April 30, 2009
ACDI/VOCA Sponsors West Bank Cooperative Conference, Co-hosted by the Palestinian Ministry of Planning and Labor
ACDI/VOCA and the Palestinian Ministry of Planning and Labor hosted representatives from more than 250 cooperatives at a daylong conference to discuss the progress of the cooperative movement in the West Bank and Gaza, the challenges cooperatives are facing, and recommendations for moving forward. Titled “Realities and Prospects of the Palestinian Cooperative Movement,” the conference assessed the current situation for cooperatives and analyzed how to improve legal and financial structures to support their growth. The opening session featured welcoming statements from Prime Minister Salam Fayyad, Minister of Planning and Labor Samir Abdallah, USAID/West Bank and Gaza Mission Director Howard Sumka, ACDI/VOCA Senior Vice President of Food Security Avram E. “Buzz” Guroff, and International Labor Organization Representative Mounir Kleibo. In three technical sessions, panelists discussed the legal and regulatory environment, capacity building and cooperative financing, and engaged the audience in animated discussion throughout the day.
In August 2008 under its USAID-funded Food Security Program in the West Bank, ACDI/VOCA drafted a cooperative law with the intention of updating the legal and regulatory framework to meet current local needs and modern standards set by international law. Currently in the near-final stages before receiving ministry approval, the law represents change demanded by the cooperative community because the current legal environment is at times contradictory, undemocratic and lacking in strategy and focus. The Palestinian territories have been operating under two cooperative laws that are often in conflict with each other and with Palestinian law. In his opening remarks, Prime Minister Salam Fayyad noted that the cooperative sector is an important contributor to the Palestinian Authority’s gross domestic product and overall employment, but pointed out that about half of the more than 900 registered cooperatives are currently inactive because they need direct assistance and legal support.
Fayyad commended the cooperative movement and called for continued donor support for cooperatives and the agricultural sector in general. Calling on cooperatives to organize their ranks and focus on achieving their goals, he described cooperatives as a “tangible economic solution to eradicating poverty…and helping the Palestinian people, especially in marginalized areas.” He expressed his eagerness to hear suggestions from conference participants and argued that financial and technical assistance, a directed national strategy, and an enabling legal environment are critical to maximizing the effectiveness of the cooperative movement.
Guroff (pictured at left) commented that “the topic of this conference speaks to the heart of ACDI/VOCA’s work,” noting that the organization has 45 years of experience working with cooperatives globally, and has been providing support to cooperatives and households in marginalized areas of the West Bank and Gaza since 1986.
The conference unveiled three working papers analyzing the 2008 draft law, cooperatives’ needs for capacity building, and cooperative financing. An analysis of the draft law found that its passage would provide a more stable, democratic, flexible and modern legal framework for cooperative growth. Regarding cooperatives’ capacity, panelists declared that technical and administrative training, increased specialization, democratic leadership and the active economic participation of all members are crucial to success. Another suggestion to increase social awareness and educate the general public about cooperatives was to include concepts in the school curriculum. Finally, panelists emphasized the importance of providing financial assistance and of allowing for unions and other support organizations to flourish. For example, under the existing law, a centralized government body has the ability to prevent smaller cooperatives from joining to form viable cooperative unions to achieve further growth.
The ministry announced its plans to host further dialogue sessions with political stakeholders and cooperative leaders to discuss the implications of the draft law and the recommendations generated from the conference. ACDI/VOCA hopes to continue its long-standing work supporting cooperatives in the region and to participate in the policy dialogue surrounding the cooperative movement.
For more information on ACDI/VOCA’s past and current projects in the West Bank and Gaza, visit here.
