Thus, cooperation means working together. So those who want to work together with some common economic objective can form a society which is termed as “co-operative society”. It is a voluntary association of persons who work together to promote their economic interest. It works on the principle of self-help as well as mutual help. The main objective is to provide support to the members. Nobody joins a cooperative society to earn profit. People come forward as a group, pool their individual resources, utilise them in the best possible manner, and derive some common benefit out of it. In the above example, all producers of milk of a village joined hands, collected the surplus milk at a common place and sold milk and milk products in the market. This was possible because of their joint effort. Individually it would not have been possible either to sell or produce any milk product in that village. They had formed a co-operative society for this purpose.
In a similar way, the consumers of a particular locality can join hands to provide goods of
their daily need and thus, form a multi state co-operative society. Now they can buy goods directly
from the producers and sell those to members at a cheaper price. Why is the price cheaper?
Because they buy goods directly from the producer and thereby the middlemen’s profit is
eliminated.
multi state cooperative society
In a similar way, the consumers of a particular locality can join hands to provide goods of
their daily need and thus, form a multi state co-operative society. Now they can buy goods directly
from the producers and sell those to members at a cheaper price. Why is the price cheaper?
Because they buy goods directly from the producer and thereby the middlemen’s profit is
eliminated.
multi state cooperative society
