Felda co-op must embrace true cooperative principles to benefit settlers

KUALA LUMPUR: Felda has made progress in improving settlers’ livelihoods, but sustainable growth and financial independence are still goals.

To adapt to economic changes, experts suggest Felda establish a cooperative based on “true cooperative” principles, ensuring sustainability, equity, and growth, as advocated by agricultural marketing expert Datin Paduka Prof Dr Fatimah Mohamed Arshad.

“FELDA settlers should work within a framework of true cooperative principles, that is, a cooperative which is set up by settlers for settlers, and uphold these values. A true cooperative adheres to the principles of user-owner, user-control and user-benefits.

Felda co-op

“Those who own and fund the cooperative are also the ones who use it. They control the cooperative, and its sole purpose is to benefit its users based on their participation,” she told Bernama.

While Felda already has a cooperative, Koperasi Permodalan Felda Malaysia Bhd (KPF), it falls short of operating under “true cooperative principles”.

“KPF is beneficial but settlers do not control the cooperative as it is administered by Felda (officers), leading to a lack of entrepreneurial skills among settlers,” she added.