Category Archives: Well-Being

IOTA: A cry of pain and hope

IOTA: A cry of pain and hope

René Mendoza Vidaurre[1]

Hurricane Iota

The nails creaked and the rooves of the homes thundered

The wind howled like lightening trapped among the trees

Rivers overflowed and washed away even the gasps of the most incredulous

A cry emerged from the mouth of the soil and the impoverished people

It is a prolonged cry of pain and hope.

 

Hurricanes ETA and IOTA arrived in Central America just a few days apart, one behind the other. 2020 set a record of 30 tropical storms, 12 of them hurricanes. In this article we sketch the effects of the hurricanes, their causes, we argue in favor of aid that helps and we look for opportunity in the midst of adversity.

1.     Impact of hurricanes

They have two sides. In their passing they destroy homes and causes landslides, while at the same time they revive dozens of water sources. They pulverize the work of an entire life of many families, while at the same time they are a window for designing another path. They topple bridges clogged with garbage and at the same time clean rivers and creeks. They impose desolate areas for some days, areas that in a few days revive like never before. They fell trees and plantains in farms and forests, while new plants and young trees break through. They beat the foundations of families and religious fanaticism that hope that some supernatural being might protect them, while at the same time awaken interest in collective actions – people cleaning bridges in the midst of the rainfall to keep the river from destroying them, people helping their neighbor so their roof does not sprout wings, institutions supporting the citizenry to get to safety, peasants with picks in hand going to the cry of the Peñas Blancas Cliffs, El Puyú mountain, and people smothered by the landslide in the community of San Martin and Mulukukú (Nicaragua).

2.     Causes

The impact of hurricanes leaves us stunned, moments in which we reflect and understand that hurricanes have natural and human causes. Hurricanes are formed in hot seasons between June and November in template ocean waters like the Atlantic Ocean; when the temperature reaches 270 Centigrade the warm waters evaporate, that heat gets transferred to the air, with that tons of water rise to the atmosphere each hour and generate an immense amount of energy; in the altitude that vapor is condensed into clouds and releases its heat, raising the temperature of the air around it several degrees; as that air is heated more vapor is condensed producing winds that raise the clouds up to 15 kilometers high where, due to the rotation of the earth, they form circles, giving birth to a hurricane. Note the increase in the temperature is the basis for hurricanes, that warming is produced by human actions, “by the accumulation of carbon in the atmosphere, a product of human activities such as the use of carbon, oil and gas, and the felling and burning of forests.”

Let us give some examples from Central America. Monocropping and extensive ranching deforest, contribute to global warming and reinforce the effects of hurricanes, the soil hardens because of the lack of trees, they keep water from entering the soil, make the water run above ground and add to the creeks and rivers; this monocropping system is promoted by commercial enterprises of agrochemicals, financial institutions, international buyers and certifiers, and by a growing number of peasant families who were expelled by the capital of the valleys to the mountains in the last 150 years. Religious beliefs turn impoverished people into beings dependent on a God who writes their destiny, make them pray or worship without actions, deeds that paralyze people who could organize themselves better and be preventive if they depended on themselves and their collective capacities. There are cooperatives and churches that in the face of hurricanes do not even call on their members to mobilize to benefit their communities. The intellectual class, people with university studies, coopted from the 1990s by the soft side and harsh side of capitalism, work for donors and capital, and not for the communities, with which hurricanes are not explained but seen as something natural and external, like a “punishment” and that some “god will stop.” It is not a matter of hiding “this country of my soul so that no one else might beat it”, it is that we are part of the destruction and the construction of that “my soul.”

3.     The aid that does not help

This inaction and this hijacked thinking reinforces the negative effects of hurricanes and even makes the aid that arrives not be beneficial. If they bring in imported products to a community, let´s say rice or powdered milk, the small producers will not be able to sell their beans nor the milk from their cows, the small stores already affected by the hurricanes will lose their customers, which could make the community lose their storefront. If they bring in potato seed so that they leave behind their native seed and become dependent on imported seed, is that also aid? We say potato seed, but the same is true for the marsellesa variety of coffee, vegetables or other products.

It is known that aid is channeled under the logic of “trickle down”, most is left in the higher parts and less gets down to the lower parts, while hierarchical structures and social asymmetries intensify. Those who donate and those who mediate donations, are they aware of the consequences of their actions, eroding community efforts?

4.     The aid that does help

One of the aids that would make a difference in favor of rural populations is quit hurting them and undertaking more humanizing policies and actions. Financial and commercial institutions should change their policies: providing loans with interest rates under 10%, no longer for monocropping systems nor for extensive ranching, but for diversified systems. Not importing more agrochemicals like glyphosate, a carcinogen prohibited in countries in Europe and some states in the United States, but instead promoting sustainable agriculture. International enterprises that buy peasant products should buy from grassroots organizations that are democratic, transparent and that distribute their surplus, because buying from them without ensuring that they comply with these principles is to reinforce hurricanes. Intellectuals should recover their autonomy and turn their focus on peasant families, producing ideas and innovations along with them. Universities should quit only teaching the monocropping system and the neoliberal logic that is ruining our planet, and allow peasant and indigenous rationalities, like sustainable agriculture and small enterprises, to enter the classroom, and that fields become “open classrooms”. Grassroots organizations can organize the sale of beans to prevent scarcity in these crucial months, they can promote high quality varieties to replace the coffee and cacao plants damaged by the hurricane, and they can study the “new” soil and reorganize their farms; in this the global chain of actors allied with the cooperatives can support them with innovative financial modalities that strengthen community efforts. This aid can help the communities that are organized to have economic autonomy and self-determination.

5.     Moment for rethinking our ideas and actions

There will continue to be hurricanes. They serve to revitalize nature, cool the planet and clean contaminated air. They can also be an opportunity for us to rethink our actions.

Their effects can be more benevolent under the following conditions. If in agrarian landscapes diversified and ecological systems prevail. If the logic of life prevails over the logic of money. If grassroots organizations energize communities with more gardens, more diversified systems, with their social fund invested in actions that no one else invests in, with community stores that not just bring in products from outside but also channel products from within and between communities… If schools and churches, far from indoctrinating, teach their members to think. If enterprises and international organizations look not just at products but also the people who produce them and the social networks that make it possible for them to emerge…

If we people understand that hurricanes are caused by natural and social causes, and that their effects can be more or less tragic depending on our actions, maybe we could make, through better thought-out actions and through grassroots organizations (cooperatives, community stores, associations) there be less hurricanes, and when they do exist their effects be more benevolent. If this happens, we could make their cry be more of “hope” than of “pain.” Before then, are we listening to that cry?

[1] Rene has a PhD in development studies, is a collaborator with the Winds of Peace Foundation (http://peacewinds.org/research/), an associate researcher with the IOB- University of Antwerp (Belgium) and a member of the Coserpross cooperative (http://coserpross.org/es/home/). rmvidaurre@gmail.com

Reinvention of social enterprises from Nicaragua, Honduras and Guatemala

Reinvention of social enterprises from Nicaragua, Honduras and Guatemala

[to download pdf version]

René Mendoza Vidaurre[1]

Off the rails

Rosita spent days thinking, until one day she said to her Mother: I want to be a doctor, will you let me go study?

Ah, my daughter, your Dad is going to get upset, María responded. That night María told her husband José that Rosita wanted to study medicine. He got upset. What? Women are for the kitchen! Who stuck those ideas in her head?

María cried the entire night.

In the morning José left to talk to his patron. He asked permission for his daughter to study. The patron reacting angrily, What? Women don´t have the head for those things. They are here to give birth to peons. Send her to me to work, the devil got into her for being lazy!

At midnight José told María what his patron has said. If you send her, she is going to be his, for a time, pronounced María between sobs.

Rosita heard that whispering. She remembered her days in school, her grandmother and her “stolen” friends. Am I myself? Am I crazy? she asked herself. There has to be another way to live, she responded and prepared her bag. She left a note and took off. The note said, “I am leaving alone with my thoughts.”

 

In this story appears the colonial structure where it is thought that a peasant woman cannot think (“does not have the head for that”), the patriarchal structure where is it believed that women cannot make decisions, and the capitalistic structure where women are valued if they reproduce the labor force. People move about in this triad structure, like trains on their rails. Rosita, nevertheless, detects that structure, has aspirations, achieves the support of her mother and her father, leaves, not “stolen”, secretly “alone with her thoughts”. A social enterprise is like Rosita, it thinks, acts, ponders and begins a different path. What characteristics do these types of organizations have who go “off the rails?” How are they able to continue along this different path over time?

Rosita can begin a different path, but with the passage of time abandon her thoughts and end up acting like her parents and the patron, or she can mature her “thoughts” of being different. Something similar happens with social enterprises (cooperatives, community stores and roasters). Here we begin identifying these structures that make them de-volve, and then we delve into the rural social enterprises that are going deeper along a different path.

1.    Introduction

The domination triad of colonial and patriarchal capitalism rests on the assumption that the values of a society are considered universal, and assume progress as a lineal evolution where race, capital and the rod (authoritarianism) are “the rails.” We base this theoretical introduction on Quijano, Polanyi, Federici, and Lucas dos Santos and Banerjee.

Following Quijano (1992), separate from the defeat of political colonialism, a “colonization of the imagination of the dominated” persists. How did this occur?

This was the product, in the beginning, of systematic repression, not just the repression of specific beliefs, ideas, images, symbols or knowledge that did not serve global colonial domination. The repression fell, above all, on the forms of knowing, producing knowledge,  perspectives, images and systems of images, symbols, forms of meaning; on resources, patterns and instruments of formalized and objectified intellectual or visual expression. It was followed by the imposition of the use of patterns of expression appropriate to those who were dominant, as well as their beliefs and images referring to the supernatural, which served not just to block the cultural production of the dominated, but also as a means of social and cultural control, when the immediate repression ceased to be constant and systematic (1992:12)

The “colonialization of the imagination” happens when a culture is repressed and replaced by another through systematic violence. In Figure 1 we lay out the detail of what Quijano proposes.

In time that “universal cultural model” became an aspiration of other cultures, particularly the “illiterate peasant subculture, condemned to oral expression” (13), who were left without a form of intellectual expression.

In this process, European culture appears as rational, belonging to “actors”, while all other cultures it is assumed are not rational, are inferior, “objects” of study. Correspondingly, in harmony with Saint-Simon, the idea emerged of an organic society, where one part of the body  is in charge of the others without dispensing with them, the brain in charge of the arms. So, in society the owners are the brains and the workers are the arms. It is an image of society as a closed and hierarchical structure, where each part is subject to the totality. There history is conceived as an ongoing revolution from the primitive to the civilized, from savagery to the rational, from pre-capitalism to capitalism.

This Eurocentrism, according to Quijano (2014), is the specific logic of colonialism. The notion of race assumes that biologically some are inferior, and from capitalism the notion of the division of labor is reinforced reciprocally with race, for example that the workers by their inferiority are not worthy of wages, and the peasants should not aspire to be managers. That is where the Eurocentric myth originates of the “evolutionist perspective, of movement and unilateral and unidirectional change of human history.” (Quijano, 2014: 800).

Polanyi (2001, published for the first time in 1944) described this transformation of pre-industrial to industrial Europe in the XIX and XX centuries, the passage from a system of dispossession which led Europe from a “society with markets” to a “society of markets”, which led Germany, Portugal, Spain, Japan and Italy to fascist authoritarianism, and to the Second World War. Polanyi detected in addition forms of capitalization that were globalizing, which has been called neoliberalism, with the dominion of the force (laws and justice) of the globalizing market. Fifty years later, Stiglitz (2001:vii), rereading Polanyi, said in the prologue: “Due to the fact that the transformation of European civilization is analogous to the transformation that developing countries face throughout the world today, at times it seems as if Polanyi is speaking directly to the current situation.”

Stiglitz is correct in his observation but does not go far enough. This capitalism is colonial in the countries of the South, made worse than in the situation of Europe itself, expressed – without distinction as to political, religious or market leanings – in authoritarian structures mediated by the notion of race.

This colonial capitalism is also patriarchal. Federici (2010), studying capitalism from a feminist perspective, coincides with Marx in that primitive accumulation is salaried work separated from the means of production, she also understands it as separation from production by the market, while the reproduction of life is feminized and women are subjected to men for family sustenance. She found in the XVI and XVII centuries that capitalism caused hunger by the labor force, and that the belief was that the wealth of a nation consisted in having abundant salaried people, which is why the State and the Church, using violence, imposed witch hunting criminalizing birth control and controlling the female body, the uterus, to increase that labor force. “If in the Middle ages women had been able to use different contraceptive methods and had exercised an indisputable control over the birthing process, starting now their uteruses were transformed into political territory, controlled by men and the State: procreation was directly placed at the service of capitalist accumulation” (Federici, 2010: 138-139).

In the story at the beginning of the chapter, the patron repeats this rule of primitive accumulation, “those women are for producing peons”, and the father confirms that “women are for the kitchen.” If only 20% of land owners are women in Latin America, they are easily considered to be “arms” or a “rib”. In this way, race, capital and uterus are the rails of colonial and patriarchal capitalism, which we try to synthesize in Figure 2.

Lucas dos Santos and Banerjee (2019), from a framework of “economic colonialism” in line with Quijano (1992), observe how social enterprises are run and measured under the parameters of that framework. So, some are seen as advanced and others as backward. The authors detect five deficiencies in the functioning of social enterprises, see Table 1.

 

Table 1. Conception of social enterprises
Deficiencies What these deficiencies ignore Assumptions
1. Concern about the technical aspect and their performance Economic democracy goes with different community rationalities, not just performance with predefined results Collective innovation is replaced by quick technical responses; collective solutions take time.
2. Under-representation of subordinate people in decision making processes A broad perspective should include subordinated groups, whose voices should not be interpreted nor edited Subordinate groups have different conditions and meanings to negotiate
3. Vision of pacifist civil society focused on organization Voices, whispers, and silences express participation; principles of distribution, reciprocity and family maintenance. Minorities do not have voice in social enterprises; markets shape the economy in the social and political order.
4. No attention to gender issues Role of women in reciprocity, distribution and family maintenance should appear in debates. More women participate in social enterprises, but theoretical debates with a feminist perspective are scarce.
5. Non problematization of the political and economic dimension Economic autonomy, publc voice and visibility, unique solutions and protection networks in alternative arenas. Alternative economies are defined by economic colonialism. Challenge of decolonializing social enterprises.
Source: based on Lucas dos Santos and Banerjee (2019)

Lucas dos Santos and Banerjee (2019) assume that promoting economic democracy in order to overcome “economic colonialism” requires addressing these five deficiencies. Cutting across these deficiencies is the idea of the market shaping social enterprises, without the perspectives of society having any importance. The authors insist that the voices of subordinate groups with their different rationalities should be made visible, even though these processes take time, and they question whether diverse and alternatives economies can be decolonialized.

2.    Cooptation of social enterprises

Cooperatives were born from the womb of colonial countries and during the expansion of industrial capitalism, but in opposition to that system. That strength of “swimming against the current”, nevertheless, devolved through almost two centuries of history; today it is difficult to distinguish a cooperative from a private enterprise, to such an extent that in France they call it “cooperative capitalism” (Georges and Pascal, 2009). The word “enterprise” in its identifying definition entered for the first time in 1995 in the Congress of the International Cooperative Alliance, in the crest of the world rise of neoliberalism.

This colonial and patriarchal capitalism is reproduced by the social enterprises themselves. The deficiencies that Lucas dos Santos and Banerjee (2019) observe are taken on, for example, in the rural social enterprises in Central America, which does not lack any of them. The economic successes are emphasized without distributing surpluses, decisions are centralized without being transparent with information, are controlled by the market and technocracy, their actions and decisions are depoliticized, they exclude youth, women and workers without land. Figure 3 shows this structure that moves like one cogwheel crushing any option that goes off “the rails.”

Social enterprises are considered “the third sector”, alongside the State and the market, which is why it is expected that they might be a real counterweight, being democratic and equitable. This tends not to happen; social enterprises reproduce the hierarchical structures of the State and the market. The organizational chart of organizations has the assembly as their highest decision-making authority, but usually the assembly is only a formality. Technocratic elites in the organizations (social enterprises, business or sports associations, churches) became hierarchical, and the only gateway for the members to markets, states and gods. Markets see the social enterprise as a means to increase volume or to carry out imported projects. These elites see themselves as the “brain” embedded in the “strong man”, moving about in “black masses” (collusion among elites), from where they see the peasantry as “the arm,” “illiterate people who do not think”, that “the more brutish they are the more they produce.”  For their part, aid organizations that tend to accompany them, even though bathed in discourses about democracy, are also hierarchical, reluctant to study the social enterprises, and inebriated with the technocratic belief that “they already know” the problems and solutions for the social enterprises, tacitly taking on the colonial logic that sees the social enterprises as the reflection of their past.

Most social enterprises are constituted by the State. It is assumed that forming a cooperative is a “matter of legalizing them”, promising them credit, land or some project; it is like getting married first before falling in love. This was true for the boom of cooperatives in Nicaragua in the 1980s, those of Venezuela in the first decade of the current millennium, or the rural banks in Honduras in the second decade of the current millennium. They are organized around mono-cropping systems or credit services. They are structures that see themselves only as rational businesses and individuals, neglect in practice their associative side and collective actions. They are formed under the idea that “a cooperative is for those who have” (land, coffee, sugar cane or cacao), and exclude those who “do not have anything” (women, youth and workers without land). They are organizations that are desperate to grow economically, which is why they do not distribute profits and intensify the hundred-year rule of “peasants are only for providing raw materials”.

These social enterprises have geographically dispersed membership and offices in the cities. They do not try to build trust among their membership as the basis for any action. The more they depend on markets and international aid agencies, the more they stick to formal aspects: contracts, audits, meeting minutes, and bids, disconnected from the processes of their membership. 20% of their members are women, most of them included as a formality. This low percentage is coherent with organizations dedicated to raw materials, where men are kings, while women are restricted to the kitchen and the reproduction of the labor force. The families themselves of the members are an expression of these hierarchical structures: husband/father centralizes decision making, and the family embraces the mono-cropping system. This social order is maintained even by violence, because social enterprises think that it is their duty to generate profits. The rule that governs them is “those who have, save yourselves”, at the cost of human lives and nature; it is the same rule of capitalism.

These three elements reveal the strength of colonial and patriarchal capitalism, coopting social enterprises, and using them as a means of dispossession. Table 2, reading it in a vertical way, shows what colonialism, capitalism and patriarchy are in the social enterprises, an expression of control and dependency, the superiority/inferiority duality that in the long term justifies violence. Meanwhile, reading it horizontally, it shows how embedded these three systems are: being guided by the patron, the market and men; the elite, the market and intelligent men; letting themselves be carried away by the oligarchy, the market and formality; mono-cropping, physical work and not processing products; predominance of discarding instead of change. They are intellectual sounding boards against the members, but in their name and through their own organizations. In the face of this, the elites of the market, the State and international aid organizations do not want to know whether the social enterprises are democratic, whether they distribute their profits, whether they are transparent, whether they have environmental sustainability, whether the voice of the members counts, whether subordinated groups are included…They are interested in the fact that the market rules in order to have profitable partners. The social enterprises with larger transaction volume and more working capital are praised and considered “advanced”.

 

Table 2. The triad reproduced by social enterprises
Colonialism Capitalism Patriarchy
Peasants dream about being a patron: ordering, exploiting people and having money. Cooperative wants to be a business and an actor in the market A couple wants a son who “wields a machete” and not a daughter who “tends the hearth”.
Elites who see themselves as “the brain”: priest, sacristan and bell ringer all in one. Member: “waits for directions from above” The market knows more, dictates justice and gives value to products and organizations Head of the family (law, judge and jury); women in the kitchen, women for re-producing; cooperative is for men
Formal democracy in the assembly conceals control of the oligarchy There are no decisions to make, just working and being an enterprise. Membership of women is a formality, just to meet a requirement.
Cooperative is for mono-cropping, anchor for elites, divorced from the land Peasants have comparative advantages with a crop that requires physical labor. If peasants are only for raw materials, then there is no space for women who process and sell processed goods.
Strategy of change: I remove you to take your place. Take land away from peasant to give them a job. Exchange your wife for someone younger.
Source: author, based on accompaniment of organizations in Central America

 

Can social enterprises be decolonialized? We argue that they can, if the structures in which they operate change. This we will see in the following sections.

3.    Social enterprises that go “off the rails”

“Put ourselves in the shoes of others” is advised to see the world from the perspective of other people. To do so, before that, we need to “take off the shoes we are wearing.”

3.1  Case studies

In each case we include the specific context, history of the organization and its community, distinctive rules and organization.

3.1.1       Nicaragua and organizations in synergy

From several cases with similar processes, we highlight one community with 2 cooperatives, 2 community stores and 2 community roasters.

The context is a rural community 260 kms from the capital in the municipality of San Juan del Río Coco, which in the last 30 years has become dependent on coffee and on one cooperative and conventional mediation for selling that coffee.The elite of that cooperative, like the intermediaries, used to hide information from the members, took the surplus, and the president has held the post for more than 30 years. This cooperative was worse than the intermediaries in that he manipulated the contributions of the members and collected coffee in the municipal capital (not in the community, like intermediaries do). The peasants reproduced the imposed rules: only producing raw materials, staying within their “piñuela fence”, money moves everything, and being concerned only about themselves –“those who have, save yourselves”.

As a result, the members where unaware of what happened to their coffee once it left their farms, more than 85% of the added value of coffee was captured outside of the community, they left the worst coffee for their own consumption, and lost control over their cooperatives. In a parallel fashion, groups of alcoholics and the abuse of women increased, while children without fathers continued to increase. Desperation spread: the producers more and more wanted to earn quick money, work less and went more into debt. The idea of “thinking big” controlled them, but understood as having greater volume, size (i.e. more members), capital (having a loan portfolio without concern about debt), and physical investment, at the cost of nature and people´s lives.

In the face of this situation, different groups reflected on their realities based on the question what would be opposed to the dominant cooperative model? They responded: depending on our own resources, members coming from just one community, and rotating leadership, more women and youth as members, working on different products and processing them, leaving the best for their own consumption, operating the entire year and not just during the coffee season, being guided by rules collectively agreed upon, distributing profits and being transparent. Correspondingly, one group organized a new cooperative, and another group, two community stores and coffee roasters.

The cooperative collected the coffee harvest in the community, got involved in credit and trade in beans, and in alliance with another enterprise, grew cardamom as a medicinal and agro-forestry plant with demand outside and inside the country. Their financial basis came from the contributions of their membership, and from a loan through a triangulated agreement between a cooperative with a dry mill and export services, an international financial foundation, and the cooperative itself; the first processes and looks for buyers, the second provides credit and the third ensured quality coffee. Visits of board members to the members of the cooperative increased, as did their informational transparency and the distribution of profits, thus recovering the best rules of cooperativism (see Box 1). Slowly they are improving endogenous institutions of aid, like sharecropping with beans; they are recreating rules of commercial mediation, instead of “I finance you and you sell me the harvest”, “we finance you, we sell your harvest, and then we distribute the profits.”

The community stores and roasters provide fair prices and fair weighing  for products and services that they offer. The stores, in addition to conventional products, buy and sell products from the community, and promote group initiatives: e.g. they finance ingredients for bread-making for one group, they buy their bread to resell it. The basis of these social enterprises is also a form of triangulation: shareholders from the community, shareholders from outside the community and owners of the building who administer those services. Even though shareholders are mentioned, and the word “share” comes from Corporations (Inc), the stores and roasters seek to be democratic and equitable: see Box 2 with the principal rules.

The weight of women and youth is growing in these social enterprises and in initiatives linked to them, like the processing and trade of products. These social enterprises are  becoming a source of credit and jobs for the shareholders themselves (e.g. rotation in the role of supervision and distributing), and spaces where they learn accounting, social business administration, written culture (recording data, taking notes and analyzing them), organization of initiatives and correcting rules that help people in their communities. Concerning the latter point, for example, selling products on credit that does not imply getting the family of the customer into debt, distinguishing between a collective asset (the store or roaster) and an individual asset (resource that belongs to a person), which allows administering another´s asset without squandering it, promoting collective innovations like raising chickens, bread-making, sewing. People want to contribute resources if they know where their resource is going, if they receive profits, and if these enterprises benefit the community.

Seen in its entirety, that authoritarian cooperative, even though at the beginning more so because its members did not desert it, joined together to contribute to the community in road improvement and visiting some of their members. The new cooperative stands out from the old model of cooperative, and feels pressure from the community stores and roasters who are scaling up based on their own resources. This indirect interaction (see Figure 4) is pressuring them to improve their democracy, transparency and equity. Said figuratively, instead of directly correcting the twisted tree, planting other trees, which combining sun and wind, slowly correct the twisted tree (authoritarian cooperative). “Thinking big”, in this sense, is multiplying organizations in the community around actions that break the curse of “only raw materials” and “we always need a patron”. The objective is not money but energizing the community.

When a social enterprise opens up a new path to be collective action, people take that path, learn it, and have the opportunity to catalyze their own changes.

3.1.2       Honduras and community organizations

 

Table 3. Events in the community
1975 Los Encinos Peasant Store
1996 Alcoholics Anonymous (AA)
1999 Juan Bautista Community Store
1997-2003 Introduction of vegetables (FIA: Honduran Foundation for Agricultural Research)
2003 APRHOFI: Intibucá Association of Vegetable and Fruit Producers
2003 Inclusion of Los Encinos Store in the COMAL Network
2010 Introduction of irrigation systems (USAID)
2011 EMATE: Los Encinos Weaving Craft Enterprise
2011 Recovery of APRHOFI
2012 Introduction of ecological agriculture
2012 ESMACOL: Lenca Community Alternative Multiple Service Enterprise. (7 Stores are the owners of Esmacol)
2016 Introduction of greenhouses

In contrast to Nicaragua, the experience of Honduras is a community that organizes, expands outward based on a community store that emerged in the 1970s, and aims for the local and provincial market. It is the indigenous community of Encimos in the province of Intibucá, 115 kms from the capital.

The 1960s and 1970s were marked by changes in the social doctrine of the Catholic Church with the Second Vatican Council (1962), through which radio schools came into the rural area that taught people how to read and write and encouraged people to organize, and by the Alliance for Progress from the United States, to prevent infection from the Cuban revolution, pushing governments to carry out certain reforms to maintain control over the peasantry; in this way the National Association of Peasants of Honduras (ANACH) emerged, and the National Union of Peasants (UNC).

It was in those years that the people, harassed by large landowners and the Police, grabbed on to religion and liquor, one group visioned “bringing the store from the city to their community,” they formed the first store in 1975 and the second in 1999. Afterwards, international aid introduced technology into vegetables, created APROHOFI (business that marketed vegetables), and included the two stores in the COMAL Network, with rules and control from outside the community. It is in the decade of 2010 that the community groups scale up: they established their stores, formed EMATE in weaving, assimilated ecological agriculture and irrigation systems, took control over and corrected the rules of APROHOFI, and along with stores from other communities, co-governed ESMACOL. See Table 3.

Figure 5 shows the network in its entirety. The 3 organizations become a reference point in the community. They rescue APROHOFI from poor management; they consolidate it with governance from the community. ESMACOL, after 7 years, continues to be weak, like 5 of the 7 stores; co-governance with weak stores makes it difficult for ESMACOL to improve. A lesson that is emerging is that social enterprises tend to improve if the governance and rules come from the community itself.

What is described is the expression of a virtuous circle between technological change, markets, organization and finances: see Figure 6, supported by the image of a 4 layered onion. The organizations (stores, distributor, seller, weavings), the introduction of potatoes and vegetables, and investments in irrigation systems and greenhouses, reveals that there is an interaction between the technological, social, economic, cultural and spiritual. In other words, new crops and greater technological productivity implies more social cooperation between families, which generates economic costs and income, requires changes in the cultural sphere to the extent that agriculture intensifies and grapples with markets, which has repercussions on the spiritual-religious life of families, and this in turn on the technology…

What explains this circular process that began 45 years ago? First, the idea of “getting closer to the market” was a powerful vision within a context of political tensions and religious opening in the rural areas, a vision that assumed that the peasantry was valuable and could organize a store. A vision that later is made a reality on the basis of their own resources, learning each month to add and subtract what is bought and sold in the store, in spite of the fact that most of them did not know how to read. That vision and passion for the store to continue has accompanied them since that time.

Second, there was success with the rules for starting the store. Each member contributes 1500 Lempiras to their peasant store in January of each year, and with that they receive the equivalent of 100% of that contribution as earnings in December of each year. If a member contributes more than 1500 Lempiras, they receive 20% of that amount as earnings; that 20% continues being a greater benefit than saving it in a bank. The members get in credit the equivalent of up to twice their minimum contribution, in other words, up to 3,000 Lempiras; if the person is not able to pay in the annual term, the store is paid with the 3,000 of the distribution of profits-contribution. The stores offer products at prices slightly below market prices, while the salary of the administrator of the store is 30% of gross profits, which is why the administrator is incentivized to sell more, as the population is incentivized to make their purchases in the store. Box 3 lists the principal rules of the store and the other social enterprises.

Third, like many communities, in Encinos a good number of youth fell into alcoholism, putting the store itself at risk. The school teacher, Jenny Maraslago, saw this fact and helped to create the conditions for change. This is how Bernardo Gonzales remembers it: “In 1996 the teacher said, `such intelligent youth, it makes me sad to find them in the gutters.’ So she brought in the rules of AA; and introduced to us a friend from AA. Encouraged by my older brother, we immediately began to meet, and look, we quit getting drunk, everything changed that day.” 25 years later we found those youth, no longer in the gutters, but leading organizations. In 1975 they woke up to the possibility of bringing a store to the community, and in 1996 the rules of AA of not drinking liquor for 24 renewable hours showed them the path to take care of their community.

These three changes – vision, rules and awakening – contributed to creating the conditions so that in the years following Encinos would multiply their organizations and change their own way of farm production. After several decades of traditional agriculture, that hundred-year-old institution of “this is how I have always planted and how I always will”, gave way to “planting in furrows”, and later to ecological agriculture, and then to including greenhouse systems. They are mechanisms of identifying and applying the rules of each organization and nature itself, along with their organs taking up their respective roles, which led them to keeping just one person from playing the roles of “priest, sacristan and bell ringer”, and creating communities beyond the geographic space of Encinos.  And in the opposite direction, every time that external actors consider and have an agenda foreign to that of the communities, initiatives like ESMACOL take more time to be sustainable and useful for the communities.

3.1.3       Guatemala and ecological agriculture which transcends

In Guatemala, a mostly indigenous country, a cooperative cultivates a transnational relationship and social cohesion with its members and organic agriculture. It is the cooperative of La Voz in the municipality of San Juan La Laguna, in the Province of Sololá, founded in 1979.

For decades they have experienced a context of discrimination from the people of San Pedro (non-indigenous from the neighboring town), of dispossession of their best land. Also, on the part of the Chalet owners, foreigners and non indigenous who took over the shores of Atitlan, one of the 7 wonders of the world, and built their chalets. In this context, and when organizing themselves under military dictatorships sounded like communism, a group of people understood that if they did not organize, they would die along with their relatives. They formed a cooperative and after suffering several attacks, one of them by the Police themselves, they turned themselves into an organic coffee cooperative, with a collective wet mill, even though with productive yields in weight equivalent to 60% of the conventional coffee of the San Pedro coffee growers. The first key to their persistence was their social cohesion as a group with a high rotation of members in leadership posts; the second key was their relationship with a market in the United States that were paying them well for their organic coffee. Up until 2004 that was the story of this cooperative, something unusual.

Between 2005 and 2010 the cooperative experienced a social, economic and environmental crisis. Hurricane Stan in 2005 and Agatha in 2010 made the waters of Atitlan rise, and with that a lot of land in dispute disappeared. In a parallel fashion, the cooperative fell into acts of corruption that put them at risk of going broke. In 2005 the cooperative got nearly half a million dollars in credit from a social bank and two loan sharks. In that same period the cooperative exported double the volume of their organic coffee, buying the other 50% from third parties, and passing it off as if it were fair trade, organic coffee from the cooperative. The members did not receive that loan, much less the profits for the resale of the other 50%. That was possible thanks to the complicity of the board and administrative staff of the cooperative, and the complacency of the certifiers (organic and fair trade), social banks and coffee buyers.

The members in that period of the board (2005-2006) were not aware of what was happening in the cooperative. In the next period (2007-2008) with a new board the situation was noticed because debt collectors came in, so they unraveled the origins of the debt. In the assembly they studied the causes, they met with the social banks, certifiers, buyers and aid agencies. What had led them to this crisis?

“If a member spoke well, we would say that that member was good, that he should be president. We trusted what the manager or the president would tell us, “This project is coming…sign here.” That is fine and we would sign. We did not verify the document to see what it ended up saying. They only would come in to tell us. There was no control over the travel allowance of the manager nor about the salaries they earned. We let them sign checks for the employees. Even in one season the manager was the legal representative of the cooperative. We would change everyone in each period, there were meetings, but we did not know how the administration was doing. The Credit Committee let the board authorize the loans, and we would say that it was good. As the legal representative, the manager would negotiate and talk with the buyers and the banks; we were afraid of talking to a business person and were happy with the manager doing it. Going to the capital was something we did not like to do…” (Board members of the cooperative).

The rotation of members in the posts out of formality led them to this crisis. Board members who did not take notes of the meetings that they held, did not read the minutes nor contracts, did not study the numbers of their organization, and did not ensure that the agreements from the assembly were applied, turned into decorative board members, it did not matter how good the practice of leadership rotation might be. Custom turned into law: signing oficial minutes and checks without verifying, putting in posts people that spoke well, letting the administration represent the cooperative and sign their checks, leaving the president or the manager to authorize loans instead of the credit committee, and avoiding talking with buyers and the banks. It was a “law” legitimized by the fair trade and organic certifiers´ audits.

That situation became a crisis when the bills came in and they had a new board. Realizing that the instigators of taking over the collective resources had been backed also by the organic certifier struck a blow to hundred year old beliefs that had nested in their minds: “foreign auditors have the final word”; “a person with a degree is trained to lead organizations”; “indigenous are not capable of talking nor traveling.” They were absorbed by the formality of the cooperative: the rotation of leaders was insufficient, and the audits of the international organizations were just papers. They awoke even from their cultural self enclosure: “a ladino cannot teach an indigenous person about coffee”; this idea had blocked them from benefitting from technical consultancies in order to improve their coffee. They also understood that the force of the market (maximizing individual earnings) was guiding the fair-trade organizations connected to the administration of the cooperative and the formality of its bodies.

It was a collective awakening in ongoing assemblies. There they decided to defend themselves against judicial claims of usurers; they understood that leadership rotation was insufficient if the administration was on the other side of the street, which is why the board studied the finances that the administrative area worked on. At the same time, they rebuilt their relationships with external actors: aid organizations and the State, administering resources efficiently; social banks honoring the debt, in spite of the fact that only part of those resources had gotten to the cooperatives and that the social bank had failed in their vetting mechanisms; they changed their organic certifier for another one that “visits the countryside”; and they worked with their coffee buyers so that quality requirements be connected to differentiated prices. They recognized that they could improve in their production areas, and that technical assistance from the state was useful, they hired a permanent technical promoter who accompanied the members and decided to produce organic inputs (compost worm fertilizer) that the members would buy. They got involved in roasting coffee aimed at the local market. They established a clinic for women based on their social fund, as an expression of commitment to their municipality.

Since 2010 they began to feel the changes and their results: see Figure 7. Organic agriculture bore fruit: if previously the organic coffee had a smaller yield than conventional coffee, within years the soil became so fertile that their coffee yield was better than the yield for conventional coffee. Without affecting those high yields, the families also grew corn, beans, bananas and other trees in between the rows of coffee – the rule of the certifiers that prohibited other crops is overcome if the soil is completely fertilized with organic fertilizers, feeding the soil and not the crop is “the rail.”

In addition to processing and exporting good quality organic coffee (cup score of 84), roasting coffee gave them several advantages. 5% of their total coffee was roasted, ground and sold through their coffee shops. This allowed them to know more about the yield from cherry to export coffee, to ground, roasted coffee and to the number of cups of coffee. They use this information to make their negotiations with coffee buyers transparent, because the cooperative and the buyers understand how unfair the New York stock price is, when they say that 1 lb of coffee is worth $1.50, that same pound in the United States or Europe, now roasted, ground and packaged, is worth ten times more, and even much more if it is sold as cups of coffee. The coffee shop in the cooperative is also a door to agro-ecological tourism for people connected to the coffee trade, and for the public in general. This creates environmental awareness and allows understanding what the coffee economy and part of the culture of the communities of San Juan are like. Also, coffee shops in the United States that buy coffee from the cooperative transmit live on their monitors farms in Guatemala.

In terms of results, some people from San Juan are repurchasing land from the people of San Pedro. The cooperative is creating jobs for the member families themselves on the farms, in the wet and dry mills, in the roasting and grinding of coffee, in the coffee shop and in the clinic.

Awakening to this crisis opened their minds. They learned that the relationship between the associative part and the business part, elucidated in assemblies, is what moves the cooperative, that the rotation of leaders implies getting involved in the administration of the actions of the cooperative; and that a transparent transnational alliance where each one does their part, supports social, economic and environmental equity processes for the communities. See box 4.

In spite of this progress, the cooperative and its network are not out of danger. In fact, it is said that human beings are the only animal that trips over the same stone twice. How can we make the risk less likely? From the history of social movements we learn that, after being mobilized “from below”, even the best leaders tend to believe that the people can only be mobilized “from above” – by a political vanguard, manager or the market. The more a cooperative creates mechanisms to mobilize itself “from below”, and does so within a framework of alliances with global actors, the more it distances itself from the risks of going broke. This is what this experience shows us.

3.2  Commonalities in these cases

What common waters run beneath these innovative experiences? See Table 4.

 

Table 4. Common elements
Context History Organization Rules
Nicaragua Community is smothered by commercial mediation and traditional cooperatives, mono-cropping and the search for money at the cost of human and natural life. -They reflect on their situation, awaken and swim against the hierarchical “rails”

-They crawl forward with their own resources, diversify, process and sell their products.

-Alliance in international triangulation around coffee

-Alliance in local triangulation that catalyzes economic initiatives and densifies social connections.

-Contributing and distributing equitably

-Decisions in assemblies; rotation of leadership and tasks; information transparency; visiting one another.

Honduras Under the Alliance for Progress and the opening of the Catholic Church, a community far from markets, moves in a context of  harassment of large land owners, alcoholism and learning to read and write. -Vision: Bringing stores to the community

-Religious opening: they value themselves

-Keeping honesty with monthly cash out, assemblies and through oversight board.

-diversify crops, weaving and commerce.

-Community store – distributor– seller of vegetables in the city

-Community store and weaving group in the community

-Self governance: Member families in posts of organizations

Contributing/distribution /credit which does not surpass amount to be distributed.

-Rotation of leaders that also looks at the administration

-managers that implement decisions of the organs.

Guatemala Discrimination and dispossession of their lands in 1970-80s; now when organized they suffer theft from common crime and the Police, and later the complicity of external actors with local elites threaten to make the cooperative go broke. -Vision: organizing is resisting as indigenous

-They find a niche: organic soil for several crops, processing and coffee shop

-They awaken to the corruption and leadership rotation without getting involved in administration.

-transnational alliance between coffee buyer, certifier who “visits the countryside” and cooperative around organic coffee

-Cooperative produces fertilizer, works wet/dry mills, roasts and coffee shop for the local market.

-Rotation of leaders directing actions of the cooperative

-Transnational alliance whose members have roles that they carry out

-Assembly is the decisive entity and follows up on actions.

 

Regardless of the historical period and country, markets and States intensify hierarchical structures of inequality and discrimination that belittle people. They do it with commercial mediation, mono-cropping and tacit rules like “save yourselves those who have” (land, money), separated from human and natural life, which is why people tend to isolate themselves, drown themselves in alcohol and religious fundamentalism. When these people, organized in cooperatives, are dragged along by these waters along with their external allies, then they end up forming alliances over raw materials and the peasantry stay within their “piñuela fences” and women stay secluded “in their kitchens”.

Those who reflect on their realities, awaken, see and crawl forward with their own resources, form organizations that on a small scale become what humanity would aspire to be- that is their story. On reflecting they discover those adversities that they are presented with as something natural and/or determined by some supernatural being. Reflection leads them to awaken to the extent that they encounter their own roots, with which they can free themselves from those adversities which are reproduced in their minds and hearts. Then they envision something different, connected to their roots, the opposite of those structures. And they hold on to that vision using their own resources. These organizations are like a family that rotates their crops to maintain soil fertility, while they protect a patch of forest where their water source is; the fact of having food and water gives them a strength for negotiating with the large land owner or rancher who wants to buy their labor force and/or their land. These exceptional organizations stick to their vision. Let us illustrate what this “stick to” means with the peasants in the store in Encinos in the 1970s, they, without knowing how to read and write, sat down every month to do the cash-inventory audit of their store, they knew that they were charting a new path and that they had to persist even if fire rained down; month after month, year after year, they turned their store into one of the exceptional organizations of Central America – but not seen nor recognized as such by NGOs, aid agencies nor the State[2].

Innovative forms of organization stand out in these stories. The triangulation or agreement between three actors, one transnational, and another more local. The first is between the buyer, the financier, and the seller (cooperative) around coffee, a triangulation “conditioned” on the equitable distribution of surpluses, informational transparency and on being democratic organizations[3]. The second is between local actors with a strong interest in the processing and commercialization of a diversity of products, a triangulation “conditioned” on including women and youth as protagonists in the social enterprises. In any of these expressions, the social enterprises are self governing and rotate leadership and jobs. These social enterprises, in addition, catalyze new organizations in the same community around other initiatives, this includes more marginalized people and keeps one person from becoming a “big chief” when there is only one organization.

It highlights the fact that in order to be democratic, transparent and equitable organizations, one does not need so much money, training, nor many pages of laws and norms. Few rules are needed, implementing them, and recreating them following their spirit in accordance with the changes that the communities experience as global spaces. When their members contribute and the social enterprise distributes the surplus with equity, and it is directed by its organs, the services (credit, processing, commercialization, health care or education) are sustainable. To do so, three interdependent rules are key. The “contribute-distribute” rule generates – and is generated by – trust; if under this rule a person requests a loan for an amount equal to or less than the amount of their contribution and their possible share of the distribution of surplus, and if once the term is past that person does not pay, the social enterprise deducts that amount from that person´s resources; any person who is the object of distribution asks for information and identifies with their organization – let us recall the biblical saying “where your treasure is, there your heart will be”. The rules “only the assembly is the decisive body” and “rotation of leadership and posts” are favored because the social enterprise belongs to the community, they make the voice of all the groups be heard, allows women to participate with or without babies; information flows through the community.

Under what conditions do these rules make a difference? When they are connected to endogenous institutions of the communities, which emerge through study and self-study: the rule “contribute-distribute” is connected to relationships of indigenous-peasant exchanges, e.g. sharecropping; the rule “assembly is decisive” is connected to collective actions-decisions of indigenous peoples. These are signs of “societies with markets”.

These interconnected rules, under alliances or triangulations, around modes of production that go beyond the curse of “raw materials” and cultivate relationships of life with nature, make us walk outside the rails of capitalist and patriarchal colonialism.

4.    Conceptualization of alternative processes

Let us go back to Quijano (1992), who proposes elements of decolonialization: freeing the production of knowledge, reflection and communication from the potholes of European rationality; recognizing the heterogeneity of all reality, the contradictory nature and legitimacy of what is diverse in all societies; requiring the idea of the other, what is diverse, different. For their part, Lucas dos Santos and Banerjee (2019), in order to decolonialize social enterprises, think about seeing oneself as a specific and contextualized reality within a broad framework, recognizing western discourse on development, wealth and poverty, measuring and explaining the diversity of production logics that exist in the world, revising the meaning of what “the economic” is, recognizing community knowledge in order to find solutions, promoting symbolic autonomy…

From the described cases, we are rethinking the idea of community as a heterogeneous space, conflictual, and different from capitalist and patriarchal colonialism, where social enterprises rediscover their institutional roots, they are the means for people to recreate their identities and generate spaces for building, in the midst of conflicts, trust in ones own culture – that which they are rediscovering and not that capitalist and patriarchal colonialism reproduced by those same people. These social enterprises and the processes that they generate, correct, expand and catalyze become mechanisms which, like social laboratories, produce ideas, images, symbols and knowledge that guide people to improve their lives and their communities in a holistic way – not being dragged along by the commercialization of race, capital and the uterus. See Table 5.

Table 5. Community that organizes, revives rules that are connected to social enterprises
Principles of decolonialized societies Reinvented social enterprises Peasant rules and values Peasant rules and values that benefit women
Rootedness (place, origins for recreating identities, relationship with the land) -Members come from the same community; meetings, transaction and exchanges happen in the community itself -Not divide land into pieces nor sell it; the land is the mother, has life

-diversified farm

-Women on water committee, school  boards …;

-They feed sons and daughters

-garden: my Mom´s green thumb

Growth with equity -Distribution of profits

-Diversified and agro-industrial farms; systems for saving

-Improve roads, clínic-health

-Sharecropping

-Share voluntary labor support, seed for grains

 

-processing and commercializing

-saving

-sharing oregano, lard, lemon … (food)

Ownership of your organization -Monthly cash-inventory audit;

-Oversight from within and without- with or without posts

Honesty for choosing treasurers, without regard to whether one is “learned” or not If the social enterprise belongs to the community, women will assume leadership posts
Participatory democracy -Decisions made in assemblies

-Connected to one another, creating more organizations, membership from different ages and genders

Let the feet (footprints) guide and ruminate (reflect) at night -Visiting one another; visiting the sick

-Equity in inheritances

Learning apparatuses -Diversification of services

-Space for reading, taking notes, analyzing and making decisions based on analysis.

-Farm-cornfield and forest: the landscape reveals the life of the family

-sharecropping and sharing voluntary labor

-Weaving, processing, commerce, garden

-family

-communities

 

Abstracting from specific cases, we find ideas, images and symbols in the peasantry and indigenous peoples. The connection of the social enterprises with the endogenous institutions of communities show other realities under construction. The farm or the cornfield is a symbol of crop diversity to ensure food for the family and cooperation with neighbors, the garden (“my Mom´s green thumb”) expresses indigenous plants (pumpkin, chayote, chile, annatto, chicory, mint…[4]), weavings, religiosities and phrases reveal beliefs, images and knowledge, many of them from prior to colonialization. Figure 8 shows this confluence of institutions and shows the collective results in terms of trust, living relationships with nature, other paths, recreation of identities …

Under this framework of community which organizes and recreates itself, several elements stand out. Discerning the specific context implies “digging” into the context in which cooperatives emerged in Europe, from workers getting off the rails of industrial capitalism (England) or from peasants freeing themselves from usury (Germany), building principles of self help, self governance and self responsibility, and of “digging” into the context of peasant and indigenous communities, to then connect both contexts out of which might emerge the spirit of social enterprises, word and change. This is “digging out” endogenous rules buried by so many layers of colonial, capitalist and patriarchal dust, in Europe as well as in our communities of Central America.

With this spirit of innovation, few rules and values emerging, social enterprises implement it through decisions made in assemblies and rotation of members in organs involved in the associative and business sides. In this way social enterprises practice self governance. When this happens, the transnational and local triangulations (alliances) generate mutually beneficial synergies, social enterprises deepen their processes, and external actors adjust their changes – because studying good changes infects one to do self-study, that it is possible to change the “rails” you are on. Behind Table 5 there are a world of cross-overs experienced: triangled contributions, distribution and credit is connected to diversified farm/cornfield, savings and collaboration (e.g. sharing pork-lard); rotation of leaders and decisions made in assemblies connected to visiting one another (“getting out of the kitchen and the home”[5]), commerce, equitable inheritances, not dividing up the farm and the forest.

In this type of social enterprises, that rule of “get rid of you to put me in”, done so that nothing changes in the mechanisms of dispossession, is left far behind.That technocratic and elite pretension of conceiving themselves as the brain and guides to community social enterprises is left aside. Those dualities of condemning the peasantry to only raw materials, women to just reproduction, or the forest as a simple symbol of waste are diluted.  These social enterprises are mixtures and combinations of forces, wills, knowledge and emotions, of organizing other forms of life, communities that function in a spiral fashion, like the conch seashell, opening doors and multiplying organizations.

These social enterprises turn communities into universities. About re-understanding how to organize cooperatives, associations and stores. About re-ordering the farm/cornfield. About recovering the garden in the yard of the home, behind the phrase “My Mom´s green thumb.” About rediscovering women in multiple roles. About discerning the footprints (feet) alongside the reflection (reasoning, head). About rediscovering images, like the mountain with lush trees that produce water, wood, food and oxygen, without needing to be fertilized nor have chemical inputs applied.

5.    Conclusions

We started this chapter with the question about what characterizes the type of organizations that get “off the rails” of capitalist and patriarchal colonialism, and how they are able to remain different over time. We read Quijano, Polanyi, Federici, and Lucas dos Santos and Banerjee. Afterwards we characterized the type of social enterprises dominant in Central America. Then we went into describing the cases of innovative social enterprises in Nicaragua, Honduras and Guatemala. From there we pulled out what is common to them. And on this basis we reconceptualized the community that organizes on their own “rails”. It is like we have followed the young woman of the story, who went away alone with her thoughts, starting another path, with the difference that we studied “Rosita” in 3 countries, finding her 45 years (Honduras), 40 years (Guatemala) and 5 years (Nicaragua) later.

These social enterprises or community forces have a history of “swimming against the current”. Instead of partnering people and providing profitable services, with managers who are eternal, hierarchical structures, subjecting women and nature, and believing that change comes from above, the social enterprises described have few rules which are decided in their assemblies and get implemented. Their members reflect, awaken and envision every day. They self govern. They break out of their “piñuela fences” and free themselves from the curse of “raw materials”, and consume the best of what they produce. They multiply organizations in the same community and at the same time build alliances in forms of triangulation where all benefit. Symbols like the farm/cornfield, the garden or the forest acquire new meaning; images like water, phrases like “eating the best of what we produce”, “my Mother´s green thumb”, and “alone with my thoughts” permeate deeply into their self esteem.

New challenges are appearing. Including more powerfully written culture. If Europe is rational, how can we be rational, emotional and intuitive looking at our footprints? Making the most marginalized people in the communities themselves become protagonists. Distinguishing more the Mesoamerican culture to find our roots and making communities even more innovative.

In the end we learn that when we lose all that technocratic emphasis and formality, that logic of volume, having more land, more money and more children, and that desire of wanting to be “the brain”, we encounter ourselves with our roots and the roots of our friends from any country.

6.    Bibliography

 

Federici, S., 2010, Caliban y la Bruja. Mujeres, cuerpo y acumulación primitiva. Madrid: Traficiantes de Sueños.

Ferrer Valero, S., 2015, Mujeres Silenciadas en la Edad Media. España: Punto de Vista Editores

Georges, L. y Pascal, P., 2009, Les défis du capitalisme coopératif: ce que les paysans nous apprennent de l’économie. Francia: Pearson Education France.

Lucas dos Santos, L. y Banerjee, S., 2019, “Social enterprise: is it possible to decolonise this concept?” In: Eynaud P., Laville J.L., Dos Santos L.L.., Banerjee S., Hulgard H., Avelino F. (2019), Theory of social enterprise and pluralism: Social Movements, Solidarity Economy, and Global South, Routledge Publisher, Oxfordshire, pag 3-17.

Polanyi, K., 2001, The Great Transformation: The Political and Economic Origins of Our Time. Second Edition. Google Books.

Quijano, A., 1992, Colonialidad y modernidad/racionalidad, Perú Indígena. 13(29).

Quijano, A., 2014, “Colonialidad del poder, eurocentrismo y América Latina”, en: Cuestiones y horizontes: de la dependencia histórico-estructural a la colonialidad/descolonialidad del poder. Buenos Aires : CLACSO

Stiglitz, J., 2001, “Prologue” in: Polany, 2001. K. Polanyi, 2001, The Great Transformation: The Political and Economic Origins of Our Time. Second Edition. Google Books.

Wheelock (1998), J.R., 1998, La Comida Nicaraguense, Managua: Editorial Hispamer.

[1] René has a PhD in development studies and accompanies rural organizations in Central America. He is a collaborator of the Winds of Peace Foundation (http://peacewinds.org/research/), associate researcher of IOB Antwerp University and member of Coserpross (http://coserpross.org/es/home/).

[2] In April 2018 they invited me to a meeting with the Municipal government of Intibucá. The Mayor spoke about the effort that his government made in favor of the poor. I said to him that one of the most interesting organizations of Latin America existed in his municipality. He was surprised, “What organization?” he asked. “The Store of Los Encinos; more than 40 years of existence; economically sustainable without ever having received foreign donations-projects; they distribute their profits each year; their members rotate in leadership and are leaders of other municipal organizations”. “In Encinos?” he asked. He could not get over his surprise. “Yes,” I responded.

[3] We say “conditioned” in the sense that this triangulation does not make sense if the social enterprise is not democratic, transparent and distributes its profits. That triangulation makes sense only if equity, democracy and transparency are a constituent part of the actors that make up that triangulation.

[4] In order to get inside Nicaraguan food based mostly on the garden and cornfield, see Wheelock (1998).

[5] Women who can leave their kitchens and homes, to which they were reduced by the mono-cropping system. “Leaving” signifies an institutional change, which is facilitated by the meetings of the social enterprises and/or their initiatives for commercializing products. For a broad historical perspective of influential women, see Ferrer Valero, 2015.

[6] The phrase “my Mother´s green thumb” we found among elderly people recalling the garden that their Mother had some 80-100 years ago. Gardens that have practically disappeared nowadays, replaced by the logic of mono-cropping. That phrase is like a living hieroglyph, it expresses the culture of the peasantry itself.

 

The time for communities

The time for communities

René Mendoza Vidaurre, Fabiola Zeledón and Esmelda Suazo[1]

Along the trails

-Cousin, you have traveled so much that I am sure that you earn and know a lot, help us to travel in that way as a cooperative.

-I have traveled along the highway, it is fast, and you only see money rolling on wheels.

                                                                                                                                     -That´s right…. We want to make money.

-When I get out of the car and walk on foot or on horseback, I see people, groups together, I hear that song of the cicadas.

-What do you mean to say?

-If the cooperative takes to the trails, it will touch hearts, dig into our roots, make people think and walk together.

-In other words, feel, walk and begin to cooperate, instead of taking the highway.

-That´s right, Ana, it is the first step…along the trails!

The hurry to make money makes us run and keeps us from seeing what is at our sides. When we reach the goal, we are like the dog in the countryside, who at the first sound of some car, takes off barking at full speed, and then when it reaches the car, nothing happens, it returns in silence. Organizations, aid agencies and institutions are desperately providing their resources and trainings under the discourse of stamping out hunger or poverty, and when they achieve these investment goals, they return in silence. The impoverished population are like the car that the dog reaches, increases its speed of adding more people. With COVID-19 that velocity is increasing dramatically. How can one get out of extreme poverty? The parable tells us that in order to begin to cooperate, let us take to the trails and delve into our origins. What does this mean? It is the time for communities!

1.     The reality is in full view

The march of COVID-19 lifts the covers, and realities appear that are difficult for us to recognize. The rural population migrates to the forests or outside the country under the pressure of mono-cropping agriculture or ranching, pushed in turn by the financial and commercial industries. This is not new, with or without cover, we have known it for decades and centuries.

With COVID-19 we were hoping that the internal assets of communities, which have been supported by hundreds of international aid projects, might be guiding preventive actions. That the churches, with so many centuries of preaching the Good Samaritan, might mobilize. That first- tier cooperatives, members of second tier organizations, might move in the face of the virus. Strangely they are still. “We are waiting for directions from above”, “without projects, there is no organization”, “donors are not sending aid to those who organized in cooperatives”, “everything is in the town (municipal capital), the meetings, the harvest collection”. What is left of the “anchor”, “articulations”, “networks”, “public-private alliances” and “empowerment”? The gaze of elderly women seem to tell us: “nothing”. Maybe that is what is new, in the sense that we are surprised.

It would seem that the projects, sermons, credit and commercial policies instead eroded communities. They pushed ideas about being individual, taking on mono-cropping agriculture and relying on aid; some argue that by supporting an individual they are supporting rural families, but a family as an institution is hierarchical and patriarchal, in addition to the fact that the notion of “nuclear family” is nearly non-existent in the rural world, where it is common to see a son or daughter grow up with their grandparents, aunt or uncle, and/or mother.   With COVID-19 that erosion is intensified, the quarantine and confinement accentuate the neoliberal idea of “save yourselves those who have”. Because a daily wage earner in farming or construction and most of the population who work in the so-called “informal economy” cannot stay home for more than a week, they begin to go into debt, buy on credit, make storefronts go broke, and affect their daily food intake, and this in the long term will mean loss of human life.

2.     Knowing how to get to communities

The idea of harmonic communities of Robert Redfield (1931, A Mexican Village: Tepoztlan), has been left far behind. Since the studies of Oscar Lewis (1951, Life in a Mexican Village: Tepoztlan Restudied) we understand communities as heterogeneous spaces with diversity, and even opposing interests. They are communities with which people identify, it is their utopia and mission – as Thomas More would say (1516, Utopia: The Happy Republic): They are not a “sack of potatoes”, as Marx suggested, nor “pockets of peasants” as certain agrarian literature categorized them for years from 1980 to 1990. They are disputed spaces where external policies and resources should know how to get there, facilitating the first lesson of humanity: cooperation. People who organize can bring their produce together and get better prices, free themselves from usury at the point of group savings, protect water sources in the high areas, and along the length of the creek, and coordinate to prevent natural and social viruses. Individually, they cannot change prices, free themselves from usury, protect water nor prevent viruses.

Let us illustrate how these community assets move from the few interesting experiences that exist in Central America. Rodrigo Pérez, a delegate of the Word from the community of San Antonio, said, “this community store saves me a day, and the bus fare of going to the town to buy what I now buy here.” If the crowding in town favors COVID-19, people like Rodrigo find what they are looking for in the community store. “It is the first cooperative that came to coordinate work with us,” they said in the school in Samarkanda, appreciating the support of the Reynerio Tijerino cooperative so that students and teachers might protect themselves from the virus. “Only our cooperative collects the harvest in the community, and right here does the payments and assemblies,” said Selenia Cornejo. “Buyers and financiers come to visit us in the community,” said Daniel Meneses, from the October 13th Cooperative. We find similar words about community coffee roasters, bread makers, groups of beekeepers…”The coffee that we produce and roast, we sell ourselves along with our relatives outside, isn´t that a network?” Each organization has a mural with information to prevent COVID-19, while at the same time together are weaving a support network for people who end up affected by the virus.

What is common for all of them? They are in the community itself. Their focus is on their origins. They function with their own resources and rules polished in their assemblies. They improve their oral tradition with writing. They represent a diversity of ages, where youth under the age of 40 are leading them. They distribute their profits. They organize and are transparent with their information. They compete for and rotate their leadership. They organize their solidarity. They fight against their old “demons”, the rules of elites that have nested in their minds: “in group, but for me”, opportunistic actions when internal and external control is weak, prejudice against women legitimized by the churches, prejudices against workers without land (“the cooperative is for those who have land”), and providentialism (“God has a plan to protect us”, “the big chief has a plan to take care of his people”). This type of grassroots organization no longer waits for direction from outside, they visit one another, discuss and, in the midst of their internal tensions and mutual distrust, resort to their social fund, while they look for external contacts that can reinforce their collective actions.

How are these community assets formed? Following a universal lesson: studying realities to innovate as a group and train ourselves. Combining efforts of people from the communities and from outside to organize social enterprises in the communities. Recording data, analyzing it and making decisions. Delving into histories to find values and rules with which to cooperate and recreate identities, because “the origins are in front of us, not behind”, as the Mapuche taught us, the indigenous people in Chile and Argentina. Bringing to light their old “demons” and ours as well as accompaniers (“providing information confuses people”, “donating food is the solution to hunger”, “we know your future because that future was our past”). Walking along the trails discerning what the processes themselves show us about how to accompany them.

3.     New veins that the effect of COVID-19 forces us to think about

COVID-19 raises the covers, and what appears are not just those realities that it is difficult for us to recognize, but also new veins to be worked on related to the social fund, the connection between organizations, the coherency between words and actions, and the decentralization of decisions.

Grassroots organizations, like those that we have described previously, have the practice of equitable distribution of what they have saved in a social fund. In the current context of COVID-19, that social fund gains importance, like the use of offerings and tithings on the part of churches. If the State provides curative health care, preventive health is an area where grassroots organizations and churches can invest resources and energies. This includes how to improve nutrition, prevent obesity and diabetes, invest in natural medicine and clean water, improve hand washing and introduce the use of masks in crowded spaces. How can this social fund be organized into areas of prevention?

If a person discovers the importance of combining efforts of several people, in the same way also organizations (collective groups) discover that coordinating among organizations to face COVID-19 is fundamental. Making connections among churches, schools, rural community Banks, community councils, businesses and the municipal government expresses the spirit of superimposed communities that exist in every territory. It is like the baby chick that breaks the eggshell, moves out of its comfort zone and connects with other organizations, it is something that we are not accustomed to do, but we need to do. For example, connecting with the church is not to sit down to discuss one or another form of religious faith, it is to rethink together the solidarity of the Good Samaritan, who did not rely on God sending his angels to save the wounded man, but simply acted, while other were in a hurry (“passed by on the other side”). Being connected is having the freedom to express these community cultures of each organization of which one is a member or participant. On their part, each organization should understand itself as a community, where their members or their staff identify with that organization, not so much for “what one gets”, but for “what one gives” the organization, where titles are opportunities to serve. How can churches, farms, community stores, schools, cooperatives and health centers be connected?

Governments, aid organizations, international enterprises should be coherent. Importing the best coffee, and leaving the worst for the producer families, feels bitter. Demanding meat that deforests, and at the same time being ecological, is disgusting. Supporting small scale production with credit for agrochemicals like glyphosate, that is damaging to natural and human health and increases rural unemployment, is repugnant. Donating certified seed to get rid of native seed and making them dependent on companies that sell that certified seed is shameful. Extracting minerals through strip mining and defending nature, seems like that Nazi who during the day sent children to the gas chambers and at night played with his children at home. How can coherency be obtained and also benefit rural communities? How can each organization and institution conceive itself and organize itself as a community?

Decentralizing decisions seem urgent, it is like letting the baby take its first step, this is in all spheres. That each delegate of the word celebrate the Eucharist (sharing bread and wine) in the rural communities would be a real institutional change in the Catholic church. If a grassroots organization understands their community better than an organization with an office in a city, why do aid organizations and international enterprises persist in believing that organization means having an office and manager in the city? Do grassroots organizations need accompaniment? They need it, like aid organizations need grassroots organizations to accompany them. If people organize in a cooperative or a community store to administer their loans, technology and commercialization, why doesn´t a second-tier organization support them in these purposes, instead of abducting those services and decisions? How much we need to reflect on that old and still good principle that “the stronger the children are, the stronger their parents will be”.

Concluding

The effects of COVID-19 tend to produce more extremely impoverished people, like the title of the novel of Victor Hugo published in 1862 (Les misérables). Along with extreme human impoverishment, the extreme impoverishment of nature, compiled in Laudato Si: “the cry of the poor and  the land.”

Between 2000 and 2014, according to ECLAC, 33 countries of Latin America and the Caribbean reduced people in a situation of hunger (extreme poverty) from 73 to 38 million. Julio Berdegué of the FAO stated that between 2015-2018, without the virus, those 38 million increased to 43 million people. ECLAC projects that if economic growth in 2020 falls by 6% we will have 73 million people hungry, the same amount that there were in 2000. And with hunger, probably, will come social and political rebellion. Playing with hunger is playing with fire.

The solution to hunger that aid organizations have practiced and continue suggesting is that States provide food, and that they rely on social and economic organizations; in fine print this means that governments, with the taxes paid by the entire society, buy from large corporations GMO food, coopting grassroots organizations and providing that food to hungry populations. This movie we have seen before, including the magic they tend to perform with the indicators of extreme poverty, its resulting erosion of community assets, and what is called family agriculture, the nullification of native seed, the fact that rural populations become docile masses dependent on aid and electoral patronage, and that aid organizations resist conceiving themselves and organizing themselves as communities, and of something bigger that would cover all of us.

In this article we showed that community efforts can be effective in the face of COVID-19 and the virus of hunger, and that these aid agencies, organizations and institutions of the world that talk about “providing food” as the panacea to evils, might rethink their modus operandi and that culture of believing that they already know the solution without previously knowing the people “in extreme poverty”. We should recognize that if communities organize and have accompaniers who also feel and function as communities, they can – and we can – face this and other viruses, eradicate hunger, producing and distributing food, mitigating climate change and contributing to social cohesion, which prevents violence and instead puts our societies on the path to their democratization.

It is the time for rural communities. It is time for organizations, aid agencies and institutions to feel and act as communities. It is time to feel and think that we are part of something much greater than ourselves.

 

[1] René accompanies rural organizations in Central America, is an associate researcher of IOB-Antwerp University, member of Coserpross (http://coserpross.org/es/home/) and a collaborator of the Winds of Peace Foundation (http://peacewinds.org/research/). Fabiola and Esmelda are advisors to rural organizations in Nicaragua.

Rural communities and the challenge of thinking about COVID-19

Rural communities and the challenge of thinking about COVID-19

René Mendoza Vidaurre[1]

 

Health comes first

-How are you doing, Pipita?

-Owing money, without beans, grey hair, and …

-If you have your health, the rest doesn´t matter

-Ahh! Yes, exactly! But coronavirus scares me …

-Who isn´t afraid? Fear is the biggest enemy of reason. Think, Pipita, your love for others is stronger than anything…Besides, the rain is coming now!

The entire world is experiencing difficult days. People feel fear, impotence, the desire to cry. The only thing certain is uncertainty. Every person would like to support themselves with something, protect themselves under the shade of a tree. But there are almost no natural, supernatural nor social “trees” anymore. It is when that Nicaraguan phrase becomes even truer, “if you have your health, the rest doesn´t matter.” And health is like the rain, it does not fall from the sky with some prayers, it is something that is provided and strengthened with human actions. And who provides it? And how is it provided? Maybe “the love” that one feels for others provides it, maybe the love with which we were made in a passionate morning helps provide it. Maybe it is time to look farther ahead, because “the rain is coming now.”

In this article we reflect on this rural world, that thin strand between hygiene and the economy, between home, church, health center, and between individual and collective actions. To do this we list the facts or risks, we start to explain this “strand”, we look at how scientific recommendations help these different cultures revive – like plants which dry up become green again when the clouds release the first drops of water, and we point out the role of accompanying organizations. The importance of grassroots organizations in protecting their communities runs throughout the article, while the notion of community matures with the turning of each page.

1.    Conditions that work for and against COVID-19

The situation with COVID-19 seems to be getting worse. The gap between the official information in any country and what is in the social networks is large, with which anxiety buzzes like a mosquito at night. In rural communities this concern is connected to the continuity of classes in school, religious celebrations in churches, and festive crowds, with or without quarantine. People think that through that “door” of the school, church or public transportation, the virus can get into their homes and pass through the community. What are the rural conditions that work for or against COVID-19?

Rural families have some advantages and some disadvantages in the face of the virus. The advantages are: the physical distance between people to avoid COVID-19 is facilitated by the low population density, and because a good number of families live on their own farms; the average age of the population is relatively young, which limits the effect of COVID-19, even though this advantage is evaporating because of poverty[2]; living in areas with little air pollution[3]; communities that have grassroots organizations with members and offices in the community itself, through which they access some information and some collective actions. The disadvantages are: if people are infected, it will be difficult for them to go to the health centers with the first symptoms[4] and it will be difficult for them to stay at home, or prevent visits when rumors buzz along the footpaths of neighboring houses, all of which have the potential to infect more people; the quality of the health centers, in any country in Latin America, is less in the rural municipal capitals  and is inexistent in rural communities.

Gatherings of people in schools and churches is the greatest risk; let us remember that in a church in Washington one member infected from between 52 to 60 members of the choir, 65 were infected in a Zumba class in South Korea, 80 people in a concert. Rural gatherings tend to happen in groups separated by the lack of connection between organizations. Cooperatives, schools, churches and party or governmental organizations (e.g. councils, mayor representatives) move in a “walled off” manner; each person in their own world, and under their own leadership. Churches move in their religious world and with their own leadership structure. Schools with their educational programs and with their own institutional leadership. Cooperatives focus on the economy with their own leadership structure. And so on. This separation means that the gatherings move separately, isolated, which is why people tend to behave in an opportunistic way: “let others spend on hygiene to prevent COVID-19”, “I don´t care, I don´t have children in school”, “I am going to church because God is protecting me, what better doctor than God?”

This separation is worse with external institutions. Markets are reduced to offering hygiene products, raising their prices because of increasing demand, and move by means of intermediation; States limit themselves to making an effort in health centers; aid organizations provide resources within the circles in which they move; and second tier organizations and NGOs expect to mediate resources[5]. None of them tend to cross over “to the other side of the river”, in the sense of understanding how rural societies move, lack experience working at the community level with grassroots organizations. This limits our ability to understand rural population from their own perspectives, and limits the communities from understanding external organizations. We live in a world of one-eyed people that is attractive for any virus.

This separation or “fortress-effect” feeds the prevalence of beliefs. It is a universal truth that when there is less information and less articulate comprehension about certain habits, beliefs prevail. What beliefs? In peasant families: “If I believe in God, nothing is going to happen to me”, “lightening is not what kills you, it is just your time has come”; “long suffering people will resist any virus”; “I am not washing my hands because my hands are hot because of work”, “chloroquine and azithromycin get rid of the virus” (self-prescribing without evidence that it cures and without investigating its damaging effect on the heart; and according to the WHO seem to increase the risks and consequences of the disease). Beliefs in external institutions: “information confuses people”; “money makes the monkey dance”; “if the economy improves, all improves”; “give them alcohol and with that COVID-19 will not affect them”; “boil eucalyptus and cypress leaves”; “read the bible where it announces the end of the world”, “everyman for himself”. Doña Coronavirus laughs and is attracted by these beliefs!

We resist learning. We read about the 15 countries of the Asia-Pacific region, China, Korea, Taiwan, Hong Kong, Australia, New Zealand, Japan and the 10 member countries of ASEAN (Association of South East Asian Nations), Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam, as the region that has best dealt with COVID-19, a region that has 2 billion people of the 7.7 billion that exist in the world. How did they do it? With good public health: they closely observe the symptoms people have, if there are symptoms, they test them, if they are positive, they isolate them in their homes or in hospitals, and they do contact tracing[6]. In other words, the more they diagnose, they more they know what to do, and thus save more lives. In contrast, national and international organizations tend not to do diagnoses to formulate and implement policies, except to appear to formally comply; our mentality of providentialism and resignation resists learning from rural populations, we do not seek to understand them, we believe that we already know them, that “the market knows more”. We are societies that seem to live like in the middle ages under the church with the inquisition, in those times “there was no reason to think, it was enough to believe”, when thinking was a sin and punished by death.

2.    Hygiene in rural societies

What is it that we need to understand? We begin with some history, to then paint something about the rural reality and show the vein that we have to continue exploring.

There are several studies on diseases and the architecture of cities and homes[7], not much on rural spaces. Public health has contributed to the fact that the population lives longer, architecture has also done that. So closets were imposed instead of armoires, because they were anti-hygienic because they accumulated dust. In the last 150 years we know of great changes in the cities of London, Barcelona or Paris; in 1866 they cleaned up most of the river Thames in London, and that clean up saved most of the people of the city from the threat of cholera; in 1844 they redesigned the city of Barcelona, knocking down walls that contributed to the overcrowding, which made lack of hygiene worse and supported epidemics; also Paris was redesigned for health purposes. Other smaller changes also had large impacts: clean water and management of sewage to prevent malaria or yellow fever; in the face of the bubonic plague, that killed 12 million people between 1855 and 1959, they rebuilt homes with more concrete and metal to keep out the rats who carried that pestilence. In other words, the design of homes and cities for health purposes lengthened the lives of people.

Now with COVID-19 architecture is challenged to redesign homes. Even though architecture has not been able to respond to respiratory illnesses, COVID-19 can cause the redesign of the home, where the idea of what is private is reconceptualized, giving way to the home as a space for school, work, reflection and gymnasium[8].

Unfortunately, there are no studies about that same relationship between architecture and health for rural areas, at least none that I am aware of. In rural areas, hygiene has been in deficit for centuries, a situation that has been made even worse by the discrimination toward the rural world. This situation of hygiene is due in part to the fact that rural families every day are grappling with land, farming, agro-chemicals, small livestock, slaughtering or the fire in the kitchen, and they do it without having protective measures like gloves, boots or masks, partly because they are living with limited water or means of catching water, on large haciendas the patrons customarily do not provide protective equipment to their workers, and partly because they do not have access to information while beliefs lead them to not protect themselves.

This daily work of women with fire, or men with the land leads them to bathe less frequently. This is not necessarily, however, a lack of hygiene; in fact, many people during the winter in Europe and the Andean altiplano do not bathe very frequently. The difference is that peasant families think that after work a person should not touch water, it is an understanding about the combination of temperatures; so it is that after making tortillas they do not wash their hands, after weeding they do not bathe “because the body is hot”. Also the lack of water and minimal infrastructure has conditioned them to carry out certain practices; women gather dirty clothes to go to the river to wash them, they spend little water to wash dishes. Likewise, little access to information has an impact on daily life, for example, dishes are not washed with Clorox that could contain the salmonella bacteria, which tends to be found in food contaminated with animal feces. We mention these points to illustrate how difficult it could be the fact that, now with COVID-19, they have to wash their hands frequently and with soap, when customs and their natural (water) and economic conditions weigh in.

Most rural homes, particularly those of low-income people, have dirt floors and are closed structures with little ventilation. For example, it is known that Chagas disease, that “forgotten illness” because the pharmaceutical industries do not see it as profitable, mostly happens in homes with grass roofs and cracks in the clay walls where the insects that cause this disease tend to live[9]. Peasant homes are a prolongation of the farm, or the reverse, for example corn is stored inside the home or above the hearth, while the cats deal with stalking the rats who are after the corn…

These rural practices became customs, and those customs, laws, which tend not to be seen by  the eyes of State institutions, markets and international aid agencies. External actors, instead, tend to see agriculture or ecology as separate from hygiene in the home and family, and the economy as separate from health, education and religion. External actors, when they touch on the issue of hygiene, do so viewing the rural reality from the urban experience, and so any weed seems dirty to them, any home for them should be in towns or villages, any farm should be mono-cropped, and any insect should be fought with agro-chemicals. From the urban perspective it is hard to understand that a home on a farm probably is healthier than a city with an over-populated cattle industry, or chicken or turkey industry, which are true virus factories.

We need to scrutinize the relationship between hygiene and agriculture, home and farm and school and church to understand the culture of hygiene in rural populations, to then look at improvements and changes to be made. Without understanding, one cannot see, Rodrigo López told us, a peasant from Waslala. How true that is! Otherwise, how can we imagine that just using chlorox and alcohol is going to prevent COVID-19? Without understanding, how they can reflect on and change their habits coming from their own cultures and farming systems, any chlorox or alcohol that they are given runs the risk of ending up in the municipal markets, as has happened with the donation of tin roofing sheets, pure bred hogs, coffee roasters or grain silos. The community, that heterogeneous amalgam of disputed realities, is like a book, inside of which dance letters, pages and imagination, opened up only by the reading of those who love it, a reading which is like a person who shells a corncob sensing a hot tortilla with “”cuajada.

Our challenge is to rethink community spaces from a perspective in which health and economics are embedded in each other. Homes on farms with materials that protect them from rats and the insects that carry Chagas disease, and at the same time are ventilated spaces, and agro-forestry farms, in communities with spaces for food, reflection, social interaction, entertainment, open field school and collective actions. Communities with fresh air, revived, which end up being the “tree” to protect oneself from the virus. This is the vein to dig into.

3.    It is the moment for organized rural societies

While we study, let us not lose the pulse on COVID-19. What should we do? If classes and/or religious celebrations continue, and if markets and States do not show they are effective, grassroots organizations (cooperatives, associations, parent-teacher committees, water committees…), located in the communities, must act to protect their communities. The effectiveness of these organized rural societies can be better if supported by organized global societies (international aid organizations).

How? These grassroots organizations must turn themselves into entities that inform, connect with schools and churches to accompany them to understand the problem and their prevention practices in the face of COVID-19, and look up while they deepen their roots.

3.1  Informing yourself and analyzing the information

 

Box 1. Symptoms for diagnosis

Dry cough + sneezing = air pollution

Cough + mucus + sneezing + nasal secretions = common cold

Cough + mucus + sneezing + nasal secretions + body aches + weakness + mild fever = flu

Dry cough + sneezing + body aches + weakness + high fever + difficulty breathing = coronavirus

Source: Pathology Department, UCH London

In the first box are the elements to tell whether a person has coronavirus, flu, a cold or just air pollution. The scientific community reveals that a person with COVID-19 can show mild symptoms, and days later have other more serious symptoms. In other words, a person could have a cough and sneezing, and not have a high fever, which does not mean that they do not have COVID-19, in the days following the other symptoms may appear. Box 1 is a simple aid to differentiate, it does not assure you that you do not have COVID-19 with the first symptoms, but at the same time helps you to not get alarmed with the first symptoms, helps you to stay calm and discern; this is a big help in rural areas where it is difficult to go to a hospital.

COVID-19 is not just a new virus, but the scientific community still does not know much about it. Current evidence reveals that a little more than 40% of people with the virus were infected by people who did not have symptoms of COVID-19. This obviously makes prevention difficult, at the same time, knowing this helps us to get a grip on the problem and respond in the best way possible[10].

 

Box 2. Recommendations

1.     Do not touch your face–because the virus enters through the mouth, nose and eyes

2.     Wash your hands with soap – the virus is dissolved with 20 seconds of hand washing.

3.     Maintain physical distancing (1.5 mts) from another person; avoid groups of people

4.     If you do not feel well, stay home. The family can help you determine whether it is coronavirus (see box 1)

5.     Avoid meetings in closed spaces without ventilation

6.     Above all, think, think, and think–it is the most vital thing that we should practice.

Box 2 has information also based on studies. Grassroots organizations can disseminate it in their communities, but first they should read and analyze it: why shouldn´t you touch your face? Why should you wash your hands with soap? Why maintain a distance of 1.5 meters with other people? Why should you stay home when you have a cough, mucus and sneezing?  The more we think about it, the more we understand it, the more we are going to put it into practice and tell other people. Talking through information allows us to think about reorganizing activities, for example, the measure of maintaining a physical distance of 1.5 meters can help so that in a religious celebration, a meeting in the cooperative, or a class in the school people take their seats maintaining that distancing, so that the meetings be for shorter periods of time or with frequent recesses, or so that the meetings might be better prepared in advance so that, like chickens, you go straight to the “grain.” Information that is thought through can save lives.

Grassroots organizations also should reflect on other contributions from scientists. Let us look at 3 contributions. The first, studies show that children under the age of 12 do not get infected much, compared to adults; in the cases when they are infected, they almost never get seriously sick, nor are they great transmitters of the virus, like they were in the case of the flu, because the amount of receptors that COVID-19 needs are less in children under the age of 12, and consequently the viral charge (in other words, the amount of the virus that they can gather) is much smaller[11]. Statistics confirm this statement, minors under 12 are less than 0.2% of COVID-19 deaths.

Second, statistics how that men become more infected by COVID-19 than women, and they tend to suffer more from the virus than women who are affected. This is due to the fact that “the blood of men has higher concentrations of the converter enzyme of angiotensin II (ACE2) than the blood of women (…). This receptor is found on the surface of healthy cells, and helps coronavirus infect them” (see: https://www.iprofesional.com/actualidad/315900-coronavirus-por-que-hombres-se-contagian-mas-que-mujeres ). Active genes linked to the X chromosome provide women (XX) greater protection against coronavirus than men”. In addition, be it for the type work in which rural women are more involved, in general they have more hygienic habits than men, for example, they wash their hands more frequently, be it because they are washing dishes, clothing or for personal care. This indicate the importance of hand washing.

Third, studies also tell us that the use of masks is preventive, but they also warn us of the risk of reusing them, because they can become a means of infection, because the virus can remain for hours and even days in the masks. The masks are more for infected people, with or without symptoms, so they do not infect other people. Why the masks? Because they reduce the particles that come out of the mouth when a person breathes or talks. When should masks be used? They can use them in school during classes in closed classrooms with little ventilation, in relatively closed churches during celebrations, when it is not possible to maintain physical distancing, when the interaction lasts a certain length of time, in places with human crowding (banks, markets…). They should also be used when you travel to town, on returning home you should wash it, in this way the mask will be ready for a new outing or meeting. Countries that have overcome COVID-19 have used the masks as part of their strategies, which is why rural communities probably will have to introduce the use of masks as part of their culture of care, particularly for the moments we just pointed out.

3.2  Linking to and contacting schools and churches

It seems easy to connect to and assume that any organization or institution will be happy to be contacted. Nevertheless, churches, schools and party structures are not accustomed to coordinate with community organizations, except to “orient them” about what to do, and treat them as their dependents. Their worlds and leadership which we mentioned previously really carry weight, they are true walls to community coordination. How is a grassroots cooperative going to react if the pastor of a church tells them, “God is our doctor, we trust in God?”[12] What is it going to say and do if the principal of a school tells them, “we can only receive support if it comes through the ministry of education”? What are they doing to do if a committee of a political party, the councils or mayor deputies say that “directions and projects only come from above?”. What can you say to the parent of a family who only believes in the patron of their hacienda? How difficult it is to be community and work for the community! There, where things get complicated, money will not even make monkeys dance.

In the midst of these worlds we have learned the following steps. First, discussing the information in figures 1 and 2 really empowers people, it is in-forming, and informing is forming. Information can be an antidote to despotic religious, political and economic leaders. Second, the cooperative or association should start from what it is and has; what do they have and who are they? Each member has, at least, a family member who is a student, believer of some religion and/or is member of a political party; they should talk with them, discuss the COVID-19 situation, and the information provided here. Third, members of the organs of the cooperatives, having now conversed at the grassroots level, visit the parent/teachers committee of the school, people with positions in the churches, (e.g. deacons, delegates of the word) and party members or government authorities, reflect with them and discuss the information. Finally, the board members of cooperatives communicate with the parent/teacher committee of the school and with deacons and delegates of the word[13]. In other words, connect with the grassroots of different organizations and institutions, their intermediate leaders, to then connect with the leadership of the organizations and institutions. In these steps, it is not a matter of convincing anyone, but of listening, bringing together elements that help to understand, and once each person understands, they will be able to see and then act – it is like preparing the soil and planting a seed, then you have to let the seed germinate and struggle to grow[14].

 

Table. Cost of kit for 90 people (1 month; in US dollars)

Products Quantity Price Total cost
Chlorox (cleaning equipment) (liters) 4 2.94 11.76
Hand towel (units) 6 2.35 14.1
Bar of soap (units) 90 0.51 45.9
Gel-Alcohol (liters) 2 5.15 10.3
Re-usable masks (units) 180 0.74 133.2
Instruction sheets 90 0.09 7.94
Total 223.20

With these steps, each organization can supply  itself with a kit of hygiene products to prevent COVID-19 (see table). Cooperatives have a social fund that they can use to acquire the kit, unless they have used it for other social agendas that they tend to have. Schools can, through the parent/teachers committees, gather resources to acquire the kit. If the cooperatives, with or without international support, can gather resources to support the schools and churches, it could make a difference, strengthening the bonds in the community, and the entire community would benefit. The more bonds there are, the more autonomous the community will be.

3.3  Looking forward

 

The sixth recommendation in Figure 2 is the most important reason for a grassroots organization rooted in the community to exist: think, think and think. Thinking is the most important element to resisting COVID-19. Thinking is looking forward and seeing beyond our noses. A cooperative is not a church nor a political party, its members are there voluntarily, they are not subordinated to anyone, they discuss and reach agreements in their assemblies, which is why they must examine their beliefs and fight with and against them. Individually they can believe or not in God, but they should not expect God to send them angels or saints to wash their hands for them, or put their masks on, just as they would not expect that he plant beans for them or remove botflies from their cattle; they can believe in their political leaders, but it is shameful to subordinate themselves to anyone. As cooperative members they have free will, their source of power is the assembly composed of the members themselves, and their reason for being is thinking, thinking and thinking in favor of their communities.

Part of this thinking is reflecting about COVID-19: How to protect their own community? If the State does not show up in a community, the cooperative must also take on that role. If the health system capacity is overcome, grassroots organizations should discuss how to help prevent the outbreak in their communities, and how to help people who might be affected by the virus. If in any country COVID-19 is being controlled, in all countries there are waves of outbreaks of the disease, so the cooperative should keep looking for those possible outbreaks. In Central America the urban waves of COVID-19 are still ongoing, which is why the rural waves that come later, can be lethal, not just for the reasons mentioned in this article, but because we are in the midst of the rainy season, which will make it more difficult for infected people to get to a health center or any support. If a community receives external support, the cooperative must be careful that that support not be counterproductive, because there can be support that displaces grassroots organizations, and when that donation ends the community´s own autonomy and their own efforts can be left eroded.

Cooperatives need to organize how a network of women can sew masks, how to make soap with lard, how to recover old ways of making alcohol in order to use on hands, how to recover natural medicine… Cooperatives need to think about connecting hygiene, economics, social and environmental elements, thinking about the food in the community beyond COVID-19, thinking about environmental sustainability with pure air and water, thinking, thinking, thinking.

4.    Role of international organizations in living communities

Even though for multiple reasons most of the international aid organizations have withdrawn from Central America, there are still international organization that are supporting the region. There also is the fair-trade network, as well as local-global networks among national and international organizations, unions, churches, social banks and universities in the world. When there is the will, there is the way, as the saying goes. If each person feels a mission of service, we can deepen those relationships of collaboration and reactivate “dead” relationships, because “where there are ashes, there was fire.” Each person and organization can play an important role if in this COVID-19 context they realize the importance of working on the community level that is organizing: what good does it do to provide individualized credit or training, as neoliberalism does, promoting mono-cropping, environmental degradation and the erosion of communities? The current situation wakes us up: people who organize and follow rules agreed upon in their assemblies, instead of gurus or chiefs who see themselves as the law, are those who really energize their communities, sustainable farming systems and contribute to social and environmental equity. Communities save communities.

Within this framework, what role do aid organizations have? Traditional donations, involving donating and awaiting reports invented by organizations “confined” to the cities, can be counterproductive, particularly if they displace the efforts of the communities themselves, which in the long term would undermine communities. Aid organizations need to connect with counterparts[15] who really are working with grassroots organizations that meet the following criteria: they are democratic, redistribute their surplus, are transparent with their information and are rooted in their communities or specific micro-territories. This type of organization will persist in the communities, while other external organizations, or those with disperse membership, will continue treating the communities like their lovers, showing up from time to time and leaving. Forming alliances with grassroots organizations so that a donation might provide an initial push, for example, with what is indicated in the table, supporting wash basins in schools with access to water, or working on agro-forestry systems that would protect water sources, where grassroots organizations might accompany their communities, and that their national partners might accompany them in the communities themselves, being careful, but overcoming fear, is the network which need to be built now and always.[16] The dilemma is not whether to leave your urban home or a rural farm; it is how we strengthen internal community assets, how we can take advantage of this “momentum” that exists in global awareness as an effect of COVID-19 to see the importance of communities. In this way, external financing to build a community response would decisively help the community deal with the virus and its new outbreaks, and help in the long term to democratize the community itself.

5.    By way of conclusion

In this article we showed the risks of COVID-19, we have begun a reflection on the relationship between hygiene, the economy and social factors, we described the strength of communities if they build lasting connections, we have emphasized the role of grassroots organizations to reflect on their values and principles in light of what is happening in their communities, and generate ways to cooperate in the prevention of COVID-19, and to innovate in ways of accompanying their communities in the midst of the uncertainty. We showed that, through these short term measures, and starting from an analysis of the processes which we are experiencing, it is possible to look forward to the medium and long term: to improve, correct, and generate habits of hygiene connecting home, farm and nature, and home, school, health center and community building.

The impact of what we are proposing, nevertheless, will be seen above all on more structural issues. For example, an exponential increase is coming of people in extreme poverty, the goal of eliminating extreme global poverty for 2030 is going to be only left on paper. The crisis for rich families of the world is how to have less desert options in their dinner, while for our communities the crisis means that they might miss a meal or face empty plates, becoming vulnerable again to any disease. This article and the previous one on basic grains aim at preventing those impacts.

The current situation also provides us with opportunities, because “behind every adversity there is an opportunity”. What opportunity? Mitigation of climate change which, in the case of rural communities, means water, land with life, biodiversity; it is the moment to rethink farming systems and intensify more sustainable forms and farming systems that stop the loss of nutrients in food because of the decreasing quality of the soil. It is the time for communities, never before has the importance been so clear of investing in communities who organize and embrace a culture of care; now is the hour for life, amen.

To look at these structural issues we must understand that it is not the economy that solves health care, it is not a matter of knowing whether the chicken or the egg is first, now the economy is public health and community health; and health, the economy, social and environmental reality are like a mountain slope, if you are on the higher part it looks different than seeing it from below, if you are on the very top, it looks different from one side than from the other, but it is the same slope, the same mountain slope.

 

“Think, Pipita, your love for others is stronger than anything else…Besides, the rain is coming!”

 

[1] The author has a PhD in development studies, is a collaborator of the Winds of Peace Foundation (http://peacewinds.org/research/), associate researcher of the IOB-Antwerp University (Belgium) and member of the Coserpross cooperative (http://coserpross.org/es/home/). rmvidaurre@gmail.com We are grateful to J. Bastiaensen and M. Lester for their suggestions to the draft of this article.

[2] T. McCoy and H. Traiano, in The Washinton Post, write that in developing countries the advantage of being young is being annulled: in Brazil 15% of those deceased because of COVID-19 are under 50 years of age, which is 10 times more than in Spain or Italy. In Mexico it is 24%, India 50% are under 60. Why? Probably: many people have to continue working to survive; in addition to dealing with the diseases of the region (malaria, dengue, tuberculosis) they also are dealing with diseases of the wealthy countries: diabetes, obesity, hypertension…See: https://www.washingtonpost.com/es/tablet/2020/05/24/en-los-paises-en-vias-de-desarrollo-el-coronavirus-esta-matando-muchos-mas-jovenes/?fbclid=IwAR3ShYUOPzWytA6i7e7HJC3jfKlVtrgSHPyunHnxYYyU7fup1Lvt2Mq7SsQ

[3] It is likely that air pollution facilitates the virus and makes its impact worse, which in part would explain why countries in Europe have had high mortality, measured by the indicator of “over-deaths” or “over-mortality” (number of deaths above the average deaths from previous years) as an effect of COVID-19.

[4] Many people even with clear signs of having been infected, decide not to go to the health centers or hospitals. Why? “They say the hospitals have no room”, “I don´t want to die intubated”, “I want my family to wake me” and “we want to now where he is going to be buried to be able to go to pray for him”. The express burials frighten the population.

[5] Interesting exceptions tend to be organizations like Aldea Global (https://aglobal.org.ni/) or Addac (http://www.addac.org.ni/) in Nicaragua, whose staff tend to be located in the rural municipalities themselves.

[6] See interview of Jeffrey Sachs, by G. Lissardy, en: BBC News Mundo, Nueva York, 15 mayo 2020. Ver: https://www.bbc.com/mundo/noticias-internacional-52672591?fbclid=IwAR0ztSK3QLNSkZjj_2rq5Tco9-_vCXphrgRrWSEnveQQYZIYG9-fPsJhdH0

[7] L. Engelmann, J. Henderson and Ch. Lynteris (eds), 2018, Plague and the City. Londron: Routledge. They study the relationship between plagues and measures to fight plagues and cities from the middle ages up to the modern era; they also include cities like Buenos Aires.

[8] D. Ventura, May 10, 2020, “Coronavirus: how pandemic changed architecture and what will change in our cities after covid-19” in: BBC News Mundo. See: https://www.bbc.com/mundo/noticias-52314537?fbclid=IwAR3LCBRj1yh_wEVsG_oMr-HdlD9C2f8AtR_hgG3dCpQkJaPMT_SrbNq3yuA

[9] Inspired in these realities and by actions of Dr. Mazza and his team, in 1995 they filmed the movie Casas de Fuego. See: https://www.youtube.com/watch?v=A6yWNBytu3U The movie illustrates the relationship between disease-insects, homes (shacks) and social inequality, the wealthy class is against homes being rebuilt, because “they are not concerned” about the millions of poor people.

[10] To help with reading about this point, see: https://espanol.cdc.gov/coronavirus/2019-ncov/prevent-getting-sick/prevention.html

[11] We are not saying that they do not get infected nor that they do not transmit. We are saying that they do not get infected MUCH and therefore, even though they can be infected, they are not big transmitters – in comparison with other ages. About those studies, see: https://www.vox.com/2020/5/2/21241636/coronavirus-children-kids-spread-transmit-switzerland

[12]The movie Casas de Fuego (footnote No. 5) illustrates the duality science/faith and committed science/academic science. The priest is opposed to science benefitting the most impoverished and affected communities; for him “faith and science are fighting over the same people”; a Manichean dilemma that smacks of the middle ages and that did a lot of damage to humanity. Also in this movie, that captures a good part of that experience, the University blocks the mission of Dr. Mazza and his team; fortunately Dr. Mazza and his team persist, their commitment is worth more than restrictive science, a commitment that nevertheless, they paid for with their lives, caused by the Chagas disease itself.

[13] If there are other organizations in the community, like alcoholics anonymous, water or road committees, the same is done as with the schools and churches.

[14] Note that traditional organizations tend to do just the opposite: the meet first and only with the leadership of the organizations, and then send technicians to “train” (in other words, convince).

[15] If some national or international organization wants to provide support under this spirit, they can contact the Coserpross cooperative (http://coserpross.org/es/home/) in Nicaragua, the Comal Network in Honduras (http://www.redcomal.org.hn/). Coserpross and the Comal Network accompany dozens of grassroots organizations in the region, synthesize verified information to provide to the grassroots organizations, and move about in those same territories. There are also organizations like Aldea Global and ADDAC that we mentioned in footnote 5; their uniqueness is that their network is present in dozens of communities.

[16] What would happen if a bee stayed in its hive? It could live as long as the food that it stored lasted, the honey that it produced, and then? We must understand that we, flowers, bees and humans, are all one network. The bee leaves its hive and goes from flower to flower, pollinizes, does it at the risk of losing themselves and of losing their lives. So is the network. So are we accompaniers, taking on the corresponding measures (use of mask and frequent hand washing), we should not “pass by on the other side” like the priest and Levite in the parable of the Good Samaritan, we should be inspired by people like Chagas and Mazza did and their teams in Brazil and Argentine that the movie Casas de Fuego portrays.

Out of Balance

Day after day, I have hesitated to write here because the onslaught of news has kept me off-balance.  There have been few times in my life when the matters of politics, social upheaval, public health and dysfunctional economics have all come together with such overwhelming force.  Every one of the issues is daunting.  Facing them all  together is nearly beyond our imaginations.  But here we are, and the national nightmare will not be gone when we awaken tomorrow.

We are living within a perfect storm of challenges.  It’s as if the crises before us conspired to come together at the same moment to test our individual and national resolve.  In the past we have demonstrated strength and resilience and prided ourselves in the effort.  But what about our capacities to triumph over all of this?  Surely it seems that we are being tested.  It’s a little bit like recovering from a physical injury: we nurse ourselves and rest and rehabilitate, and then we’re whole again.  But facing an injury, an illness, an emotional strain and loss of eyesight is an entirely different proposition; recovery is not so simple, nor so assured. That’s when looking at our circumstances requires a more holistic diagnosis, because often the presence of one infirmity causes others.

Over the past year, I have faced a multitude of physical challenges, a sequence of oddities that have offended (and physically hurt) my beloved sense of fitness and well-being.  First it was my hip.  Then my lower back and joints.  This rheumatological malaise was followed by a spinal matter.  The adjustments I had to make for that gave rise to tendonitis in the left ankle.  And, of course, favoring the left ankle caused bruising of my right heel.  Add in a first-ever bout with kidney stones and the picture becomes rather self-explanatory: where one part of the whole is ill, the rest of the parts are not far behind.

Nationally, we are ill.  We have a political system that is failing us, exacerbated by a president whose sole objective is narcissistic self-service.  That dysfunction has amplified a malaise of polarization which prevents even a pretext of collaborative problem-solving.  Those fixed contrapositions have laid a fertile groundwork for a Covid-19 pandemic in which to gestate, taking more than 100,000 lives in our country so far.  The resultant unemployment, loss of stability and economic collapse have fostered a hopelessness not experienced since the Great Depression.  And that despair is the powder keg which the murder of George Floyd ignited, now into our seventh day of dystopian unraveling.  We are loathe to wonder what the next pain might be, what disablement is yet to come.

While I have no single diagnosis for all of the symptoms of our current disease, I do know how some of our best organizations go about the process of problem-solving.  The process is intended to “drill down” to the root cause of the ailment, to identify the most underlying base of pain.  In the present instance, I submit that we know what that root cause is.

Underlying our national malady is a persistent and growing inequality- racial, social and economic- that has been the bedrock for growth and power in our country since its founding.  There is no disputing the foundation upon which the U.S. grew to unparalleled prominence in the world: the lands we control today were territories inhabited by Native Americans long before the presence of the first Caucasian.  The labor upon which the “new” landowners relied for expansion and wealth creation was provided substantially by black slaves imported from other lands.  Inequality is a cornerstone of this nation’s history, whether we feel justification for it or not.  And it persists.

From obscene pay equity issues within our economy (Really?  A CEO is really worth 500 times the compensation of his her workers?) to the knee of a white police officer on the neck of his black suspect (for maybe passing a counterfeit $20 bill?), hostile inequality remains at the forefront of national policy, practice and preference.  It’s there because we allow it.  We prefer it.  In the aftermath of daily upheavals, we hear elected officials or neighborhood residents making the claim, “This is not who we are.”  But it is.  Otherwise, neither the inequality which spawns it nor the  rioting in response to it would be happening.

That is not to say that it must be this way, only that it is this way.  The central mantra of our economic system says that if one works hard and applies creativity and motivation to opportunity, financial and social success can be had.  What is not made clear in that proposition is that in today’s culture of winner-take-all, that achievement will be at an often dangerous expense of others.  This isn’t an argument against free enterprise or the promises of risk-reward.  Rather, it’s simply the underlying truth, the underlying cause, of the inequalities that are driving many of the awful symptoms witnessed this summer so far.

Holistic well-being exists when the body is in synch with itself, when the systems and appendages are well and complementing one another.  A nation’s health is exactly the same: no individual can achieve  maximum well-being as long as others are not well.  As a result, we’ll have some decisions to be made in the months ahead, once the smoke clears and political actions have been promised.  We’ll either have interventions that we’re willing to embrace, or we won’t.  We’ll actually deliver the systemic change promised over decades of disparity, or we won’t.  At the end of the day, it will be up to us to determine whether the level of inequality has finally become intolerable, or whether a knee to the neck is just something we prefer to live with….

 

Food production in times of COVID-19

Food production in times of COVID-19

René Mendoza Vidaurre[1]

Aid that entraps

On one occasion I talked with a former director of a European aid agency.

-We are bringing in a donation of rice for Central America, so that people would let go of their native seed and end up buying rice seed from our business; we finance potatoes under the same condition …

-Do all aid agencies do this?

-Not all … What do you expect, that they would provide it for free? Nestle did this also in Africa, gave away free milk in the hospitals so that mothers would give it to their newborns, and after some days those mothers did not have breast milk, and had to buy Nestle´s milk.

-What?!

-That is why some organizations in the south, the larger they are, the more deals they make for fewer people, they keep part of that aid; while ecological agriculture or peasant agriculture trips over every trap that they set for them.

-And when does this happen?

-All the time, but even more in times of crisis.

I bring up this conversation held 10 years ago. Under the shadow of COVID-19 multinational enterprises are moving their pieces like a game of chess, while the peasantry is groping about under the inclement sun of April. In many cases governments of developed countries act with both arms, with one arm they help, and with the other arm harvest what the first arm planted; it is their foreign policy where “nothing is free,” These practices of dispossession are intensified “more in times of crisis.”

In this article we show the urgency of producing food in the circumstances of COVID-19, the adversity that these circumstances represent, and the opportunity before our eyes. We identify the indigenous and peasant families who produce the food in the region, the basic grains, beans, rice and corn, even though in this article we emphasize more beans and corn. We expose the intentions of commercial mediation and the dispossession “traps” of capitalism with its “two arms.” And we make an effort to present proposals from grassroots organizations – we are referring to first tier cooperatives, but it extends to associations, associative enterprises, rural banks and peasant (or community) stores.

1.     Introduction

According to the IMF (https://www.imf.org/en/Publications/WEO/Issues/2020/04/14/weo-april-2020), as an effect of COVID-19, the world economy is going to decline this year 2020 (-3%), particularly the economies of the so-called developed countries (-6%). This can be expressed in the fact that investment and consumer spending falls. For the countries of the south, that means that their export products are going to have less demand in Europe and the United States, which in fact is already happening; with drop in demand, prices fall for products like meat, coffee, bananas, apples…Will the same thing happen with basic commodities like beans, rice or corn? By way of hypothesis, for the case of Central America, if the supply of basic commodities falls more than demand, then their prices are going to rise, and low income consumer families will be affected. Let us remember, in Latin America there are hundreds of varieties of corn and beans, but in Central America some varieties are the ones that are produced and consumed, like red beans in Nicaragua, Costa Rica and El Salvador, or black beans in Guatemala. There can be corn like what is used for corn flour with varieties from Mexico, but the indigenous and peasant communities in Central America consume the corn that they produce.

The quarantine in the United States and Europe means that people are confined to their homes, which is why their consumption goes down. This means that the price of products, particularly the products that are not basic commodities, will fall. For example, if the price of meat in the United States drops, this affects prices down the line in the mediation chain in the meat industry,  which reaches down to the farms and haciendas themselves in countries of Latin America. The graph of the FAO (see http://www.fao.org/worldfoodsituation/foodpricesindex/en/) reveals dramatic drops in the months of January to March in vegetable oils, sugar and meat, a drop that according to other reports, continues in this month of April.[2]

Products like beans and corn also are dropping, but to a lesser extent (see yellow line for cereals on graph). In Mesoamerica, beans, corn and rice are basic commodities, they are the number 1 ingredient in the Mesoamerican family plate of food, which is why it would be difficult for their demand to drop. “As long as there are beans with tortilla and some corn, the rest is a treat”, people are heard saying in the communities.

Even though in Latin America those crops are produced by producers of different sizes (medium and large in Argentina, Brazil, Paraguay and northern Mexico), in Central America, particularly in the case of corn and beans, almost all is produced by small producers. In this region (see Table 1), even though the data is from 13 years ago, it tells us that there are a little more than two million basic grain producers, who, including their families, represent a little more than 10 million people, and they constitute 56% of the total rural population and 29% of the total population of the region.

 

Table 1. Number of basic grain (corn, beans, rice and sorghum) producers & rural  population 2005-07
  Basic grain producers (thousands) Rural population basic grains (column 1 x aver. family size) Total rural population % Rural pop. BG / total  rural population
Guatemala 941.8 4,673 6,935 67
El Salvador 325 1,481 2,719 54
Honduras 385.1 2,024 3,738 54
Nicaragua 289.3 1,565 2,440 65
Panamá 115.7 551 919 60
Costa Rica 7.6 30 1,664 2
Total 2,064.5 10,337 18,415 56
Source: Baumeister (2010), Pequeños productores de granos básicos en América Central. Honduras: FAO-RUTA. http://www.fao.org/3/a-au202s.pdf%20 This is data based on standard of living surveys and agricultural census.

 

Table 2. Basic grain areas 2006 (hectares)
  Corn Beans
Guatemala 791,759 247,822
Nicaragua 343,160 228,518
Honduras 305,000 128,000
El Salvador 240,978 87,379
Panamá 54,570 9,860
Costa Rica 6,260 14,035
Total 1,741,727 715,614
Source: Baumeister (2010)

This population produces 2,457,341 hectares of corn and beans: see Table 2. Guatemala, Nicaragua and Honduras have more production area. Both crops are cultivated at 3 times of the year: first planting (May), second (August) and third (December); plantings that coincide with the rainy seasons by edaphoclimatic zone.

Since the quarantine affects the entire region, the agro-chemical industry and banks are limited in the scope of their action, which means that the provision of credit, seed and agro-chemicals for planting basic grains is limited. The decree of a quarantine reduces the spread of COVID-19, and at the same time, limits farm production, not so much because families are confined to their homes, or because peasant and indigenous families are “confined” to their farms, but because the movement of producer families in the region, except for Nicaragua, to do their purchases of inputs and financial transactions is limited; for example, in Honduras, with the curfew people can only leave their homes one day per week as determined by their identity card.

As an effect, the supply of corn and beans tends to be less: by planting smaller areas in May, less smaller volumes will be harvested in July, which is why the second planting is going to be smaller…If this happens, the scarcity of basic grains in the entire region is going to cause an increase in prices and possible hoarding of large volumes to do price speculation[3]; in fact, the price of beans already increased starting on April 21. Going back to Tables 1 and 2, we conclude that if other countries drop their production by 30%, Nicaragua should increase its production areas to contribute to the region.

How should this situation be addressed? After this introduction, we summarize the mediation practices that make bean supply and demand possible, but mediated by unfair institutions, that affect human population and nature. Then we involve the efforts of international aid and we warn of its risks. Then we describe a different path as a proposal. Finally, we lay out a decisive and unconfined accompaniment on the part of those of us who say we are accompanying rural families. In the conclusions we recall that we need to open ourselves to the people who are more underprivileged.

2.     More of the same with businesses of mediation

In general, we are seeing an intensification of the old practices of mediation, more of the same. Meanwhile, part of the peasantry is preparing to grow basic grains with relative autonomy. There is no variation in the mediation technology and relationships, in spite of what is said in the world that after COVID-19 “nothing will be the same”.

The logic that traditional mediation intensifies is: dependency on agro-chemicals and certified seed, unfair weighing and disproportionate application of percentage of defects, disinformation, absence of incentives for product quality, and the power of ideas like “more inputs, more production”, “without glyphosate there are no beans and corn”, and “clearing land causes joy” -clearing land refers to deforestation or felling trees to plant basic grains or for ranching.

Within this logic there are three types of mediation. The first, businesses or intermediaries provide seed and agro-chemicals to be paid with beans or corn, under the condition that the entire harvest be sold to them. The second type is businesses or cooperatives that offer a package the includes seed, agro-chemicals and technical supervision, to be paid with beans, and on the condition that they be sold the entire harvest; the difference with the first type is that in this second version they offer them C$100/qq over the street (market) price. The third type of mediation is scattershot, there are people from the community itself who lend money under terms of usury to families who are not able to save to pay for the rental of land and to buy uncertified seed, they are families whose harvests are sold to local buyers, who collect the harvest for municipal mediators (“truckers”), who in turn sell the grains to provincial buyers. The first two types of mediation export beans to other countries in the region, particularly to Costa Rica and El Salvador, countries that produce less (see Table 2) and have a large population that demands grains; the third type also export to countries outside the region.

The effects of these 3 mediations are multiple: loss of soil fertility, increase in the resistance of insects to agro-chemicals, pressure to cut down patches of forest that still remain on peasant and indigenous farms, lack of water in the communities because the deforestation leaves the water sources and creeks unprotected, systematic reduction in the profit margins of grains for producer families (the nefarious “plier squeeze”: more expensive inputs, combined with lower prices for peasant produce), migration and sale of land, erosion of communities, hoarding and price speculation…

Those who escape from this network of mediation throughout the region are indigenous and peasant families with small areas of land. They are families who cultivate for their own consumption, who store native seed, use little or no agro-chemicals, and sell their surplus grains to the highest bidder. They are families who live in relatively stable communities. With or without quarantine, these families will continue producing. These families and communities, nevertheless, are ever fewer, the new generations are being de-peasantized, which is why it is easy to find communities that 30 years ago were owners of land, and now mostly are families who plant grains on rented land.

3.     Efforts of international aid organizations

Before the crisis we heard different voices from international aid organizations, including the so- called fair-trade organizations. Their practice seems to be “more of the same” as well; this worldwide discourse that “everything will be different” after COVID-10 is beginning to be carried away in the wind.

Some organizations look to support NGOs whose staff are confined to their homes. Other organizations, and this is what we uncover in this section, remember rural families, but tend to fall into or brandish two old modalities of aid.

The first modality intensifies the first two types of mediation described in the previous section, and at the same time is distinct from them. It intensifies because it provides credit and induces them to make an arrangement with traditional mediation to sell them inputs and buy their harvests. It is distinct when they work with second tier cooperatives to collect the grains and sell them to international organizations, or some large buyer; in general they pay for and demand quality. In the context of COVID-19 this type of practice is intensified.

The second modality is being revived with COVID-19. It is an old form of aid that generally emerges “in times of crisis”. It goes well with the story that we described at the beginning of this article. There are organizations that donate in cash or food to “more vulnerable” families; it was a boom when Hurricane Mitch hit in 1998, or in 2001 when prices for coffee fell to $70/qq for export quality coffee. To do so, aid organizations use the cooperatives or NGOs to identify the families in a vulnerable situation, and to channel the donation. Let us magnify this type of aid to see its possible adverse effects on the explicit objectives that they pursue.

Aid organizations ask the administration (manager and technical team) of the cooperatives to prepare a list of families, not members of the cooperative. On these lists generally are a good number of people without land, or with little land; most of them are day laborers, and in the corresponding periods grow basic grains on rented land, or work in a sharecropping arrangement with the owner of the land, and pay the rent generally with their savings from harvesting coffee. When the donation gets to this sector, even though the good intentions of the aid organizations might be praiseworthy, it results in two risks that can be counterproductive to the spirit of help that motivates the aid organizations, and counterproductive to the reason for being of the cooperatives. What are those risks?

 A first risk is that a good number of these families, on receiving the aid, might decide to not plant basic grains, or reduce the area that they are planning on planting. It can happen with peasant family owners of small areas of land. And it can happen with day laborers. A day laborer, on receiving an amount in cash or food that meets their needs that day, and the following days, their first reaction, coherent with this mentality of a day laborer, is “to not work”, in some cases even “look for beer” (alcoholism). In other words, the aid can result in less area planted, which means less food, which means more problems particularly for women concerned about putting three meals on the table. This type of aid, in the long term, can cause a bigger crisis in the family, even  selling off the little land that they have or their yard. If the family does not plant, and prefers to consume the donation, without saving or investing it, in a matter of three months that family is going to be in a worse situation, because they are not going to harvest, and so will cry out for new aid. Since the cooperative was the channel for the first aid, they will expect the cooperative to resolve their problem.

A second risk is that the sustainability of the cooperative might be diminished, and crack the social cohesion of the community. The members, on realizing that they are not part of the list, and that instead are subsidizing aid to non-members, are going to have their idea that “the members are not in charge in the cooperative” be confirmed, and some with debts to the cooperative will say that “they are not going to pay.” The organs of the cooperatives also tend to be weakened in their functioning, because the aid organizations erroneously assume that the cooperative is equal to its management, they make arrangements with them, and pressure them to execute the donation; the administration tends to obey them under the rule of “you don´t look a gift horse in the mouth,” while the organs of the cooperative are placed to the side. In terms of the community, the non- members not benefitted by the donation, resent not being part of the aid, so possible long standing internal schisms revive. The population will feel that it turns their stomachs to understand the message of the donation: “you have to be impoverished to receive aid,” “the working person does not deserve aid”; which is contrary to the Law of Talents from Matthew 25, or certain values about one´s own effort that tends to be promoted in the communities.

Taking these risks into account, international aid organizations that make donations to impoverished families should be coherent with their own policy: accepting the effects of their actions. If they donate, they should do it every 3 months to those families for at least two years; delivering the donations directly to beneficiary families, so that the benefitting population might applaud or complain to the donor organization. The cooperative, one that is committed to its sustainability and that of its community, should not get wrapped up in unsustainable actions, and even less so, if these actions have the potential to erode the future of their organization and their communities.

National and international aid organizations are good for moving about in the aid market, grassroots cooperatives should recognize them for that skill. Grassroots cooperatives, those who are seeking their sustainability and that of their communities, know their families better, aid organizations should listen to them and learn from them.

4.     An alternative path from those who are more impoverished

In the context of COVID-19, if traditional mediation intensifies their unjust mechanisms against the peasantry and the environment, and if international aid organizations impose their “aid that entraps”, in the short term, low supply and institutional situation of hoarding will be felt, famine could break out, as well as water scarcity in an agriculture which deforests and is dependent on agro-chemicals. Without the peasantry producing, and a change in the institutional arrangement that would respect the right of the population to access food, the region will be affected. In this section we sketch out a different path, not just donations, not just business, but contributing to the production of food in the short term, and through that “window” entering into long term change, local and global living communities with sustainable agriculture that restores their soil and water.

Table 3:  Costs of production for beans (C$*)
  With agro-chemicals (1 mz) With sustainable agriculture (1 mz)
Land rental 2500 2500
Labor 8000 12000
Agro-chemicals 5700 0
Agro-organic 0 5000
Total 16,200 19,500
Financing (30% costs) 4860 5850
* To get cost in dollars divide by C$34 = US$1

Source: estimate with support of  ing. Elix Meneces

In the last week of April people finish the arrangements for renting land and begin to prepare the soil for planting, awaiting the “rain showers of May” – the first rains of the year. Let´s remember, some families plant on their land, they need minimal support in credit for seed and other costs; some families rent land to plant basic grains, they have difficulties in coming up with the C$2500/mz that the land owner charges, maybe they need 50% of that amount; some families seek to plant by halves, they expect that the land owner would provide the land and seed, or between two people, they rent the land and work it 50-50. These families, growing their grains, on harvesting them need to save their seed to begin a life less dependent on mediation and aid, then they need to improve their soil and protect their water… They can do it if they organize into cooperatives, associations or associative enterprises that move on the basis of agreements in their assemblies.

In the face of this situation, international organizations and grassroots cooperatives can join forces. Both have a common, explicit objective: help the most vulnerable families, and that there be water for life. Correspondingly, they should agree on the fact that aid should help. How?

The cooperative can finance the amount that families need to rent land and obtain their inputs (see Table 3), and/or go into halves with families that desire to do so. The table shows that the area of sustainable agriculture is more expensive, that is because it requires more labor, which also should be read as greater creation of employment and environmental benefit.  The cooperative can finance 30% of an area with agro-chemicals and an area with sustainable agriculture, supervise those plantings, and technically advise the family within the framework of community. The condition for this service would be that the families pay the loan with beans, commit to sell their harvest to the cooperative, that 50% of the area be cultivated without agro-chemicals and with organic inputs[4], and that they protect water sources throughout the farm. In the case of compliance by both parties, the cooperative would distribute their surplus in accordance with the norms of the cooperative, a distribution which is both social and individual: 10% legal reserves, 20% social fund, 20% capitalization of the cooperative and 50% individual distribution in accordance with the quantity that the producers have sold to the cooperative. In the long term, these sustainable products could be better remunerated. What would you prefer, reader, rice and beans with glyphosate or without glyphosate?

Under these agreements the cooperative can collect an estimated 25qq/mzs of beans and 35qq/mzs of corn; if a cooperative under the terms described would support 100mzs of beans and 100 mzs of corn, it would collect 2500qq of beans and 3500qq of corn; we can imagine what is possible with 20 or 100 cooperatives taking on these practices. 5% of this total could be saved as seed, to organize the second planting (August). The rest of the volume of grains can be sold in accordance with the health situation and the demand for food that we would have in the months of July, August and September; cooperatives can make more favorable decisions for society and social justice, while capital only sees merchandise, money and moves under the justice of the market.

Consistent with this perspective, a cooperative can commit to producing organic inputs in an ongoing way. It can do it by itself or in alliance with international enterprises that offer organic inputs to revitalize soils, and not like the chemical inputs that are directed only at the crop and are only short term. This would mean working with landowners who would revitalize their soil in the long term, and working with families who would rent land from landowners for a minimum of 10 years, because the revitalization of the soil happens over years and its benefits are lasting.[5] Landowners will benefit from a stable agreement and from those practices that revitalize the soil, in addition to the financial benefits.

Through this short term “window” of organizing the production of food, the cooperative can enter to work on the in-depth issue: mitigating climate change with sustainable agriculture and energizing living communities.

There is a perspective here in which international organizations can redefine their forms of aid. It is a perspective that in the long term transforms traditional mediation and “aid that entraps”, leads them to respect and empower the rights of people to produce and have access to healthy food, and respect the rights of nature. It is a perspective that encourages mechanisms be directed to fair weighing, quality control with incentives, prices with redistribution, and the fact that communities can scale up by adding value to their products and their waste.

5.     Accompaniment needed

Some people from NGOs confined to their homes are not going to move about; we respect their decision, even though they can help us studying the behavior of markets, and reflecting on the changes that the NGOs themselves should begin. Some of us who are accompanying the rural families who are organizing, we are “confined” to accompanying families in their communities. What does it mean to accompany?

The biblical passage of the Road to Emmaus (Lk 24: 13-25) can be a guide. The Puerto Rican theologian, Carmelo Álvarez, says: “This passage encourages us to walk in the midst of uncertainty, which is being transformed into certainty and confidence. Jesus approaches these hopeless, frustrated, and hurting travelers/disciples, and accompanies them without showing his identity. He establishes a dialogue of travelers. And he patiently provides elements that illuminate the faith! He is able to get the travelers to be receptive to his words and presence. So, an invitation emerges, “stay with us” (…) The Supper calls for sharing, revealing the Mystery …Today, more than ever, we need the Pilgrim of Emmaus, so that he might help us with this presence, to continue walking with the faith of open eyes…”

This accompaniment should include three elements: studying, training and innovating. Studying people to apprehend ways of expanding their relationships of cooperation. We can suggest something to people IF we know their situations, like the producer Rodrigo López from the community of Ocote Tuma (Waslala, Northern Atlantic Region, Nicaragua) was telling us, “if you do not understand, you do not see”; accompanying is the people themselves teaching us to advise them – “stay with us”. Training means creating conditions for awakening, taking on the consequences of our actions and decisions, awakening to the way  of life that we are leading, the way of working and way of organizing ourselves, realizing that no matter had bad off we may be, we always have something good to hold on to. Innovating along with families forms of making the proposal just described a reality, innovating day by day in agriculture, commercialization, collective organization and learning. The people that we accompany, we need to understand that studying, training and innovating are interdependent, it is the holy trinity of accompaniment – understanding in order to see.

Each cooperative can be the Pilgrim of Emmaus. Each church, University and NGO could be the Pilgrim of Emmaus.

6.     Conclusions

After COVID-19 “nothing will return to what it was before”. This phrase is hollow when we look at the current behavior of  traditional mediation of capital, products and words. We must make that expression a reality to the extent to which we build different futures, futures more socially and environmentally just and equitable.

In this article we have started from the idea that basic commodities, like basic grains, could become scarce as an effect of COVID-19, that in the face of this possibility, it is urgent that indigenous and peasant families get involved in producing. But that they do so under different conditions from those imposed by traditional mediation and by the aid industry, whose actions do damage and create perverse incentives for producers as well as for their organizations. Let them produce in alliance with local organizations, with incentives in which landowners and producer families all gain in the short term, and as living communities gain in the long term.

This proposal is in relation to basic commodity foodstuffs that encompass the entire population of the region. It is about growing basic grains whose first planting season is about to begin (May 1). But if we still are not able to work at total strength in this season, we can begin, and prepare ourselves for the second planting (August). The same can be done with vegetables – squash, cucumbers, garlic, summer squash…

This proposal is even more important, because it involves families who are farther down, the most impoverished families who sustain humanity, they are 29% of the total population of the region. The mentalities of this 29% are even much lower from centuries of domination, but that with good accompaniment, like that of the Pilgrim of Emmaus, the good of that population can emerge as well as the good of their accompaniers.

This is a proposal for the grassroots organizations who maybe have embraced only export crops, so that they can include basic commodity crops. Not just because they are primary foodstuffs, but because getting involved in them will provide them roots in the communities and local markets. It will also feed into their environmental perspective, particularly the indigenous populations will make us understand that the land has life, is the mother, and therefore it is not conceivable to buy or sell “the mother” or mercilessly drown her with agro-chemicals. Or is it?

[1] René has a PhD in development studies and accompanies rural organizations in Central America. He is a member of Coserpross (http://coserpross.org/es/home/), associate researcher of IOB-Antwerp University, and a collaborator of the Winds of Peace Foundation (http://peacewinds.org/research/).

[2] Even though the fall in the prices of sugar and (palm) oil is due more to the fall in the price of petroleum, products that are used for the production of biofuels. We are grateful to Arturo Grigsby for this information.

[3] Even if the supply of basic grains were less, possibly it would be enough to feed the population. What might happen is hoarding that might cause famine. In this sense, it is worthwhile to dust off the study of A. Sen (1981) Poverty and Famines: An Essay on Entitlement and Deprivation, Clarendon Press, Oxford. In that study, Sen shows that there was no lack of food in the 1943 famine in Bengal (India) or the famine in Ethiopia in 1972, but social institutions that hoarded food and deprived people of their right to have access to food.

[4] 50-50 is viable, while a radical change of cultivating 100% with ecological agriculture could be unreal. The advantage of the ecological area is that it is intensive work, generates Jobs, and makes use of resources existing in the community itself. The ecological agriculture area part implies a radical change: betting on the soil instead of betting on a crop.

[5] On this issue of rental within a context of drought, see: R. Mendoza, 2015, “la sequía y el arrendamiento de la tierra”, in: Confidencial. https://confidencial.com.ni/author/rene-mendoza-vidaurre/

Equitable distribution of surplus in cooperatives

Equitable distribution of surplus in cooperatives

René Mendoza Vidaurre[1]

Paying back is improving

The revolution and the agrarian reform came, people knew the word and their eyes were opened, many organized into cooperatives and received land, seed and technology, and they said “we are in power.” Within years they sold the land and forgot even the word. They received it, and lost it.

A woman received a cow and in months paid for it with a calf, which was given to another family. She understood that the cow pays for itself, she felt that she paid back, and made an effort along with other families. Paying back is improving.

(Based on a conversation with Gregorio Solórzano, Municipality of Cinco Pinos, Chinandega, Nicaragua)

This parable recalls the historic rules of indigenous and peasant communities. If the action of “giving” is connected with “paying back”, like the woman with the cow and the calf, their lives improve. While “receiving” unilaterally, without “paying back” to the community, creates a false world (“we are in power”) where people are left worse off (“without land and power”). The paradox is that “paying back” is not losing, it is gaining: it makes the person “make an effort” within a collective framework and community space.

That collective framework constitutes the paradoxical difference. In the case of the woman who received a cow and paid back with a calf, an arrangement (agreement, rule) underlies which she fulfills, an arrangement that is connected to a virtuous millennial indigenous institution, “giving-receiving-paying back”[2]. In the case of the beneficiaries of land on the part of the government, a damaging arrangement  underlies it, subordinating oneself and depending on the government, something that leads them to be connected to another historical institution, this time a counterproductive institution, “easy come, easy go”; people lose and the government loses. The gaze of the woman is toward the community, while the gaze of the people in the cooperative is directed outside the community.

Giving-receiving-paying back is growing in collective spaces mediated by rules that are connected with virtuous endogenous institutions of the people themselves. Within this framework, how can distributing (“paying back”) in the cooperatives be the key for growing with equity? Perhaps diminishing is growing?

In this article we study these questions in light of the cooperatives, even though it can be generalized to associations, associative enterprises or NGOS with initiatives under the framework of the social and solidarity economy. We start conceptualizing distribution as a different idea from the neoliberal economy, where the market is the great distributer. Then we look at five ways for the distribution of surpluses: legal reserve, cooperative reinvestment, social-educational fund, direct resources to members, and retribution by way of a member´s rights.  Then we work on how to carry them out. We conclude reconceptualizing equitable distribution as a cooperative concept and one from the social and solidarity economy, that goes along with the democratization of cooperatives, and connected to endogenous institutions of the peasantry.

1.    Distribution rules and policies

In capitalism “the invisible hand” attracts resources and distributes them with inequality, in dependence on the financial power of the actors, their connections, the support of the State for elites (e.g the policy of low taxes for mono-cropping enterprises), and guided by the rule “even the monkey dances for money”. The mediation network captures the resources and returns them as money that buys new products (and labor), mediated by institutions that worsen that inequality: usury, future purchases (crop lien system) and indebtedness. The capitalist, be it merchant, banker or industrialist, is the absolute owner of the surplus.

Polanyi (1976)[3], in an anthropological study, worked on the idea of reciprocity, distribution and interchange. For the topic that concerns us he says: “distribution designates the movements of ownership toward a center and then toward the exterior”, and added, “distribution depends on the presence to some extent of centrality in the grouping”” (1976:7). Santana (2014: 91)[4], rereading Polanyi, indicates that “what is unique here is that there must be trust and loyalty to be able to group the assets in that centrality, knowing that later it is going to be returned in an equitable way.” Let us reread both authors: resources come toward a center, let us say toward a cooperative (like taxes to the State), from there is “goes outside” of the cooperative, to the members in an equitable way. For those “movements of ownership” to happen, there has to be “centrality in the grouping”, which is possible if there is “trust and loyalty”. Without trust and loyalty, there is no “movement.” When is there trust and loyalty that takes resources to the cooperatives and makes them be  “paid back”? Our argument: there is trust and loyalty when the rules of the cooperative, connected to endogenous virtuous institutions, guide the cooperative from its beginnings with a societal and communitarian perspective. In other words, the cooperative, from and for the communities, is responsible for the distribution with equity.

Cooperatives currently, nevertheless, are formed and achieve a partial “movement”: they attract resources from dozens of their members, but it is difficult for them to “pay back” the surplus and pay them back in an equitable way. There is the challenge. For that reason, there are written rules. What are they?

Cooperatives include in their statutes, following the laws of each country, the distribution of profits[5]. Cooperatives include a percentage (%) for legal reserve, % for the social or educational fund, % for distribution among the members according to their contributions or economic transactions in the cooperative – note that improvement in the price of the raw materials is not mentioned as “distribution of surplus”, because it is not, the surplus is calculated after the annual financial year. This is consistent with the principles of historic cooperativism: among the Rochdale principles of 1844 is the “payback of surplus”, then  in 1966 the International Cooperative Alliance (ICA) reformed those principles and replaced it with “the surplus belong to the members”, and finally in another reform in 1995 the ICA said “the economic participation of the members”; in all of them the spirit of the distribution of surplus is maintained. These rules can be connected to the virtuous institutions of agrarian societies, giving-receiving-paying back, the gift that Mauss (1979) described.

Consistent with this cooperative and communitarian principle, the International Fair Trade Movement (FLO), begun in the 1980s and 1990s, in their policy of offering better prices to products coming from families that are organized, included a “fair trade premium”, which in the case of coffee, for example, is US$0.20/lb., a fund so that the members of a cooperative might decide to use it in educational, health projects, and farm improvements or investment in processing installations. Other buyers tend to include also a “cooperative premium”, a fund that the members might decide to use for collective investments that would benefit everyone.

In addition to rules, cooperatives have mechanisms for complying with them. They have their oversight board, the assembly, the education committee, there is also the administration with accounting that issues financial reports. In some countries the State has a role of comptroller of the cooperatives. The international fair trade organizations include their FLO certifier that audits the use of the Fair Trade premium and the democratic processes of the cooperative; social banks require financial statements and balance statements; aid agencies ask for audited reports and evaluate the projects that they finance, and in some exceptional cases withdraw their support when the cooperative fails to fulfill their rules for equitable distribution[6]; likewise some companies that buy coffee or cacao[7].

Having gotten to this point, what do we observe? In spite of having rules and mechanisms for distribution, it is rare the cooperative whose members participate in the decisions on the use of the social fund, reinvestment fund, or on the cooperative premium; it is rare the cooperative that is transparent with its members on the use of these funds; and it is rate the international aid agency or buyer who ensures this transparency, and that the surplus be distributed. In other words, the rules of the cooperative and the organizations are systematically not met; consequently, there is no confidence nor loyalty, which is why the “movement” is in only one direction: the resources from the members go to the cooperative and then to the companies (fair trade, direct trade, or independents), who do not “pay back” the surplus to the members. The rules of the cooperative and the organizations do not end up connecting to the virtuous endogenous rules.

2.    What opposes the distribution of the surplus

Even having rules and mechanisms, why do  cooperatives not distribute their surplus? It seems a matter of adding and subtracting, of knowing rules, signing and complying with agreements; it is not a technocratic matter, that a “scholarly” person might resolve; it implies adding and subtracting, showing the strength of the old anti-cooperative model, and of perceiving their own attitudes. Here we start with three interconnected responses, of the several that exist. See Figure 1.

First, the “business foot” of the cooperative, and organizations-international enterprises coincide in the fact that the business (sale-purchase of the product, disbursement-payment of the loan and execution of the project) works, not so much that the cooperative works.

They are content with the protocol, written and legal proof about the functioning of the cooperatives, proof that the elites of the cooperative learn to quickly fabricate: minutes that prove that the organs meet, audits with authorized signatures, financial and narrative reports including registry of data, and even members “trained” to repeat what the organizations want to hear, when some organizations visit. This practice, in turn, is read by the members as something that confirms their ideas that the cooperative does not change at all their way of working and selling their products: “If the organizations says that it is fine, surely it is fine, as we have always worked.” This is the formal structure that covers over the fact that the cooperative does not distribute its surpluses in accordance with its own rules, and the millennial aspiration of indigenous and peasant families.

“The peasant is interested in selling his product, he is not interested in whether there are surpluses”. This phrase presidents and managers of cooperatives repeat, along with buyers and international aid agencies, as well as technicians and boards of NGOs. This phrase underlies century old institutional practices. What are they? It is the institutionalized idea in the hacienda owner or the capitalist, that they have the exclusive rights to surpluses, that the peasantry were born to sell their labor and/or their raw materials. It is the same idea that the peasantry reproduces: “My country ends with my fence of piñuelas”, says the peasant family; “they pay my wage, that is all I ask”, says the working person (field-hand or peon); they never ask themselves about the surplus that their work or their product generates, they take it as given that it is not theirs. That institutionality absorbed the cooperatives and made them forget about the reason for their origins and their rules for distribution, and with that buried even more that indigenous-peasant right to the value that their work creates. So it is that the members demand that they increase the price of their sun-dried coffee, cacao pulp or their sugar cane; in some cases they demand an “adjustment”; “if we got credit as a cooperative so that you pay us a certain price for coffee, and if you paid us as the market price a little less than that set price, then pay us the adjustment”; no one demands their surplus; the presidents and managers behave like the hacienda owner or capitalist.  Figure 2 illustrates this institutionality: the worker reaches the wall of their days wage, the peasant their fence of piñuelas, the “business foot” of the cooperative goes as far as the “wall” of the port, and the buyers-roasters-distributors to the sale or even the cafeteria. Each one, and in each wall, seem to follow the rule of “I don´t touch you, and you don´t touch me.”

Second, the organs of the cooperatives are left bound up, because their rules are replaced by others that respond to what Polanyi (2001)[8] called the “market society”, and respond to colonial and patriarchal structures. One of those rules is: “To distribute, first you have to grow.” This rule comes from neoliberalism, that “economic growth is development”, from trickle-down economics: capturing the wealth of the members so that the cooperative might invest and accumulate in the short term, and benefit the members in the long term. This “development” and that “long term” with “benefits”, nevertheless, tends not to arrive; in other words, “they do not pay back”. Consistent with neoliberalism, the cooperatives assume that “distributing decapitalizes the organization” and they embark on the path of the “big headed dwarf”, whose head is large and is made of steel (concentration of physical investments and resources), and whose feet are clay (impoverished members who do not participate in the decisions of their organizations nor rotate offices). In this logic the managerial staff or the president tend to end up feeling themselves to be the true owners of the resources of the cooperative, that it is “their effort”, while the board members tend to abandon the volunteer nature that their offices imply, and seek any gap to take advantage individually, be it through travel allowances, loans on top of loans, or benefitting themselves from the donations that the cooperatives eventually might receive. Also consistent with neoliberalism, the fair trade and direct trade bodies reduce their relations with the cooperatives to just the financial aspect, and treat the cooperatives as just “businesses”.

Distribution, expressed in colonial rules, says to the members: “We always need a patron.” The field-hand depends on the patron, who “provides” for him (future purchase of his labor), like the peasant depends on the trader who “provides” for him (future purchase of his product). For them, this “providing for” is the best “distribution”; they know no other. This is what penetrates into the cooperative where the members confirm naturally that they never had rights to the surplus.

Distribution is also expressed in the heart of the family. There, the patriarchal rule says, “The father decides to leave the inheritance to the eldest son, and that will be carried out when he dies.” That will is conceived as something sacred. The family is an institution that attracts resources because of the family labor of its members, and in the end “pays back” (inherits) in an unequal way, leaving tacit that that older son is going to distribute the inheritance among his brothers and sisters, and what happens? Not always, but generally, that older son takes over the inheritance, or sells it and squanders it. That family institution also penetrates into the cooperative, where many times the person who occupies the presidency or management is seen like that “eldest son”, while the rest of the members are submitted to his will, in spite of the fact that they are the “parents” (owners of the cooperative) of that “eldest son.”

The cooperative, guided under this capitalist, colonial and patriarchal spell, tends to start with enthusiasm and when it capitalizes, the board members or the administrative staff turn into elites, exclude those who question them, and privatize the cooperatives. Thus, W. Berrios, from the CAFOD aid agency, observes, “In my years of work in Central America I have seen that it is in the maturation curve that the cooperatives go broke.” Infrequently they restructure the cooperative into a private enterprise, but many times they make it function as a private enterprise sheltered under the legal status of a cooperative, or under the discursive mantle of the social and solidarity economy.  In both cases the members are treated as simple sellers of raw materials.

Finally, there is dovetailing between the mentality of international organizations (buyers, banking institutions, certifiers and aid agencies) and that of the members. The international organizations turn a blind eye to the lack of compliance with the rule of distribution, because, following Streeck (2019), “the policy of distribution only function in nations; in world society there are donations,” global governance “is not democratic”, because “above the nation-state there is only the “international free market”, which consists in large enterprises that are free to do whatever they want.” That mentality leads them to have a mentality of turning a blind eye to distribution, which coincides with the mentality of the members, who have never had access to surpluses, they always saw them as something that belonged to the patron or intermediary, from there it is that the members also turn a blind eye to their right that they be “paid back” (distribute) the surplus. This is what Figure 2 expresses with the walls, “I don´t touch you and you don´t touch me.”

3.    Distribution of the surplus (“paying back”)

How can cooperatives unbind this adverse triangle and distribute the surplus? By distribution people tend to fall into two beliefs: that it is “distributing financial surpluses” and that it is “distributing all the surplus to the members.” From here comes the idea that “distributing is decapitalizing.” In this section we break down what equitable distribution of surplus is, expanding the content of the distribution already described in the rules of cooperatives.

Let us start with the attached graph. This illustrates the components of this “paying back” that include collective forms (legal reserve, reinvestment fund and social fund), and the individual forms that the members receive directly (distribution to members and payments when they leave the cooperative). The percentages in the graph are arbitrary estimates, they vary depending on the laws in each country, and the decisions of the cooperatives agreed upon in their statutes.

Note that this graph breaks with the belief that “distributing decapitalizes”: the reinvestment fund refers to the fact that their own fund or their own “capital” grows in accordance with the percentage approved in the cooperative. The assumption in the graph is that exercising distribution in the five ways, combination of collective-community and individual distribution, builds trust and loyalty, which makes the members turn in their products to their organizations in larger amounts and with better quality; from here distribution instead allows the economic transactions of the cooperative to increase, and therefore the entirety of their funds grow; in other words, ”decreasing” (paying back or distributing) is “growing” in resources. The graph also shows the underlying reason for cooperativism, that it is not to accumulate just to accumulate capital, the cooperative is a means, and the members and their communities are the end (final objective). We break down these funds in what follows, including some important remarks.

3.1  Components of collective distribution

Let us describe those funds that are in the statutes, let us clarify and add what they can have which is unique. “Legal reserves” is to cover losses that eventually the cooperative might have during the year in the economic fiscal year; it is a financial cushion that prevents the cooperatives from going broke. In the case that there are no losses, that reserve could swell the investment fund, or, for example, cover legal paperwork expenses, the opening or updating of bank accounts, the legal defense of the cooperative in the face of lawsuits from third parties, the legal defense of the members in cases that affect the cooperative, or to have legal counsel in the face of certain situations or issues.

“Cooperative fund” or “reinvestment fund”, belongs to the cooperative. In addition, some buyers tend to increase the price of the product that they buy with a “cooperative premium” or with an “infrastructure fund”, resources that are added to the funds of the cooperative. These funds are to buy equipment that the cooperative might need, repair or enlarge the infrastructure (building, harvest collection center) of the cooperative, and/or to increase the funds of the cooperative itself, which would increase the loan portfolio, or would pre-finance the payment that the members make on receiving products, while they process and sell them – avoiding the need to seek outside credit.

“Social or educational fund”. It is a fund from the rules of the cooperative itself, and is a fund that increases if the cooperative sells its product through fair trade organizations or buyers that condition a certain amount for a social fund. In general, cooperatives use it to finance some demand of the community school, provide backpacks to the children, provide support to the local sports team, or for trainings that their education committee might organize. Even though these initiatives are praiseworthy, physical investment in the school is the obligation of the State for which society pays taxes. The sports teams are going to function with or without the support of the cooperative, the children will go to school with an old or new backpack. Some innovative cooperatives use that fund under the following criteria: invest in something that generates value for the community, that is not the role of another institution, and doing so as a long-term investment. An example of this is the fact that two or three cooperatives from the same community might invest in libraries for children under 7 years of age, story books that their families might borrow to read to them before going to sleep, promoting reading in the family itself, and that the cooperative might organize reading circles with the support of people who promote reading; the long-term impact of this initiative in the creativity and cooperative spirit of the community can be significant.

3.2  Components of individual distributions

Following graph 1, 50% of the surplus of the cooperative is distributed to its members directly. The criteria for that varies from cooperative to cooperative, and depends on the services that they offer. In some cases, it is in accordance with the contributions of each member. In other cases, it is in accordance with the volume of product transacted with the cooperatives that collect the harvest and sell the product of its members. In other cases, it is in accordance with the quantity of products bought in their cooperative. And in other cases, it depends on the amount saved in their cooperative. There are cooperatives with similar services, and that “pay back” under different criteria; for example, the peasant store Los Encinos in Honduras “pays back” 100% of the amount of the agreed upon contribution, while the Esperanza of the Campesinos Cooperative with several supermarkets, “pays back” based on the amount that each member buys from those supermarkets.

These criteria promote the capacity of each member, and increase their trust in the collectivity that the cooperative is. There are members with more financial capacity and do not necessarily have larger contributions in the cooperative; it depends on the trust that the members have in their cooperative, and on the opportunity cost that each member thinks their resources have. In this sense, the biblical parable of the talents (Mt 25: 14-30) illustrates part of what the cooperative looks to incentivize with direct distribution; in that parable three people receive talents, one 5, another 2 and another 1, “in accordance with their capacity”. After a time, the person who received 5 and the one who received 2 double theirs, and the one who received 1 maintained it. In light of this, the person who gave them the talents rewarded the first two, and took away the only talent from the third, “because he who has, will be given more, and they will have an abundance, but he who does not have, even what they have will be taken away from them.”

From the religious context, this indicates that God gives people talents in order to develop them, which reveals an individual vision, where each person is responsible for duplicating their talents. From the cooperative context, one is “paid back” in proportion to the trust and loyalty of that member, demonstrated by contributions, savings, delivery of product or amount purchased; that “payback” is not taken away from them in the cooperative, in contrast with what happens in the parable of the talents, where each individual responds individually with the talents received; instead, there is cooperation among the members mediated by commonly agreed upon rules, compliance mechanisms and there is accompaniment so that each member might increase their capacities; there is individual responsibility within the framework of collective responsibility.

3.3  Compensating by rights those who resign from the cooperative

Following cooperative statutes, the member who resigns from the cooperative has the right to the return of their extraordinary contributions, and the “reimbursement of social assets” (shareable surplus) within a term generally of 90 days. This “departure” arrangement should be thought of and agreed upon from the beginning when the cooperative is founded, even though it is clear that in the beginning, being immersed in making the cooperative survive, no one thinks about this; it should be done, because it is thinking about the future, and because each member should be clear about their rights from the very beginning[9].

In our societies the member who resigns from the cooperative tends to leave without recovering, many times, not even their contributions; likewise, those who die, their relatives do not tend to receive any benefit that by rights the family members are due. For some members, having joined a cooperative is even a financial loss. In the case that there are voices that are raised about this, some board members pull out the ghost that “distributing is decapitalizing”.

If the cooperative does not pay the member who resigns, or the relatives of those who die, in accordance with their rules and the rights of each member, the cooperative signals distrust in its own future, and sends an erroneous message that they are not members, that the “cooperative does not belong to its members”, which undermines any sense of ownership of those who stay in the cooperative, and those in the community who observe it. If in contrast, the members fulfill the rights that each members has on leaving the cooperative, that they be paid the part that corresponds to them that the cooperative has at that moment, probably that person will leave with a good amount of resources, and happy for having been a member of a coop. In the short term, this is a hard moment for the cooperative, because it is going to disburse in cash resources what it surely needs; at the same time, each member will see themselves in the person who resigns: in the same way that they treat the person who leaves, they will treat me. If the member joined the cooperative with little, and leaves with a good amount of resources, those who remain will ask themselves: if after the cooperative fails, will we be the most unlucky ones? The doubts will keep them up at night. But in the long term, those who are left are less, which means that they will receive more from the future resources that the cooperative accumulates; more than that, each member, seeing that the one who left took what corresponded to him, will confirm that in truth he is a member of the cooperative, that the cooperative really does belong to him.

Let us talk about numbers to estimate the amount that could be due to a person who resigns. What is the arrangement with the member who leaves? A member who leaves or dies, that person or their relatives have the right to part of the assets or resources that the cooperative has generated. Let us help ourselves with an example. If through the use of the “cooperative fund” or the “reinvestment fund”, extraordinary contributions of $100 per member, and donations that the cooperative received, a cooperative has assets valued at $200,000; if that cooperative had 20 members at its founding 10 years ago; then if one of them resigns from the cooperative, they are due $10,000 (200,000/20 = 10,000). This amount could be paid over a term that the statutes indicate, or, if the cooperative does not have the $10,000 available, they can arrive at friendly arrangements for the time frame for the payment.

The biggest impact of this fact, nevertheless, is not in the financial “payback”, but in the fact that the 19 remaining members, and the rest of the community, confirm that effectively the cooperative does belong to its members. This is the seed of incomparable ownership. This implies greater trust, loyalty and the deployment of individual and collective capacities.

Concluding this section, distribution in the cooperative generates equity, and incentivizes the development of each member. An estimate of 40% of the surplus protect the cooperative from losses, increases their investments or their own capital fund, and contributes to the community with unique investment in education. With an estimated 50% of the surplus, the cooperative incentivizes the development of the capacities of each member, their trust and mutual loyalty. And with an estimated 10% of the surplus, the cooperative ensures the recognition of members who leave the cooperative, far from seeing it as a “financial loss”, they recognize the rights of the cooperative member and with that plant the seed of ownership. This collective and individual outcome is the way in which the cooperative distributes its surplus with equity, which is connected to the virtuous peasant institutions of giving-receiving-paying back, expressed in shared labor, sharecropping, and shared harvesting, among other institutions.

Now that distribution with equity appears obvious, along with its importance. How can it be carried out?

4.    How to implement equitable distribution

Inequitable pay back… breaks down the organization

The Spanish, Mexicans and US tried to dominate the Apaches; they failed. The Apaches had the nant’an as their leaders, they were decentralized, operated in circles. Their adversaries, as they did with the Aztecs and the Incas, did away with the

nant’an, but the Apaches did not fall apart, immediately another nant’an would emerge. But one day the North Americans donated cattle to the nant’an; since cattle were scarce, the nant’an had the power to distribute them, so everyone wanted to be nant’an, the egalitarian power structure became hierarchical. The Apaches were defeated.

(Based in Brafman, O. and Beckstrom, R.A., 2007, The spider and the starfish. Barcelona: Empresa Activa).

This historical passage shows us that distribution is more than distribution of surplus. It is important to have holistic egalitarian structures that include equitable rules and mechanisms for carrying them out. Before continuing, we cannot avoid comparing this event of the Apaches with the action of the government in the parable at the beginning of this article; the government in the parable, and the North Americans in this other one, seek to subordinate the cooperative or the Apaches, the first donates land to them, and the second donates cattle, in both cases without “payback”, thus they undermine them before their members, leave them not looking toward their community, which causes the cooperative and the Apaches to fall apart. Militarily the Apaches were indomitable, but a simple donation eroded their entire organization, like termites on wood. How did this happen?

The Apaches lacked equitable rules for the distribution of assets donated to their leaders. The North Americans took advantage of that gap, and donated the asset that was the scarcest, cattle, directly to the nant’an and not to the Apache tribe that surely had their own organization. This practice internally stirred up the Apaches, who fought over being nant’an, for having that connection to the North Americans and accessing the cattle; surely, like the managers or presidents in conventional cooperatives, the nant’an said to their tribe that the “cattle had cost them”, that they should be content with what “trickled down”, that they were their “connections”, and that without them they would all die of hunger -or in other words, the evil of the “big headed dwarf” began to corrode the minds of the nant’an and sow distrust in the rest of the tribe. This process led them to become hierarchical structures, and consequently to collective failure; it is what has also happened to most of the conventional cooperatives.

Cooperatives, in contrast to the Apaches, have rules and mechanisms for equitably distributing the surplus (including donations), but they lack democratic processes in their functioning, which is why they do not comply with their rules for equitable distribution. In many cases the cooperatives were started by the State with donations in land or other assets, undermining them from their own beginnings. International organizations (buyers, financiers and donors) have continued on this same path. Like the North Americans with the Apaches, they only connect with the nant’an of the cooperatives (managers or presidents), and they are not interested in knowing the consequences that their actions provoke. How can cooperatives fulfill their rules and make distribution their most valuable attribute for growing equitably?

This point about the Apaches leads us to understand that a cooperative that distributes its surplus with equity is that which, in addition to having rules for it, is democratic and transparent: See Figure 3.

If the organs, in democratic exercise, ensure the fulfillment of the agreements about equitable distribution, that cooperative will embark at a good port. In the case of the Apaches, their organs operated around resisting militarily, including their food, but they lacked the rules for donations and relationships with external actors. We can imagine that the Apaches, in decentralized groups, hunted animals for food; for which they had their rules and they applied them, but not so that some nant’an individually might receive 10 head of cattle as a gift behind the backs of the tribe, even precisely for their tribe.

This combination (rules-democracy) requires, nevertheless, a third foot: transparency. It is depressing to find members who after contributing for 5, 10 or 15 years do not know how to add up their contributions, and that do not recognize their rights over the surplus. It is not just having democratic economic management coherent with the rules themselves and the rotation of members in the different offices and decision making in the corresponding organs, but informational transparency with the members and with the allies. The idea of transparency or accountability in the cooperative is not being subject to trial, measured and humiliated by “the magic of the numbers”. It is sharing information that in turn forms and commits the members. A member can understand that their surplus might be $30 per qq of coffee that they have delivered to the cooperative, if he is informed about how that surplus was produced; otherwise that person will see that surplus as “an award” or a “favor” of the patron, as his historical rules make him see it. Distributing surplus implies distributing responsibilities (democracy) and information; the way “the legal reserve”, “investment fund” and “social fund”; the expenses and income… were produced and used. This information forms people and commits them: the member, based on transparent information, will want to participate in the definition of the goals for the year for their cooperative, and will want to be part of the implementation of those goals, because he recognize that his individual surplus will increase, that the benefits to his community will improve, that if the cooperative increases its reinvestment, any member who leaves will be able to go with more resources. In addition, if the first tier cooperative is a member of a second tier cooperative, the member also needs to be informed about the second tier cooperative, know how surplus is generated in that organization, and how much is due his cooperative, and how much of that amount is due each member. That explanation can happen in an assembly, in visits to each member family, on whiteboards or through brochures, and on the day of the distribution of surplus, combine festivities and information.

Correspondingly, transparency implies being accountable; for example, it is commendable that the credit record include columns for the amount of credit, amount past due and contributions; it is also commendable that the record include the amount that the member is leaving for “legal reserves”, “social fund” and for the “reinvestment fund”; the first format for the record contains control information for the member, and the second format has the accounting of the cooperative to its members. Being accountable in the assembly about their resources expresses the rights of each member, and it is an obligation of the cooperative that each member know that. From here, if the members are informed about each step of their cooperative, they will be committed to their cooperative, if their cooperative faces difficulties, they will sweat the fear of failing and will row the canoe together even in the midst of the biggest waves.

Equitable distribution is possible within a framework of democracy and transparency. There, being a cooperative member is thinking beyond salary, beyond raw materials and beyond exported product; it is thinking about the entirety of the cooperative, and the entirety of the chain of actors where value is created. In other words, it is breaking down the walls of Figure 2 and understanding that what creates value is the human work of the working person, producer, processer, importer, roaster and seller of the coffee in the stores and coffee shops. It is “I touch you and you touch me”, entering into different worlds. This implies including the international organizations and companies, which goes in the direction of global triangulation that we worked on in several other articles, about an alliance of actors that work for equitable distribution.

5.    Conclusions

You read a book from beginning to end. You lead a business just the opposite way. You start with the end, then you do what you have to in order to achieve it.

Harold Geneen, 1984, Managing. New York: Double-day

At the beginning of the article we asked ourselves how cooperatives can distribute (“pay back”) in order to grow with equity. Equitable distribution in a renovated cooperative is very different from the distribution of the market in the neoliberal economy, which is one unilateral way, from society to businesses and institutions, from which there is no “pay back” beyond what “trickles down”.

In the renovated cooperative, and in alliance with global actors, equitable distribution is illustrated in Figure 4.

It is the distribution of surplus combining the collective (social fund, reinvestment fund, and legal reserves) and the individual (direct distribution to the member for their differentiating actions and payment of what by right is due the member who leaves); it is financial and social distribution. Then, equitable distribution implies that the organization be democratic (rotation of officers, collegial decisions and compliance with the rules). Then equitable distribution implies distributing information under the maxim that the more informed the members are, the better their decisions will be.

This notion of equitable financial, social and political distribution (democratic and transparent), mobilize energies and hearts when it is connected to the endogenous institutions of the members, in our case, the peasantry. Consequently, each member feels part of the cooperative, seeks to know its goals, have an impact on them and commit themselves to fulfilling them.

Finally, when the members and their global allies follow equitable distribution connected to endogenous institutions, that is when they see the entirety of the cooperative and the entirety of the value-added chain with equity. Far away are left the “walls” that separated the worlds. Paraphrasing Harold Geneen, we organize a cooperative from its end, from its equitable distribution to the benefit of the members and their local and global communities. The more that is distributed, the more that it grows.

[1] René has a PhD in development studies, is a collaborator of the Winds of Peace Foundation, member of the COSERPROSS cooperative, and associate researcher of the IOB-University of Antwerp (Belgium). rmvidaurre@gmail.com

[2] Mauss (1979: 204-211), based on a type of distribution known as potlach, practiced in Eskimo societies in the Northwest of the US, finds the triple obligation of the gift culture: giving, receiving and paying back. “You do not have the rights to reject a gift, a potlack, because acting in this way makes clear that you are afraid to have to pay back and be left diminished, it is losing the “importance” of your name, it is declaring oneself beaten in advance, or in some cases proclaiming oneself victor or invincible” (p. 208). Marcel Mauss, 1979, Ensayo sobre los Dones. Motivo y forma de cambio en las sociedades primitivas, en: Sociología y Antropología, Madrid. Note that this identified institution is pretty similar to institutions of indigenous communities in Latin America.

[3] Polanyi, K., 1976, El sistema económico como proceso institucionalizado, en: Antropología y Economía (ed. Godelier, M.), Barcelona pp. 155-178

[4] Santana, M.E., 2014, “Reciprocidad y Redistribución en una Economía Solidaria” in: Ars & Humanitas 8/1. Slovenia.

[5] Surpluses result from deducting costs and expenses of the cooperative, amortization (value for deterioration of fixed assets). In associative organizations the term “profits” is used more, which is pretty similar to “surpluses”. The term “earnings” is different, there could be earnings through a discount if a product is sold above its acquisition price.

[6] W. Berrios, from the CAFOD aid agency, refers to the fact that some aid agencies linked to churches in Europe tend to withdraw their support for organizations that in theory assume the social and solidarity economy approach, but in practice do not follow it, and that instead become part of conventional mediation.

[7] Several buyer companies left Fair Trade on realizing that their premium payments were not getting to the member families, so they formed another movement called direct trade, to get around “cooperative mediation”. There are also European enterprises and cooperatives that buy coffee or cacao in Central America and want the cooperative that they work with to distribute their surpluses; correspondingly, some of them avoid the second-tier cooperatives and prefer buying directly from the first-tier cooperatives.

[8] Polanyi, K., 2001, The Great Transformation: The Political and Economic Origins of Our Time. Second Edition. Google Books. (First publication in English in 1957).

[9] See: Jack Stack, 2002, A Stake in the Outcome, New York: Doubleday. Stack, along with other workers, founded an innovative enterprise in the United States. In this book he recounts how they struggled with this issue from the beginning of their company. If they did it as a company, how much more should a cooperative!