What are Consumer Cooperatives?

Consumer Co-operatives

Consumer co-operatives are responsible for providing essential commodities to the consumer at reasonable prices. They help stabilize prices, protect the consumer against artificial scarcity; supply of sub standard goods and unfair trade practices resorted to by private traders.

Importance:

1. Supply of things and services as per need:

Consumer Co-operatives have direct links with the producers and manufacturers and they directly purchase good from them thus maintaining a demand supply stable relationship.

2. Eradicates Malpractices of traders:

Co-operatives help curtail black marketing, artificial scarcity, cheating in measurements, hoarding etc.

3. Eradication of trader’s chain:

Co-operatives eliminate the middle man and thus sell good at a cheaper price.

Examples:

Warana Bazaar:

First Co-operate departmental store in rural India. It has a turnover of Rs. 41.5 crore. Its employees consist of 70% women.