COOPERATIVES SHOULD BE PART OF THE ANSWER TO THE CREDIT CRUNCH (Jim Hume)

COOPERATIVES SHOULD BE PART OF THE ANSWER TO THE CREDIT CRUNCH

October 29, 2008 12:00 AM

Jim Hume, MSP for the South of Scotland, will today reinforce the need for continued funding for Cooperative Development Scotland (CDS) in a bid to increase the cooperative movement across the South of Scotland.

The call comes as CDS celebrates its first year in operation.

Speaking ahead of this evening's debate, Jim Hume said:

"This evening's debate is timely and particularly relevant to the South of Scotland where many believe the cooperative movement was born through philanthropist and businessman, Robert Owen's, work in the New Lanark cotton mills.

"There are huge benefits to be gained from a group of individuals owning and running their own organisation, and this concept of mutual ownership is especially relevant now given the extremely difficult economics we currently face.

"Cooperatives come in many forms providing all manner of services - agricultural, social, housing, retail and many more - the founding principle being the idea that the members have a relationship with the enterprise as producers or consumers of its products or services, or as employees.

The MSP continued:

"In the South of Scotland there are some excellent examples.

"The Borders Machinery Ring was established in the 80s, and set about to rationalise labour, machinery and input costs. It's grown to offer an increasing range of benefits to help sustain and improve business viability - such as account management, training, waste management, bulk buying of fuel and even renewable energy.

"Another example is Stewartry Care which provides long-term residential care for older and disabled people. It now employs over 150 people, looking after more than 500 clients across Dumfries and Galloway.

"The co-operative approach has enabled the organisation to 'provide a quality personal service that is driven by a happy, positive, motivated and highly skilled workforce, who are focused on excellent client care'."

"Others include East Lothian Potatoes Ltd, the Cashmere Club which covers the Borders and stretches to Ayr, Wigtown Quality Lamb Ltd and many more besides.

"Co-operative Development Scotland undoubtedly has a role to play in providing resources to encourage and enable the take up of the co-operative option and to improve the growth of individual cooperatives. But all of that should be done in cooperation with other agencies such as SAOS, Cooperation & Mutuality Scotland, BFRS, BMR, Scottish Enterprise and Business Gateway, who already have the experience and knowledge."

ENDS