The Dev-Cor Farmer-Consumer Co-op
(Page 2 of 3)
July/August 1970
by ROGER WILKES
It should be emphasized that organically grown fruits and vegetables will be supplied.
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There are three ways in which a person may become a co-op shareholder: The first is through the purchase of shares by investment when buying through a buyers club as already explained. The second method is through investing money in cash in a lump sum. This is not an investment in the normal sense of the word as the shares are non-interest bearing. The final way in which people can invest is in the form of work. The various co-op groups have a great deal of work which needs to be done and while you can be paid for doing them you might like to take shares in place of some of the money.
The farm end of the project involves being able to give the farmer a guaranteed market for all his produce at a good rate of return, thus removing him from dependence on a varying market with all its hazards. Prices negotiated with a farmer are being carefully calculated to ensure that he will be able to produce the highest possible quality and enjoy a good living from his labors.
Each farmer in supplying Devcor with the produce will be requested to contribute a similar savings element to that made by the consumer clubs. This investment will be available to the farmer in the form of loans at the cost of administration or about 1% to purchase additional land or to improve his farm and home.
Money accumulated in this way will also be used to establish packing houses and other distribution facilities. When sufficient capital has been contributed - and the amount will depend on local needs to a large extent - the local group of farmers will form their own wholly owned co-operative to handle all the details with Devcor only retaining one seat on the board of management to act as a co-ordinator for all the groups.
The same principle of capital accumulation will be followed by the various consumer buyers clubs who will be able to establish their own distribution points and similar facilities. They will also be able to use capital funds for home purchase and other improvements. Again these loans from their own capital will be made at cost or about 1%.
