Co-ops ‘vital to helping farmers capture value in food chain’

Agri co-ops play a vital role in helping farmers to capture a better share of the value added in the food chain, according to a document published by the European Commission.

“Support for Farmers’ Co-operatives” also highlights the contribution of co-ops in strengthening the positioning of farmers on the market.

Copa-Cogeca, which represents European farmers and their co-ops, said this is crucial when up against the huge buying power of a few retailers.

It wants the European Union institutions to ensure these findings are fully reflected in the final agreement on the future Common Agricultural Policy (CAP).

The document looks at the situation in 27 EU member states. It shows that when co-operatives have a large market share, the price level in a region can increase for farmers and market volatility can be reduced.

“This is particularly important given that volatility on agriculture markets is one of the biggest challenges facing farmers at the moment,” according to Copa Cogeca.

These findings must be reflected in the new CAP, said secretary-general Pekka Pesonen.