28 Apr 2013

Cooperatives can still be viable businesses and investment ventures if they are managed well, the acting trade and industry minister has said.

Addressing the South East District full council recently, Mr Keletso Rakhudu said as a result government had decided to revamp their operations into profitable businesses through sound legislation and regulations.

Mr Rakhudu noted that cooperatives in the country had collapsed because of poor structures such as management, failure to attract skilled personnel and to brand in order to be able to compete with chain stores.

He said it would be injudicious to write off the  cooperative model as they had proved to be lucrative in countries such as Tanzania and Lesotho.

As such, the Mr Rakhudu said government was looking into formulating a co-operatives strategy which would enable co-operatives to match the modern day business models.

He pointed that the movement would not only focus on retail business but would be diverse and accommodate business ventures that empower people.

He also emphasised the need for Batswana to embrace working together in cooperative groups for their success.

Mr Rakhudu said the envisaged cooperatives bill will, which will replace the 1989 Cooperatives Act,  will soon be gazetted and presented in the next Parliament session.

Councillor Ronald Bogatsu welcomed the impending cooperatives strategy which, he said, would afford Batswana the opportunity to participate in the country’s economic activities. He however noted that government tended to focus more on youth empowerment and leave out experienced people who, he argued, were better positioned to start businesses.

Cllr Boiki Gaseitsiwe argued that cooperatives in the country stopped doing well when government reduced its role in their running.Despite this, he remained hopeful that they would be revived owing to the opening a Cooperative Training Centre in Sebele.

Cllr Same Bathobakae said the envisaged strategy should also accommodate people who had previously managed cooperatives as well as disadvantaged groups such as women and people with disabilities. ENDS