According to the Cooperatives Act, a cooperative is a group of individuals or companies who join together to satisfy shared economic, social, or cultural needs by operating an organization under the rules of the Act.

An agricultural cooperative is one dedicated to agriculture and related activities, including supplying goods and services used in farming or in the production, processing, storing, marketing, handling, or transportation of agricultural products.

Citadelle is an agricultural cooperative that specializes in maple and honey products. It has nearly 2,000 members and operates in ten of Quebec’s administrative regions. The cooperative uses a collection network to gather sap during spring and honey troughout the year. It works with a number of brokers in the United States and Canada and distributors throughout the world. Consequently, CITADELLE maple and honey products can be found in processing plants and on consumers’ tables in almost 40 countries.

The values and principles behind the Cooperative

Statement of cooperative identity
Adopted in September, 1996 by the International Cooperative Alliance (ICA), in Manchester.

Values

Cooperatives are based on the values of self-help, self-responsibility, democracy, equality, equity, and solidarity. In the tradition of their founders, cooperative members believe in the ethical values of honesty, openness, social responsibility, and caring for others.

Principles

There are seven cooperative principles, guidelines by which cooperatives put their values into practice.

• Voluntary and open membership
  Cooperatives are voluntary organizations, open to all persons able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination.
• Democratic member control
  Cooperatives are democratic organizations controlled by their members, who actively participate in setting their policies and making decisions. Men and women serving as elected representatives are accountable to the membership. In primary cooperatives, members have equal voting rights under the “one member, one vote” rule, and cooperatives at other levels are also organized in a democratic manner.
• Member's economic participation
  Members contribute equitably to, and democratically control, the capital of the cooperative. At least part of that capital is usually the common property of the cooperative. Members usually receive limited compensation, if any, on capital subscribed as a condition of membership. Members allocate surpluses for any or all of the following purposes: developing their cooperative, possibly by setting up reserves, part of which at least would be indivisible; benefiting members in proportion to their transactions with the cooperative; and supporting other activities approved by the membership.
• Autonomy and independence
  Cooperatives are autonomous, self-help organizations controlled by their members. If they enter into agreements with other organizations, including governments, or raise capital from external sources, they do so on terms that ensure democratic control by their members and maintain their cooperative autonomy.
• Education, training, and information
  Cooperatives provide education and training for the members, elected representatives, managers, and employees so they can contribute effectively to the development of their cooperatives. They inform the general public—particularly young people and opinion leaders—about the nature and benefits of cooperation.
• Cooperation among cooperatives
  Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, regional, national, and international structures.
• Concern for community
  Cooperatives work for the sustainable development of their communities through policies approved by their members.

Democracy and roles

In a cooperative, power is vested in the annual meeting, although for practical purposes, boards of directors exercise administrative authority, which they delegate to various employees, based on their respective skills and abilities.

Members

• Use the cooperative’s services
• Communicate their needs
• Provide capital
• Elect the board of directors
• Establish the cooperative’s mission and guidelines
• Approve the annual report
• Decide how to distribute surplus earnings
• Appoint outside auditors
• Amend cooperative by-laws

Representatives

• Represent the members from their respective regions
• Provide oversight and defend the cooperative’s associative and economic interests
• Ensure that by-laws are upheld
• Receive compulsory training in conjunction with their role
• Cooperate with constituents to satisfy member's expectations

Administrators

In addition to the duties of the representative, they must :

• Properly administer cooperative assets
• Present recommendations to members
• Select the chief executive officer
• Approve financial statements
• Establish cooperative goals
• Define cooperative policies and guidelines
• Take part in cooperative education
• Encourage cooperation between cooperatives
• Communicate with members and listen to their concerns

The CEO

• Ensures that cooperative guidelines are executed
• Ensures that policies are applied (credit, compensation, human resource management, etc.)
• Coordinates activities (production, sales, administration, etc.)
• Hires cooperative personnel
• Motivates the team
• Prepares financial statements
• Represents the cooperative
• Ensures board meeting follow-up

Employees

• Share their knowledge
• Make services available to members
• Handle daily interaction between the cooperative and its members