Organic consumer buying groups - an alternative model of trading and retail Irish Organic Conference 16 June 2011 Traci Lewis Soil Association Who are we and what do we do? Soil Association – membership and campaigning charity for sustainable and organic food and farming Soil Association Certification Ltd – leading UK organic certification body Making Local Food Work (MLFW) partnership, Big lottery funded to support Community Food Enterprises in England Making Local Food Work (MLFW) • Big Lottery Funded programme - £10 million delivery across England to 2012 (650 enterprises, 1 mill. people) • Social enterprise – community food enterprise as a solution to local food needs • Partnership - CooperativesUK, CPRE, Country Markets Ltd, FARMA, Plunkett Foundation, Soil Association, and Sustain Organic Buying Groups • A group of people who regularly bulk buy organic and/or local food together • Range of produce and ‘common interest groups’ eg. wholefood, veg & meat; neighbourhood, workplace, school, • ‘Scaling up’ – an objective of project to research large scale buying groups from around world The Buying Group Model Producer Suppliers Consumer Dropoff point infrastructure Groups of Consumers Food coops or buying groups • Are run by the community for the community • Aim to supply produce at more affordable prices than other outlets • Are run on a not-for-profit basis • Generally rely on the support of volunteers, either in the day-to day running or on the committee However they all differ in what they sell, when they sell it, how they sell it and where they sell it. Key Ingredients for success Good location Partnership working High quality, good value produce Sufficient time and resources Committed volunteers and staff Finding out what people want and need Marketing and publicity Community involvement Buying group overview – small scale • Small scale 1-6 households; ‘common interest’ groups (10 – 50) • Wholefood wholesaler buying groups eg Suma • Over 200 trading buying groups (MLFW) – range of scale and models STROUDCO, Stroud, England • Owned by producer and consumer members (CIC) • Producers charged 8% of sales • Consumers pay £2/month + 2 hours work/ yr • Main cost is part time worker • Overheads are low • 200 people spending £24/month = break even • Web based – online ordering • Operates from a school True Food Coop, Reading, England • Medium scale – over 300 members;1200 households • 3 community markets and a large shop • Four members of staff supported by teams of volunteers • 1300 product lines; annual turnover £350,000 Gruppo de Aquista Solidale, Italy GAS a national buying group network 700 groups registered (up to 2000), supplying 10,000 members La Tiera – pasta coop of 100 members, small scale farms, E 5-10 million turnover (5-8% to GAS buying groups) Biocoop, France • Network of co-operating French organic shops - aim to promote fairness, solidarity, co-operation, organic farming and transparency • More than 300 independent shops, 3000 employees • Turnover 450 million Euros13% of French organic market • The ‘co-operative multi’ has 4 groups: distributors, producers, 300,000 consumers; 3000 staff Conclusions • Exciting new direct producer-consumer trading model • But how to engage new customers? (not existing!) • Need suitable infrastructure,distribution and ordering systems Future development • ‘Scaling’ or ‘connecting’ up • ‘Sustainable Food Communities’ in towns and cities eg. Plymouth, Bristol • Key learnings – partnership; cooperation; social enterprise; community building and engagement Find out more Soil Association website www.soilassociation.org/obg.aspx Sustain food co-ops website www.foodcoops.org – tool kit, case studies, Food coop finder Making Local Food Work www.makinglocalfoodwork.org Traci Lewis tlewis@soilassociation.org Thank you!