First the positives. The dialogue gave an opportunity for producer of co-operatives, consumer co-operatives, co-operatives in the infrastructure and services sector, government officials, co-operative business enterprises and academics engaged in issues relating to the national, regional and global co-operative movements to understand the very wide range and diversity of organisations, which came together under the nomenclature of co-operative. Thus from the Housing co-operative of Sindh in Pakistan, which is primarily engaged in infrastructure for housing and urban development to Indian Farmers Fertiliser Cooperative Limited (IFFCO), which is amongst the world’s leading fertiliser manufacturer to the consumer co-operatives of Singapore, which have led the retail revolution in the island – the experiences, expectations, potential to collaborate and influence government’s policy is indeed varied. The dominant political economy of the nation has obviously left its impact on the co-operatives : thus co-operatives in New Zealand and Australia are much closer to the private sector, while those in Indonesia, India, Malaysia are more dependent on government’s support. Whereas at one level, all co-operatives wish to free themselves from the apron strings of the government, many of them also crave for special concessions, tax reliefs and administrative support. The common thread, which links all co-operatives is the fact that membership plays a very important role, and unlike their counterparts in the private sector, the co-operatives would always like to become as broad-based as possible.

The next positive about the conference was the very active role, which the younger set of professional civil servants, and development economists of the GCC were taking in the deliberations of the conference. Even though as a share of the nation’s Gross Domestic Product, co-operatives hardly account for any sizeable share, there is a growing concern that the developments in the infrastructure and retail sector are not leading to adequate spin-offs for the local economy. The realisation is slowly growing that even if a fraction of all the wealth, capital and money which the UAE nationals are putting into the MNC led investments and retail chains was out in the co-operative sector, the management of which would necessarily remain with the ‘community’, the benefits would be far more equitable, and certainly lead to greater inclusion. Many economists in the Gulf are realising that oil cannot, and should not be the sole GDP earner – and Dubai, DSharjah, Abu Dhabi have taken the lead to ensure that the services sector should overtake the oil sector in the contribution to GDP. Already, for the emirate of Dubai, the services sector contributes 40 per cent of the GDP as against 30 per cent from the oil sector.

Last but not the least, was the concern of the GCC with matters connected to food security. There is an increasing realisation that as food importing countries, they must build long term strategic relationships with food producing nations, and perhaps even producer co-operatives to ensure that they are insulated from the food –shocks. The ban on export of rice by countries ranging from India, Thailand, Vietnam and Japan has sent literal shivers – what will a net food importing country do with all the wealth in the world, if no one is willing to trade staples. Most Gulf countries are now strengthening their departments of agriculture and livestock, and are sending their scientists for training all over the world to understand crop sciences, soils, salt resistant varieties of rice. There is also grudging acceptance of the fact that if Israel can become self sufficient in food in deserted conditions, so can they. India therefore becomes a country which can become a very important knowledge partner to the Gulf – for while there is understandable reluctance on their part to seek assistance from America or Israel, this does no hold true for India. The Indian Council of Agricultural Research (ICAR), the co-operative organisations and the MEA must therefore get their act together for a mutually beneficial relationship.

Having spoken about the positives, your columnist will now raise few questions. The conference was discussing two disjointed questions – governance systems for co-operatives is quite distinct from ‘social responsibility’ issues for co-operatives. In fact, your columnist has always held the view that while co-operatives must focus on governance for their own good, ‘social responsibility’ is not, and should not be thrust upon the co-operatives. The strength of a co-operative lies in its ability to conduct its affairs more efficiently and democratically than others, and distribute the surpluses locally. This local distribution of surplus helps local economies in more ways than one: more jobs are created locally, local entrepreneurship gets a boost, local raw materials are sources, and there is greater transparency in business. This also prevents concentration of economic power in the hands of a few individuals, oligarchies are avoided, and the middle class becomes a stronger political force.

The second,and more serious reservation was regarding the ‘co-operatives’ in UAE. In the case of the consumer stores, the bulk of the transaction is with the non members – for non UAE nationals provide 90 per cent business to these stores. However, under the co-operative law of UAE, only nationals are allowed to become co-operative members. This is quite different from the provisions of co-operative stores in Europe and America, where the primary criterion for co-operative membership is ‘patronage’, not nationality. The law is silent about this aspect in India, and therefore foreign nationals have become members of housing and consumer co-operatives without any problems. However, the UAE has a unique position as over 95 per cent of the working population is comprised of non nationals, and opening the rights of co-operative membership could also lead to a Pandora’s box. Although, the co-operators from the UAE wanted to raise this question, especially whenever the ICA principles on co-operative policy (open and voluntary membership) were raised, the chair reserved the discussion to the close door session for GCC members only. The prognosis is clear: slowly, but surely, questions are being raised, and even though answers are not in immediate sight, women and men of the desert know that there is an oasis, close to the horizon!