Food cooperatives in the United States, unlike the more common supermarkets run by national chains, are owned by the local buyers themselves.
When local citizens pay a membership fee, they gain shopping privileges and the right to vote on a Board of Directors or run for a seat on the Board.
“Members elect the Board members, so it’s very democratic — one member, one vote,” said Elizabeth Lechleitner, spokesperson for the National Cooperative Grocers Association (NCBA Clusa), whose National Cooperative Grocers provide business services for 218 food stores in 38 states.
Food cooperative boards determine the standard of products. For example, they may codify ways to provide healthier foods instead of processed foods or sugary drinks.
The Takoma Park Silver Spring Cooperative, located in a suburb of Washington, D.C., charges a membership fee of $100, which can be paid in installments. Known for its local organic products, this cooperative also specializes in selling unique items, including horchata, a Mexican rice-based drink, and halvah, a Middle Eastern sesame seed dessert.Economic Benefits
In the United States, cooperative food stores affiliated with National Cooperative Grocers serve 1.3 million member-owners and have combined annual sales of $2.4 billion. But instead of accumulating profits, many cooperatives respond to good finances by lowering prices or investing in their communities.
Chloe Thompson, Community Engagement Manager at the Maryland cooperative, says members receive a 10% discount, issued through a monthly discount. And 40% of food cooperatives in the U.S. offer discounts based on people’s needs, according to National Cooperative Grocers. (Some cooperatives double the dollar amount of a federal benefit that subsidizes groceries for low-income Americans.)
Social Value
However, Chloe says, “the benefits of membership [in the cooperative], I believe, are deeper than just an economic discount.”
Cooperatives are expanding into rural areas of the United States and disadvantaged areas in cities, where there are fewer conventional and accessible supermarkets, places where residents may struggle with a lack of fresh food, according to Kate LaTour, Director of Government Relations at NCBA Clusa. In addition to offering healthier foods, some cooperatives promote well-being by providing nutrition and health classes in their communities, she says.
Other cooperatives sponsor neighborhood baseball teams or voter registration campaigns. Some pay any member willing to participate in community-focused projects to do so.
Some cooperatives even take on international humanitarian causes. Shortly after Russia’s large-scale invasion of Ukraine on February 24, National Cooperative Grocers joined forces with the Cooperative Development Foundation and NCBA Clusa to raise funds for the Ukrainian cooperative community.
“The real value of membership is because you love this establishment and (…) are willing to invest your equity and be an owner and participant — that keeps this establishment here,” said C.E. Pugh, CEO of National Cooperative Grocers. “Without [local member-owners], this establishment does not exist.”Source: share.america.gov