Cooperatives in International Trade of Agricultural and Food Products

Abstract

The cooperative sector is an indispensable and integral part of the global economy; includes cooperatives ranging from small-scale to multi-million dollar businesses in all sectors of the economy, count over 800 million members and provide 100 million jobs – which is 20 percent more than multinational company. According to ICA Global 300 list, the largest 300 cooperatives in the world generate revenue of 1,600 billion US dollars (2010), which is comparable to the GDP of the Russian Federation or Spain and occupies the ninth place among the world's largest economies. The paper analyze the contribution of cooperatives to the development of international trade in agricultural and food products, starting from agricultural cooperatives which organized small farmers and involve them in local, national and world trade, to the consumer cooperatives that have managed to survive in spite of strong competition and increasing prices of agricultural and food products and the global economic crisis, and which significantly contribute to the international trade fair. The paper consists of two parts. In the first part is given the analysis of the contribution of the largest cooperatives in the world according to the list by Global 300 list, with special emphasis on the importance of agricultural cooperatives in the local economy, both in terms of reducing unemployment, as well as in the production of agricultural and food products. In the second part of the paper is presented the genesis of the development of a major international cooperative trade event – ICA Expo-Coop, which is a cooperative international fair that was held eight times in the period since 2004 to 2012. Based on the development of this international manifestation, the number of cooperatives exhibitors and visitors, and other important information, it is possible to observe how cooperatives participate and promote the development of international trade of agricultural and food products. It was particularly emphasized that the cooperative sector and ICA Expo-Coop are not adequately recognized and represented in the activities of the WTO after the Doha round.