Govt promoted coop network

Christie Fernando Chilaw special correspondent

In the annals of the history of all Governments in this country, it’s only the present Government that promoted the welfare of the extensive network of multi purpose co-operative societies, said Bandula Gunawardena, Minister of Trade, Marketing Development, Co-operatives and Consumer Services.

Minister Gunawardena was speaking at the distribution of books and other educational equipment to schoolchildren in the Chilaw electorate held at the Multi purpose Co-operative Society Rangana Hall, Madampe.

He said that to improve the network of supermarkets in the country, an allocation of Rs. 300 million has been set aside. In the small urban towns, mini co-op city outlets have been opened for the convenience of consumers. The Minister said that co-operative system is primarily a programme that is exempt from tax.

This is the only public co-operative scheme that does not pay taxes to the Government. Therefore, the taxes which are not paid to the Government accrue as savings to the co-operative societies.

This type of scheme had never been implemented by any finance ministers in the past. He said there are 354 ‘Co-op city’ outlets which run in the framework of supermarkets of the MPCS, have already been opened in the island.

The Minister said when you watched the Rupavahini TV live-pictures of soldiers capturing the Kilinochchi districts, you also saw an advertisement depicting “Co-op city” in a picture. So the “Co-op city” of the MPCS was now established in Kilinochchi territory that was once under Prabhakaran.

He said, with the amalgamation of “Sathosa” that was ruined and made bankrupt by economic transgressors, we have a cumulative total of 100 wholesale branches and by April, for the Sinhala New Year, in 2009, the Co-operative system will become the largest distribution network in the island.

There won’t be an alternative commercial network that is higher or greater than our streamlined co-operative system. That’s how we are able to control the private dealers who are accustomed to make excessive profits and fleece the customers.

The Minister said, “we know that when a private shop sells a kilo of dhal for Rs. 230, the Co-operative sales outlets sold the same for Rs. 170 or 180.

When the private sector sold a kilo of garlic for Rs. 80, a Co-op sales outlet would sell the same for Rs. 40 or 35, and when a packet of milk was sold for Rs. 260 by private dealers, the Co-operative shops sold it for Rs. 225. And though the private sector does not sell rice at the maximum price of Rs. 70, a co-operative market sales outlet sold rice for Rs. 68.