the stability of the demand, which has remained steady despite the crisis' in developed countries, Javier González, manager of the Norte Grande Agriculture and Apiculture Cooperative, told IPS.

This cooperative is located in the northern province of Tucumán and has some 130 members, with an annual production of 60 to 100 tonnes of honey, 90 percent of which is exported to the European Union or the United States through fair trade channels.

Norte Grande has been certified since 2007, but as its volume of production is still too low it cannot export directly and must do so through larger companies, which are also part of the fair trade chain.

'This year our honey production will be somewhat poorer due to several local problems, but in 2011 it grew by almost 70 percent in volume as compared to 2010, and prices also improved,' González said.

The producer explained that fair trade offers 'multiple advantages' for his sector.

Argentina is one of the world's leading honey producers and exporters, along with large countries such as China and the United States.

'Apiculture is generally a very competitive sector, and complicated, with a lot of informal (labour), and small producers usually don't stand a chance, which is why fair trade conditions benefit us,' González said.

Fair trade is an alternative and sustainable form of commerce, in which small farmers, artisans or manufacturers, associated in cooperatives or socially-responsible companies, produce their goods under certain certified conditions.

To be certified they must meet a number of standards, such as adequate compensation for their workers or members, decent working conditions, and sustainable water use and eco-friendly pest control, among other environmental requirements.

Certification is granted by the organisation Fair Trade International, following a number of audits. This opens the door to a specific market of consumers committed to the fair trade philosophy.

Fair trade 'originated in developed countries as a form of cooperation', agricultural engineer Mariano Salerno told IPS.

Salerno, who works for Fundación Fortalecer (Strengthen Foundation), a body that provides training and financial aid to fair trade producers, also said that 'Instead of granting subsidies, socially- aware consumers in developed countries, with high purchasing power, recognise the value of this certification and join the circuit, thus ensuring demand.'

According to Salerno, this demand is very stable because it is based on close and lasting ties. 'Recent reports show that fair trade is growing at a slower rate than in previous years, but that it's growing and it's standing firm because it has a specific market niche,' he said.

Salerno said that in order to qualify for certification producers' cooperatives or associations must be managed through a participatory and democratic decision-making process, and they must also comply with environmental requirements.

'Agrochemical use must be kept at a minimum and proper waste treatment must be in place. Those are just two of the aspects that are audited,' Salerno said.

But the efforts pay off. 'In the fair trade circuit, production is more profitable,' he said.

Since 2010, the foundation is implementing a programme financed by the Inter-American Development Bank and the Multilateral Investment Fund, and with its support the sector is experiencing a great boom in Argentina.

There are currently 19 producers' organisation certified as fair trade exporters, and another four have applied for certification. Some 583 rural producers and workers have benefited from this programme to date.

According to a Fundación Fortalecer report released Jan. 31, Argentina is already exporting tea, grapes, honey, and blueberries through fair trade channels. Apple, orange, tangerine, and pear producers are awaiting certification and expect to be exporting this year.

Fundación Fortalecer projects a 40-percent expansion for the sector in 2012 as a result of this increase in the range of free trade certified goods for export. Simultaneously, a number of free trade products are gaining more and more consumers in the domestic market.

These are goods that do not meet the requirements for export but comply with environmental and social sustainability standards. For these products, Fundación Fortalecer created a special certification for the domestic market.

This certification offers advantages for small producers of jams, preserves, wine, olive oil, and honey, who are organised in cooperatives, can access training, and boost domestic market growth.

One of the advantages of fair trade, González said, is the differential price obtained through a 'social premium'. It is a sum equivalent to five to 15 percent of the product's value, which is paid to producers to be reinvested in production.

González also cited the financial benefits, the fair and equal treatment throughout the market chain, the stability in demand, and the participatory and democratic methodology that must be applied in cooperatives in order to obtain certification.

Bihar going green with fertilisers

Ajay Jha — Fri, 03 Feb 2012 03:16:17 +0000

Bihar has begun promoting the use of bio-fertilisers among farmers in a big way in a bid to reduce dependence on chemical fertilizers.

The cooperative societies will play an important in this novel experiment, said A K Sinha, Bihar state agriculture production commissioner here today in Patna.

The govt in Patna have taken a decision to supply farmers with green fertilizers along with a sack of seeds to preserve the quality of soil, Mr Sinha added.

According to him, the bio-fertilisers that are to be distributed among farmers include compost and sesbenia fertilisers.

The experiment with the bio-fertilisers will be carried out in several areas of the state and nearly half a million hectares of land will be covered by the experiment.

In recent years , agriculture in Bihar has been fast growing and dynamic, the agricultural production especially that of paddy has leapt more than 50 percent. The sugar production has also of late begun picking up speed.

Haryana: Cooperative sector kicking around

Ajay Jha — Fri, 03 Feb 2012 03:15:26 +0000

The cooperative sugar mills in Haryana have had a remarkable performance producing more than a million quintals of sugar this crushing season in the state.

The mills have used more than 15 million quintals of sugarcane to produce this amount of sugar , claimed officials of the Haryana govt in Chandigarh on Thursday.

The two cooperative sugar mills located at Shahbad and Rohtak alone have used more than 3 million and about 2 million quintals of sugarcane in the production of sugar respectively.

Some four cooperative sugar mills have also provided the state’s power installations with more than 34 million units of electricity.

The Haryana cooperative sugar mills have another feather in their cap as their sugar recovery stands at an impressive 8 percent.

The optimal performance of the cooperative sugar mills is a dependable index of the success of the cooperative sector in the state, added the Haryana govt officials.

Spanish co-operatives see an increase in Employment of up to 31%

AnthonyMurray — Thu, 02 Feb 2012 23:12:30 +0000

According to COCETA the Spanish Confederation of Co-operative Workers employment has risen by an average of 7.2% in the last quarter

Growth is higher in autonomous regions such as Valencia, which say an increase of 31%, Andalusia - 18.8%, and Murcia - 10%. These latest figures once again demonstrate the ability of the co-operative enterprise to withstand pressure at times of economic and social crises.

While the overall numbers of unemployment in Spain reached record levels with over 5 million unemployed, according to data from last quarter from the Ministry of Employment and Social Security, employment in the co-operatives sector has grown by 7.2%, creating 19,602 new jobs in one quarter. This growth is located mostly in co-operatives working in one of its main sectors such as services, an increase of 7.5% and 12,890 new jobs in the last quarter.

“The latest figures clearly demonstrate that co-operatives are an important option for job creation, which governments should support in growing the local economy,” says Juan Antonio Pedroza, president of the Spanish Confederation of Worker Cooperatives (COCETA).”We know that this is true, and never more so than in times of crisis, where co-operatives are able to create jobs while other forms of companies lose jobs, this is in spite of encountering difficulties in accessing funding. “

The role of cooperatives in job creation and poverty eradication, and in particular the labor unions - is paramount to bring us out of recession. As we begin the United Nations International Year of Co-operatives we have to ensure that we do not lose this opportunity to raise public awareness of OUR business model and the real benefits that brings.
For more information contact the Department of Communication, COCETA:
prensa@coceta.coop | www.coceta.coop">prensa@coceta.coop

Explore Québec: a new section to help you discover Québec City, the site of the 2012 Summit

Lyne Gagnon — Thu, 02 Feb 2012 16:00:00 +0000

Starting in February 2012, you'll be able to register for the International Summit of Cooperatives taking place in Québec City. To help you get acquainted with the city's many attractions, our website now features a section called Explore Québec! Whether you're interested in history, culture, adventure or the great outdoors, the Quebec City area offers a wide range of activities that are sure to please and entertain one and all. This new section of our site was designed with the help of Québec City Tourism. Start by reading the words of welcome from Québec City mayor Régis Labeaume and Sam Hamad, Minister responsible for the Capitale-Nationale (Québec) region, and then look for your favourite activities under: History and heritage Nature and adventure Relaxation activities Shopping Tips on visiting Québec City in October Let us help you make the most of your trip and Explore Québec! (Photo: Québec City Tourism)