Re-imagining co-operative agency and community learning for an inclusive economy – Ilima Community

Economies and a Design Logic

Presentation to CEPD-Wits-Umalusi Seminar on Rethinking ABET and Community Education

17th April 2013

Outline of presentation

1) Premises and Conceptual Framework for Ilima Community Economies

2) AgriParks as example of value-chain centred construct of co-operative, agri-driven community economy

3) Some Developments

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School Nutrition Programme as example of Market

Examples of imagination at various scales and levels of community – small medium large

PremisesPremise 1 = a conception of society, economy and institutional systems Framing purposes for community development and learning happens within

appreciation of ideology informing design logic of life-world systems. Any avoidance of explicit stand implies affirming the default mainstream logic.

1. Status QuoSociety, community and economy (as market economy) are defined, stand and work apart in an unbalanced relationship – the economy, more specifically those who own it, all powerfulInstitutions are imbedded in, and serve an economy disconnected from, and predatory on the human and natural universe it purportedly exists to sustain Ideology, the knowledge it feeds and the institutions that generate, proliferate and regenerate it sustain this construct of relationship; false equilibria and a justifying politics are constructed and maintained => learning institutions are complicit and promote market-savant theorisation on the ideal of, and mission for public good

Institutions

institutions

2. Ideal and AssumptionsSociety, community and economy are re-defined and reconstructed to work in mutually benefiting and cross-generative logicInstitutions are more firmly embedded in, and serve a societal purpose conscious of appropriate balances in human and ecological flourishing and sustenance => ideology, knowledge and politics, as well as the organisation and functioning of the market, pursue a similar interestCurricula reformulated to address inter-institutional learning and growth, and agency is reoriented towards balanced development for a greater public good

Premise 2 – Co-operative agency for socio-economic development and Ilima conceptual framework

Rests on an awareness of shared agency for development, appropriating socio-cultural practice of ilima/letsema to modern political economy

Careful co-crafting of common purpose, activity and responsibilities

Ilima Community Economies

Premise 3 – Capabilities and implications for curriculum design and pedagogy

Sensitivity to learners as individuals and as members of communities, organisations and local enterprises

Multi-level needs, e.g. Relevant praxis-based applied literacy as basic level learning programme to

build/strengthen capabilities for mobilisation, organisation and systematic action for democratic and productive citizenship

Intermediate and advanced level programme for abakhwezeli/ Community Action Support Teams (CASTs) – consisting of local level agents of public sector institutions, development support agencies and representatives from co-operative and other civil society organisations • designed to foster integrated technical support for community action• Intended to build generic set of skills as well as develop applied-

extensions of specialisations

Organisation Development and Operations Management Governance, member relations and people management

Financial management Marketing management Information management

Sectors

AgricultureTourism

Manufacturing and Industrial productionService industries

An example of curriculum construct for Abakhwezeli/ Community Action Support Teams (CASTs)

FEEDER PLOT(s) co-owned by community members in collective/ cooperative structure, supplying agro-processing and packing facilities

Independent local producers supplying

agro-processors

AGRO-PROCESSING FACILITIES co-owned with/by communities

NURSERY - Co-operatively owned, supplying planting material to local producers Public Sector

Markets

- Schools (SNP)- Hospitals & Clinics

- Other public establishments

Private Sector

Markets

domestic and international

R&D, capacity-building and other development support by university, departments and other institutions

Financial and other economic services

Food Warehousing & Distribution

Depots

Over time a range of economic activities and developments will occur, towards expanded and holistic enhancement of local livelihoods, led in the longer term by organised, capacitated, self-representing and flourishing communities

OPERATIONAL DRIVERS FOR ILIMA COMMUNITY ECONOMIES & AGRIPARKSInformed by experimental design started at UFH –

Systematic development, cross-pollination, coordination of key elements across drivers and advocacy

3. Some developments Memorandum of Agreement signed in 2010 between Department of Rural

Development & Land Reform (DRDLR); Eastern Cape Rural Development & Agrarian Reform, Economic Development, Education, Roads & Public Works, Office of the Premier; University of Fort Hare, Agricultural Research Council, Is’baya, Eastern Cape Socio-Economic Consultative Council, Post Office

Extending collaboration with Department of Science & Technology, Rhodes EBRU around renewable energy pilot + NMMU + CSIR

DRDLR funded upgraded capacity of Alice R&D and Dutywa AgriParks (incomplete), to target starting school districts for School Nutrition Programme market; DRDLR intending to support development of AgriParks in other areas and provinces

Collaborating with Ntaba-ka-Ndoda community; + supporting Chris Hani District Municipality’s planning within revitalisation of irrigation schemes – collaborative of government at three spheres and other partners

Key objectives over first few years of programme = (1) development of physical infrastructure and R&D on appropriate technology; (2) systems development; (3) products R&D and establishment of markets; (4) organisational and capacity development for community producers and entrepreneurs; (5) consolidation of institutional support infrastructure – CASTs (conscientious, technically competent inter-institutional Community Action Support Teams)

Option 1 on relations & entitlements : Independent Cooperatives within Ilima AgriPark value-chain

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AgriPark Collective Ltd (Secondary Cooperative)

Capital operations design, development and maintenance support

Production and business operations planning and management

Quality assurance

Marketing

Communications support & management

Finance & contracts management, to include management of investment portfolios – (i) AgriPark Investment Fund – open, and (ii) Cooperative Provident Scheme – restricted to members of cooperatives

2nd level: Co-ops-Can sell to/ contract with customers in addition to AgriPark -May independently own productive infrastructure (land, equipment, etc); Ilima may assist to procure assets-Basic wage guarantee, determined against income from own sales; supported by AgriPark budget -2:1 (own:AgriPark) contribution to Cooperative Provident Fund-Personal choice of shares in AgriPark Investment Fund

1st inner level: Co-ops-No independent markets/ contracts

-No independent asset ownership, but option to buy agro-processing facility over time

-Wages set at W x 2nd level wage, where W is factor to compensate for agro-processors’ inability to interact with market + incentive for productivity

-1:1 (own:AgriPark) contribution to Cooperative Provident Fund (in wage structure; arbitrary)Personal choice of shares in AgriPark Investment Fund

3rd level: Co-ops and others-Can contract with customers outside of AgriPark

-Independent ownership of productive assets (assistance from Ilima institutions to procure)

-Earnings from AgriPark strictly per service contract

-Personal choice of shares in AgriPark Investment Fund

Vegetable Processing & Packaging Cooperatives-Democratic organization and self-leadership within AgriPark Collective Ltd.

-100% AgriPark contribution to Provident Fund for Co-op founder-members

Compost/grow medium Co-op-Sells to public and AgriPark Nursery and Vegetable Production Co-ops

Independent vegetable farmers/producers

-Sells to public and AgriPark Collective Ltd for processing

Vegetable Production Cooperatives

-Sells to public and AgriPark Collective Ltd for processing

-100% AgriPark contribution to Provident Fund for Co-op founder-members

Nursery Cooperatives-Sells to public and AgriPark vegetable production co-ops

-100% AgriPark contribution to Provident Fund for Khanya Nursery Co-op founder-members

Depot/ Food Warehousing Co-ops

-Can serve both AgriPark business and other customers

Food Transportation Co-ops-Can contract with both AgriPark and independent producers (raw produce transportation), as well as AgriPark and others for processed products’ transportation

Option 2 on relations & entitlements : Primary Cooperatives equal within Ilima AgriPark value-chain

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AgriPark Collective Ltd (Secondary Cooperative)Capital operations design, development and maintenance support

Production and business operations planning and management

Quality assurance

Marketing

Communications support & management

Finance & contracts management, to include management of investment portfolios – (i) AgriPark Investment Fund – open, and (ii) Cooperative Provident Scheme – restricted to members of cooperatives

Training and capacity-building

1st inner level: Co-ops (all elements of value-chain)

-Democratic organization and some self-leadership within AgriPark Collective Ltd.

-No independent markets/ contracts

-No independent asset ownership, but option to buy agro-procesing facility over time

-Wages equitable across all core cooperatives; differentiation only on agreed factors

-1:1 (own:AgriPark) contribution to Cooperative Provident Fund (in wage structure; arbitrary)

-Personal choice of shares in AgriPark Investment Fund

Outer level beyond core partners: Co-ops and others

-Can contract with customers outside of AgriPark

-Independent ownership of productive assets (assistance from Ilima institutions to procure)

-Earnings from AgriPark strictly per service contract

-Personal choice of shares in AgriPark Investment Fund

2nd level: Co-ops-Can sell to/ contract with customers in addition to AgriPark -Independently own productive infrastructure (land, equipment, etc); Ilima may assist to procure assets-Earnings from AgriPark strictly per service contract-2:1 (own:AgriPark) contribution to Cooperative Provident Fund-Personal choice of shares in AgriPark Investment Fund-Ilima AgriPark assists with development support

Option 3 on relations & entitlements : Value-chain units within Ilima AgriPark Cooperative

AgriPark Collective Ltd (Secondary Cooperative)Capital operations design, development and maintenance support

Production and business operations planning and management

Quality assurance

Marketing

Communications support & management

Finance & contracts management, to include management of investment portfolios – (i) AgriPark Investment Fund – open, and (ii) Cooperative Provident Scheme – restricted to members of cooperatives

Training and capacity-building

2nd level: Co-ops-Can sell to/ contract with customers in addition to AgriPark -Independently own productive infrastructure (land, equipment, etc); Ilima may assist to procure assets-Earnings from AgriPark strictly per service contract-2:1 (own:AgriPark) contribution to Cooperative Provident Fund-Personal choice of shares in AgriPark Investment Fund-Ilima AgriPark assists with development support

3rd level: Co-ops and others-Can contract with customers outside of AgriPark

-Independent ownership of productive assets (assistance from Ilima institutions to procure)

-Earnings from AgriPark strictly per service contract

-Personal choice of shares in AgriPark Investment Fund

1st inner level: Units (all elements of value-chain)

-Democratic organization and some self-leadership within AgriPark Collective Ltd.

-No independent markets/ contracts

-No independent asset ownership, but option to buy agro-procesing facility over time

-Wages equitable across all core cooperatives; differentiation only on agreed factors

-1:1 (own:AgriPark) contribution to Cooperative Provident Fund (in wage structure; arbitrary)

-Personal choice of shares in AgriPark Investment Fund

4. School nutrition programme as market Inclusion of Ilima AgriParks Programme in EC Department of Education’s Turnaround Plan

=> to promote quality nutrition (commitment to quality nutrition at affordable prices), minimise burden on educators, and promote local economic development

R&D work underway to add spinach to vegetables-soya mix product Also working to expand product range, including collaboration with eThekwini AgriPark

project on high-protein edamame snack

RDA 130g Spinach

130g Green Beans

130g Cabbage

(7-10 yrs) (in AgriPark product; not required in SNP menu)

(neither in AgriPark

product nor required by

SNP)

(in AgriPark product; on SNP menu)

Energy (kJ) 8400 2520 261.2 96.3 146.5 92Protein (g) 28 8.4 6.21 3.9 2.6 1.3

Fat (g) 66.3 19.89 2.79 0 0 0Carbohydrate (g) 317.8 95.34 6.74 5.2 10.4 5.2

Vit A (Ug RE) 700 210 380.7 4087.59 1470 54.6Calcium (mg) 800 240 44 176.8 59.8 40.3

Phosphorous (mg) 800 240 86.4 72.8 50.7 19.5

Iron (mg) 10 3 1.94 4.641 1.664 0.221

Zinc (mg) 10 3 0.68 0.988 0.468 0.117

30% RDA AgriPark dried mixed-veg and

soya product (cabbage, carrots,

onion, tomato, butternut and soya)

Comparative nutrient content per serving

School District SchoolsSNP

LearnersService

ProvidersEmployees

Manufacturers/ Wholesalers

Local Production?

Yes / No

Fort Beaufort 215 28465 2 9 1 No

Dutywa 337 105384 12 65 3 No

Totals 552 133 849 14 74 4

Supply arrangements as at 2010

UTILITARIAN JUSTIFICATION FOR ilima procurement substitution

Core AgriPark

Production-chain

Local Food Warehousing & Distribution

Fort Beaufort 32 443 120 69 271 459

Dutywa 94 404 348 200 787 1335

Totals 126 847 468 268 1 058 1 794

(Basic R2200p/mnth wage plus income from dividend)

Comparative substitute effect of Ilima AgriParks

School DistrictSNP

Enrolment

J ob Estimates from Ilima AgriPark (2011 data)

Possible supplementation

of food handlers wages

Total Jobs (created & supported)

5. Examples of Imaginations across scale:

Small to medium-scale examples: 1) Alice R&D AgriPark extending beyond core of starting cooperatives to

collaborating with Qoboqobo communities – 13 villages, supported by Ntaba-ka-Ndoda community organisation and Fort Cox agric. college

Approach from established commercial fruit farmer to buy processing service at Alice AgriPark (turn myth of “commercial farmers-best-placed-to-always-lead” on its head)

2) Dutywa AgriPark to collaborate with farmers in Dutywa and Gcuwa region once fully up and running

3) Supporting the establishment of AgriPark Research Hub at NMMU

4) Cross-provincial collaboration with eThekwini – sharing product development, systems-development and related (eThekwini group has led development of protein-rich edamame products)

Large-scale imagination (still built around aggregation of small producers and areas) = Supporting Chris Hani District Municipality’s planning for revitalisation of irrigation

schemes established during bantustan era – collaborative of government at three spheres and other partners

Proposal on developing Agro-Industrial Zone over time

Aerial view of Proposed Design for Ncorha Ilima AgriPark PrecinctThe core elements are as marked below, and the development will build incrementally over time as follows –

1)First, will be built the nursery and agro-processing facility along improved designs of the facility tested at the Fort Hare R&D AgriPark, but inclusive of grain milling plant. The construction should happen over 2013 – 2014, so that processing operations can begin from 2014.

2)While solar power will be incorporated in the construction of the agro-processing facilities, it will be strategic to introduce the piggery soon , and with it the development of the first element of the bio-energy facility – the Rhodes-developed IAPS (integrated algae pond system).

3)Refurbishment of the admin block and building of the training facility should happen soon after, as will be the business hub which can be added in the medium term, plus the beginnings of the residential element.

It is assumed that development of enabling infrastructure such as connecting tarred road will happen along AgriPark constructions