10 World’s Biggest Agriculture cooperatives
There are 10 World’s Biggest Agriculture cooperatives according to
the International Co-operative Alliance (ICA). This is an independent
/non-governmental organization whose members are all cooperatives in the world.
In this report, World Cooperative Monitor, ICA describes the rank of the
world’s largest agricultural cooperatives in 2021. Moreover, this ranking is
based on the business turnover/ income of the cooperative in the year of 2021.
Table Ranking of 10 Largest Agricultural Cooperatives in the world in 2021
|
Rank |
Name |
Origin |
Turnover/ Revenue in 2021 |
Number of Employees |
|
of cooperative |
of Cooperative |
(in Billion US Dollar) |
||
|
1 |
Nonghyup(NACF) |
South Korea |
61.17 |
27,865 |
|
2 |
ZEN-NOH |
Japan |
38.91 |
26,632 |
|
3 |
CHS inc |
USA |
38.45 |
9,941 |
|
4 |
Bay Wa |
Germany |
23.46 |
21,185 |
|
5 |
Dairy Farmers of America |
USA |
19.3 |
|
|
6 |
Land O'Lakes |
USA |
16 |
9,000 |
|
7 |
Fonterra |
New Zealand |
14.92 |
19,608 |
|
8 |
Hokuren |
Japan |
14.3 |
1,806 |
|
9 |
Copersucar SA |
Brazil |
13.88 |
637 |
|
10 |
Friesland Campina |
Netherlands |
13.6 |
22,961 |
|
Source : World Cooperative Monitor, 2023 |
||||
Brief Description of 10 World’s Biggest Agriculture Cooperatives
1. Nonghyup (NACF)
The National Agricultural Cooperative Federation (NACF) is an
alliance of several cooperatives in South Korea which was formed on August 15,
1961. In 2020, Nonghyup still became the world’s biggest agriculture
cooperative. This cooperative was originally formed as a result of the merger between Agricultural
Cooperatives in South Korea (Agricultural Cooperatives) and Agricultural Bank
(Agricultural Bank). To date, there are approximately 1,155 cooperative
members and 2.4 million representatives of farmers in South Korea generating a business turnover
of up to USD 61 billion in 2021.
2. ZEN-NOH
The National Federation of Agricultural Cooperative Associations
(Zen-Noh) is the largest agriculture cooperative in Japan and the world. It was
formed on March 30, 1972, from the merger of 2 cooperatives namely ZENHAREN (National Marketing Federation of
Agricultural Cooperative associations) and ZENKOREN (National Purchasing Federation of Agricultural Cooperative
Associations). Operationally, the cooperative’s headquarters are located in Tokyo
and also have representative/ branch offices
in several Japanese prefectures. In 2021, revenues from its business operations
amounted to the USD 38.91 billion.
Functionally, this cooperative has an important objective in
protecting the agriculture sector in Japan by helping to improve the economic
quality of the members i.e. farmers in Japan. With this institution, farmers
can get a fair price and avoid the dominance of the market by middlemen and
wholesalers that can harm farmers. Finally, with this cooperative, farmers can
carry out their agricultural business activities securely because they have
some guarantee of their market access, appropriate prices, training, and
agricultural capital.
3. Cenex Harvest State (CHS) Inc
This agricultural cooperative has a variety of agricultural
business activities (diversified global agribusiness cooperative). It was
founded in 1931 and still has its
headquarters in Inver
Grove Heights, Minnesota, the United States
with employees reaching 9,941 people. Until 2021, the total revenue (turnover)
of this cooperative reached USD 38.45 billion. Basically, the Cenex Harvest
State (CHS) is the 3rd world’s biggest agriculture cooperative in 2021.
Along with business development, this America-based cooperative
has diverse business units i.e. agriculture, energy, and marketing. In the
field of agronomy, these cooperatives assist farmers in increasing the
efficiency and effectiveness of their agricultural business activities
including agricultural technology for members such as CHY Yield Points,
providing agricultural production facilities such as seeds, fertilizers, and
agricultural pesticides. Secondly, the energy division provides fuel oil, lubricants,
propane, and biofuels as well as equipment for the energy and mining business.
Lastly, in marketing, this cooperative carries out distribution and marketing
activities of agricultural products to several companies or countries partners
in the world because this cooperative has marketing branches in various regions
in the world such as Europe, Asia Pacific, North and South America.
4. Bay Wa
BayWa Aktiengesellschaft is one of the world’s biggest agriculture
cooperatives from Germany. It was founded on January 17, 1923, and
headquartered in Munich, Germany. The cooperative grew gradually into an
agricultural commodity trading institute in Germany that has multiple unit
business.
Operationally, this institution has several business units. First,
agriculture, this cooperative’s business unit includes the sale of agricultural
products such as vegetables and fruits, agricultural machinery, and
agricultural inputs such as fertilizers, seeds, and pesticides. Secondly,
building materials, this cooperative provides building materials, construction,
and renovation of housing as well as parks. Thirdly, in the energy sector,
businesses in this area include planning, development, and construction for the
development of renewable energy such as wind and solar energy. This institution
also trades in the fields of lubricants, wood pellets, and fuel. Lastly,
agriculture digital innovation, this institution also makes several programs,
software, or applications in agriculture in meetings to increase efficiency and effectiveness in agriculture.
5. Dairy Farmers of America
This cooperative was founded in 1998 as a merger of 4 dairy and
livestock cooperatives in America, namely The Southern Region of Associated Milk Producers, Mid-America Dairymen
Inc, Milk Marketing Inc, and Western Dairymen Cooperative Inc. These
cooperatives form the base foundation of the dairy farmers in the United States
by providing various marketing, training, and technology support to members.
With a large number of cooperative memberships, many processing plants can
process and store dairy products from farmers.
Until now, its membership has reached more than 13,000 American
farmers and breeders with a business turnover of USD 19.3 billion in 2021. In
the United States, this cooperative provides benefits to its members who are
farmers and cattle breeders, namely;
1.The sharing to members from the cooperative’s profits to the
members
2.The existence of voting rights in cooperative membership
3.Competitive prices for every liter of milk produced by farmers.
4.There is an insurance program for its employees related to the
business and health of workers and members.
In the downstream sector, this cooperative develops a modern
marketing strategy like a private company in the United States. They develop
various processed dairy products with their own brands such as Borden Cheese, BreakStone Butter, Cache Valley
Cheese, and Dairy Maid Dairy.
6. Land O Lakes
Land O Lakes is an agricultural cooperative based in Arden Hills,
Minnesota, United States. Its business focuses on developing dairy farming. Established on July 8, 1921, this
cooperative has around 1,959 official members of cattle breeders, 759
unofficial members, and 9,000 employees. Many of the products produced by this
cooperative include cheese, butter, butter, chocolate, eggs, milk, and animal
feed. In 2021, the turnover of this cooperative business reached USD 16 billion.
The cooperative annually controls the milk produced by the
farmers. Its production is up to 12 billion pounds per year. With abundant
quantities of raw materials, this cooperative became one of the largest
producers of butter and cheese in the United States. With this power, its role
has an impact on farmers and breeders, especially in terms of providing markets
and capital for breeders.
7. Fonterra Co-operative Group Limited (Fonterra)
This dairy cooperative originates from New Zealand which was
established on October 16, 2001. This cooperative is the result of the merger
of the two largest cooperatives in New Zealand, between the New Zealand Dairy Group and the Kiwi Cooperatives Dairy. With a membership of 10,500 breeders
and production of 2 billion liters of fresh milk each year, this cooperative is
able to generate revenues of USD 14.92 billion in 2021. The cooperative has
exported some products to several countries with
diverse products not only milk but also cheese,
butter, yogurt, and ice cream.
8. Hokuren Federation of Agriculture Cooperative
This cooperative is based in Hokkaido which helps Japanese farmers
improve the economic life of their members. This cooperative helps Japanese
farmers in marketing products, capital assistance, and agricultural training.
The various products produced by this cooperative include Japanese soybeans
(edamame), various fruit products, vegetables, eggs, rice, yogurt, and cow’s
milk. Financially, in 2021, total business turnover of this cooperative reached
USD 14.3 billion
9. Copersucar SA
Copersucar is a Brazilian sugar and ethanol cooperative founded in
1959 and strives to
feed 525 million people a year in more than 70 countries. In terms of its
business, this cooperative has some products including Sugar, Ethanol, CBios,
Logistics, Natural Gas. Operationally the Copersucar still has a main office in São Paulo, Brazil. Along with business
development, Copersucar has 48 operating mills in the states spreading across São Paulo, Goiás, Paraná and Minas Gerais. Financially, in 2021, Copersucar gained
revenue or turnover reaching USD 13.88 billion.
10. FrieslandCampina
This is one of the largest dairy cooperatives in Europe, which has
marketed its products to several countries. This cooperative sells diversified milk-based
products and has distributed in some countries popular with the “Frisian Flag” Brand.
Originally, this cooperative was founded in 2008 as a result of
the merger between 2 cooperatives, namely Royal
Friesland and Campina in
December. Until now, the membership of this cooperative is very large, reaching
17,413 farmers which manage 11,476 dairy farms spread across Germany,
Netherlands, and Belgium. Some of the product brands of this cooperative are
Alaska, Black and White, Bonnet Rouge, Frisiand Flag, and various other brands.
Until 2021, based on business performance, the cooperative’s turnover reached
USD 13.6 billion.
The Summary of 10 World’s Biggest Agriculture Cooperatives in 2021
BIbliography Article 10 World’s Biggest Agriculture Cooperatives:
World Cooperative Monitor 2023. International Cooperative
Alliance. Accessed through https://monitor.coop/en/media/library/research-and-reviews/world-cooperative-monitor-2022
Arla Food Amba. 2021. Annual Report 2019. Accessed in https://www.arla.com/
Baywa re. 2021.About Baywa Re. Accessed in https://www.baywa-re.com/en/
CHSINC. 2021. About CHS. Accessed in https://www.chsinc.com/about-chs
Fonterra. 2021. About Fonterra. Accessed in https://www.fonterra.com/au/en/about.html
Hokuren. 2021. Accessed in https://www.hokuren.or.jp/
Wikipedia. 2021.National Agricultural Cooperative Federation.
Accessed in https://en.wikipedia.org/wiki/National_Agricultural_Cooperative_Federation
Zennoh. 2021. The JA Group. Accessed in https://www.zennoh.or.jp/english/
Land O’ Lakes. 2021. Our Company. Access in https://www.landolakes.com/