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26Sep

The vital role of co-operatives in farming communities

WORDS BY ANNETTE SCOTT, IMAGES BY ANNIE STUDHOLME AND INDIANA ROBERTS

“The strength and importance of co-operatives is well recognised within the New Zealand economy. This is particularly true of the primary sector,” says Ruralco Chair Sir David Carter.

This is reiterated by retired Ashburton farmer and community leader Brian Cameron. Brian has long held a deep passion for the co-operative principles, clocking up more than 60 years of co-operative involvement, many in leadership roles.

He was a founding member of ATS and an initiator of the now national body, Cooperative Business NZ.

Recognised with Honorary membership for his significant contributions to co-operatives, including Ruralco, Brian believes community, co-operation and collaboration are all central to the co-operative model.

“Co-operatives serve their members effectively working for sustainable development of their communities. They are democratic organisations controlled by their members, who actively participate in setting their policies and making decisions with those serving as elected representatives, accountable to the membership,” Brian says.

Ruralco sits under the umbrella of Cooperative Business NZ, which independently represents member-owned and purpose-led businesses, increasing awareness of the contributions they make to New Zealand and ensuring they continue to prosper and thrive for generations to come.

Cooperative Business NZ chief executive Saya Wahrlich says co-operatives are part of the fabric of New Zealand, which is one of the most co-operative economies in the world.

“Our co-operatives make a significant contribution to New Zealand’s economy and society meeting the common economic, social and cultural needs and aspirations through a jointly owned and democratically controlled enterprise. This is a contribution that needs to be talked about far and wide,” says Saya.

Sir David Carter agrees saying “That is why Ruralco is so important to the economy of Mid Canterbury. We as Shareholders own it. We as Shareholders then use democracy to elect our directors who are charged with the responsibility of taking Ruralco in a direction that serves not only our members but our region as well.”

“That is why we have strengthened our focus on our neighbourhood in a move back to our grassroots. Ruralco is the local co-operative and provides a service to the shareholders and members which feeds back directly into its local community,” David says.

The grassroots date back to 1963 when a group of farmers formed the Ashburton Trading Society Co-operative that would become Ruralco.

A strategy re-focus for Ruralco in April this year aims to bring the farmer co-operative back to its roots and commitment to the local farming community, with the co-op no longer actively seeking business connections beyond the Canterbury region.

Ruralco was established 1963 by a group of local farmers who were looking to lower input costs for their farming operations.

Ruralco’s strategy to re-focus to stay local first, takes the co-operative back to its original intent.

“It is a change of direction from our previous national growth strategy which was well intentioned in a very different market environment,” David says.

“The decision to consolidate our focus and return to our original vision followed careful consideration by the board and Ruralco’s executive team following feedback from both shareholders and merchants.”

David acknowledges Ruralco has had different strategies from time to time over the years, but it’s original intent to make farming life easier for its shareholders remained.

“We have stayed true to this function, and we want to continue strengthening those ties across our core territory of Mid Canterbury and the wider Canterbury region.”

Ruralco chief executive Tony Aitken says the move away from a national focus was a deliberate move back to Ruralco being more shareholder and farmer focused.

“Our purpose is to keep local farmers thriving for generations to come by offering real value with the latest innovation in farm supplies, services, and expert advice. Our size and local focus gives us opportunities that many companies do not have; that is to be very connected and responsive to our shareholders. We are very fortunate to have such a loyal and parochial support base.”

Ruralco has a deep connection with the community.

“We are at A&P shows, we bring farmers together at our Instore Days and provide events and opportunities to get farmers off farm. We are a co-op, we are not flush for money, we are not meant to be, but we put money away for the community. The gift basket for a raffle, the product for prizes, it doesn’t have to be thousands of dollars it’s about connecting with the community, it’s the little bits, and the list of organisations we support in some way is vast,” Tony says.

Former Ruralco Chair and Ruralco Shareholder Phil McKendry says Ruralco also adds an extra element of competition for the local community.

“We have a significant layer of competition in a strong farming community and local farmers deserve this added layer of competition. Members have pride in their local co-op and that’s a reflection of how strong the competition is out there—local farmers deserve that competition,” Phil says.

Ruralco’s newest director and Ruralco Shareholder Kate Beaumont-Smith says as a shareholder she has an expectation of “receiving great service and excellent industry and product knowledge” through a good relationship with the Ruralco team.

“We value our Ruralco on-farm representative as we have trust that we are getting a good price as well as quality products.

“We know Ruralco is on top of the latest research meaning we are making decisions for our farming business that are wise especially with the current pressures all farmers are facing.”

She was motivated “to put my hand up” to become a Ruralco director as she wanted to give back and help make decisions on behalf of and for the benefit of the Mid Canterbury rural community.

“Ruralco is a huge success for Mid Canterbury, one that so many local farmers are proud of.

“I believe Ruralco as a co-operative is about supporting the Mid Canterbury community so everyone can make great choices for their farms and save financially along the way.”

Back to Real Farmer

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