THE GLOBE. TUESDAY, AUGUST 30, 1881. LORD DERBY ON CO-OPERATION.

Globe, Volume XXIII, Issue 2310, 30 August 1881, Page 3

THE GLOBE. TUESDAY, AUGUST 30, 1881. LORD DERBY ON CO-OPERATION.

At the present time when co-operation, in One form or another, is occupying so much of the public attention, it may ho ■well to see what such an eminent political economist as Lord Derby has to say in the matter. And this will bo tho ■more interesting as it will bo seen that Lord Derby, in defining the present status of co-operation in England, will, incidentally, show to the resident in Now Zealand tho peculiarity in tho growth of tho principle in his adopted conn ry. Tho remarks we allude to wore delivered at the thirteenth Annual Congress of delegates from co-operative societies in Great Britain and Ireland which sat in Juno last at Leeds, and tho inaugural address of which was given by Lord Derby. The speaker in his opening remarks called attention to one of the moat valuable of tho attributes of co-operation. “Wo have learnt,” he said, “ by a long experience of national life that many matters which, of old, it was thought essential that tho governing power should regulate, may, with safety and advantage, be left to the community ; and as we have gradually adopted, and are more and more adopting, that principle, notwithstanding some superficial appearances to the contrary, the risk of political convulsion is proportionately lessened.” In tho old days, when workmen were dissatisfied with the wages they received, they raised a political cry. At tho present time a union is formed, and the employer is fought on comparatively even terms. A second advantage of co-operation is its tendency’ to abolish dishonest practices. Too often the ordi- i nary trader may think it to bo for his own interest to pass off an inferior article as a superior one. But in cooperative societies tho buyer and tho seller are the same people, and it is evident that no man knowingly cheats himself. Moreover, the example to tho outside public is not lost, and shops must follow if they wish to keep their customers. Thirdly, where co-operation comes into practice, the system of dealing on credit dies out. Lord Derby, iu reference to these last two advantages, says pithily : —“ The first point of your charter is, I take it, ‘no adulteration/ The second, ‘no running into debt/ ” The figures given by Lord Derby show the development of co-operative institutions. The movement was commenced by a few working men in Rochdale, who found it cheaper to buy the necessaries of life wholesale and distribute them for cash amongst themselves than to purchase them from tho ordinary retail trader. Twenty years ago the co-operative societies possessed 38,000 members, with a capital of £365,000. In 1879 the number of members was over half a million, and the capital was £6,700,000. These statistics refer, of course, to co-operation for purposes of distribution. But besides this description of co-operation, there also exist two other forms of the same principle, namely, co-operation for productive purposes and co-operation in agricultural matters. Of the state in England of these branches of the practical application of the principle, Lord Derby says :—“ I presume wo may lay down that co-operation for distribution—that is, for trading—purposes is an accomplished success ; that co-operation for productive purposes, though doing well and flourishing, is, on the whole, still in the experimental stage; and that co-operation in agricultural matters is still practically untried.” Now, it is a singular fact that in New Zealand almost the reverse of this state of things obtains. Lord Derby, by certain remarks he makes, would appear to look upon co-operation in agricultural affairs as almost the crown of the co-operative edifice. As a thing to be wished for, but at present unattainable. But in Now Zealand it is the only part of the structure that has as yet been at all successfully bnilt. Co operation for distributive purposes has almost utterly failed. It has been tried several times, and tho result has never been satisfactory, and co-operation for productive purposes can hardly be said to exist. On the other hand there seems every likelihood that co-operation amongst our farmers will be a decided success. It is true that the agricultural co-operation alluded to by Lord Derby would seem to embrace the absolute tilling on co-operativo principles. But as tho mere sowing and reaping does not include the whole industry, and as our Farmers’ Co-operative Associations take cognizance of almost everything outside what we may call tho bare struggle with the soil, we may fairly claim to placo tho said associations under tho category of societies for agricultural co-operation. It is certaiuly difficult to understand why co-oporation for distributive purposes has never succeeded here. There is the same wish amongst tho public to purchase a cheap article of good quality, aud yet the method which has been found to bo eminently adapted in England to secure this end has failed in New Zealand. It is hard to see that this want of success can bo attributable to anything else than tho half-hearted efforts which have hitherto been made to introduce tho system. Co-operativo stores have boon tried in Christchurch and elsewhere, but it is acknowledged that tho management of them has not been efficient. The people themselves have not “ put their backs into the affair.” Tho matter has either been conducted in a dilettante fashion, or tho operations have been started by persons whoso motives have not been trusted. Wo cannot help thinking that if tho general public were once to take up tho matter heartily, success would attend their efforts. There is no apparent reason why it should not. In England distributive co-operation has proved so acceptable that wholesale distributive cooperation societies have been formed, associations that buy up cargoes, &c., aud sell them on co-oporativo principles to retail societies. No greater proof of the vitality of the system could bo given than this. It would indeed bo well if somo of our leading men wore to tako tho queetion up. In New Zealand tho public are too apt to lean on Government assistance, but this is a social question which luckily lies outsido tho pale of politics, and could bo handled by anyone who put his heart into it. Our politicians are full of nostrums, which they are apparently anxious to pour down tho throats of tho constituencies, but they are, iu general, remarkably careful to deal gently with certain powerful interests. Probably, however, no one who had given the questien a moments thought would deny that tho establishment of co-oporation for distributive purposes would be anything else than a boon for tho public.