INTEGRATED DISCUSSION ON SOUTH AFRICAN LEGISLATION ON CO-OPERATIVES


 


      In a recent study of the Department of Trade and Industry (January of 2011) headed by Dr. Rob Davies MP they have emphasize on the discussion of the integrated strategy on the Promotion of Co-operatives in South Africa. They have envision 2010 to 2020 as an integral foundation of the development of such activities to answer the challenges facing the South African government to instill the many options of a viable sustainable form and solutions for the demand of the ever increasing needs for economic activities of their people. Co-operatives can be a central focus of diversity of various income determinants and income distribution channels and network as agreed upon by the government to its people.


      Co-operatives will also increase employment within the community by utilizing its labor objectives. They have also invited the participation of various organizations and individual who are willing to promote their co-operatives, they can even participate in making comments, questions and reaction upon the appropriation of various cooperative determinants, just about anything they would like to clarify in order to promote a fair practices that will not serve bias to the community. The Department of Trade and Industry would like to make sure that the legislation will encourage the implementation and framework for Cooperative Development Policy that is extensive and within the participation of various organizations.  


      There are various government agencies including; Non Government Organization (NGO), Community Based Organization (CBO) and the National Economic Development and Labor Council (NEDLAC). The strategy and legislation still implement some various frameworks in the co-operatives of their last 2004 and 2005 policy. Again they have established the same consideration in sustainability and income generating activities that they really need within the communities of South Africa in particular it should help alleviate poverty and strengthen the economic foundation of their government and the society. The discussion begins in establishing provision, mission and vision and objectives of the cooperatives legislation inclusion.


      Section 1 of their discussions includes the contribution of various cooperatives from countries around the world has also been discussed so as to inspire the co-operative developer to further strengthen and promote their branch. Countries like Spain, Kenya, Italy and Bangladesh has become successful with different co-operatives promotions as an alternative form of income generating sources of their families. They believed that this can also be done in South African community It should also address various challenges that is facing the co-operatives in most countries of South African.


      Section 2 of their discussion involved various consideration including the various mistakes that they have done in the past and what to do in order to eliminate such mistakes and that this new legislation will add value to the existing policy for the development and various growth as promulgated in co-operative act no 14 of 2005. It further recognized government participation including additional funding of various sectors to support the cooperatives. Section 2 most importantly includes the linkage of key legislative and national frameworks that has become significant part that has promoted and developed cooperatives during the last few years of their operations.


      Section 3 discussions have created four pillars to constitute the core components of cooperatives 1. All stakeholders, government and non-government are encouraged to include and share their skills in the legislation. This will also increase the supply of non- financial support of cooperatives implementation under the Cooperative Development Agency (CDA) 2. This creates a demand for the products and services through the bilateral agreement, Export Marketing and Investment Assistant (EMIA) participation. 3. The improvement and sustainability as emphasized in Section 1 that the Enterprise Network Programs should be implemented through the Cooperative Development Authorities. 4. The increase of supply and financial support services which is highly critical for the cooperatives themselves will be the one to develop their own financial system with the help of co-operative banks and other co-operatives. 


      The implementation of such legislation from section policy will be carried out three, five and ten year intervals. Reports of progress will be made through the help of generating statistics by the Office of the Registrar from different co-operatives. The results will also be evaluated by the Inter- Department and Provincial Cooperative Committee and Advisory Council. Here are the lists of Cooperatives included as of 2004 and 2005 legislation; Housing Cooperatives, Workers Cooperatives, Non Profit Socio-Cooperatives, Agricultural Cooperatives, Financial Cooperatives, Consumer Cooperatives, Transport Cooperatives and many other forms.


      Please note that the guidelines written above are just the summary of publication but If you would like to view the complete discussion and provision please visit this website; http://www.dhet.gov.za/LinkClick.aspx?fileticket=AuTvXguFqKg%3D&tabid=479&mid=1377



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