【Booklet】Beginning of agricultural cooperatives <Nogyokyodokumiai (agricultural cooperatives) Law ⑤>(March 26, 2016)

Inaugurated Zenchu (Central Union of Nogyokyodokumiai (agricultural cooperatives)), guidance institution

Yasushi Hasumi appointed the first president of Zenchu

Yasushi Hasumi appointed the first president of Zenchu

Founders meeting of Zenkokushidonogyokumiairengokai (Zenshiren) (National Guidance Federation of Nogyokyodokumiai (agricultural cooperatives)), predecessor of Zenkokunogyokyodokumiaichuokai (Zenchu) (Central Union of Nogyokyodokumiai (agricultural cooperatives)), was about to be opened. Just before, in Hakone of Kanagawa prefecture, noseikyogikai (Agricultural Policy Council) based on former nokai (chamber of agriculture) gathered the people who agreed with the establishment of organization centered to production guidance. In this meeting, the secretary general of Zenkokunokyorenrakukyogikai (National Nogyokyodokumiai (agricultural cooperatives) Council) based on the old sangyokumiai (cooperatives) was also invited and in attendance.

The course of the discussion was unknown, but in this meeting, they agreed “to establish Zenshiren (National Guidance Federation of Nogyokyodokumiai (agricultural cooperatives)) in any case, while unifying each other.” If it were not for this agreement, meetings of founders had been divided into two meeting held at the same time, nogyokyodokumiai (agricultural cooperatives) might have been split.

The article of the Nihon nogyoshinbun (The Japan Agricultural News) reporting the inauguration of Zenchu (Central Union of Nogyokyodokumiai (agricultural cooperatives))

The article of the Nihon nogyoshinbun (The Japan Agricultural News) reporting the inauguration of Zenchu (Central Union of Nogyokyodokumiai (agricultural cooperatives))

Since then, it was continued the discussion whether they should choose comprehensive theory or production center theory. But, the discussion gradually went oriented into the comprehensive theory, which Zenkokunokyorenrakukyogikai (National Nogyokyodokumiai (agricultural cooperatives) Council) had claimed.

On October 23, the founding meeting of Zenshiren, (National Guidance Federation of Nogyokyodokumiai (agricultural cooperatives)) was held in Tokyo. Gunji Shimamura( 1895 ~ 1986, a member of the House of Councilors after), president of prefectural guidance federation of Okayama of nogyokyodokumiai (agricultural cooperatives), was appointed the first president of zenshiren. The meeting also made incidental resolution “to run the Nihon nogyoshinbun.”

Overcome on contradiction of Zenshiren (National Guidance Federation of Nogyokyodokumiai (agricultural cooperatives))

The long-awaited guidance institution was established. However, Zenshiren was having a contradiction from its establishment. It was referred to as “comprehensive guidance institution of nogyokyodokumiai (agricultural cooperatives) movement.” However, it was only the positioning of the “professional federation of prefectural guidance federation.” It was positioned in parallel with other business federations. Financial background was also weak. In this state, it was unable to ensure the comprehensiveness and nationwide uniformity. It was also difficult to implement strong leadership education. Some complained of reduction of the field of activity, some insisted on expanding and strengthening including agricultural extension services executed by government. As a consequence of the discussion, it began running towards the creation of Zenchu (Central Union of Nogyokyodokumiai (agricultural cooperatives)).

Amendment of Nogyokyodokumiai (agricultural cooperatives) Law of 1954 became a large-scale one. Special item of revision was establishment “Zenchu (Central Union of Nogyokyodokumiai (agricultural cooperatives)),” as a corporation of the non-profit.

The character of local cooperatives was defined as ” organization of voluntary mutual assistance, for promoting common interests of its members by managing cooperatively and providing services necessary for its members.” Federation was also defined like that. On the other hand, the character of the Zenchu was not only for the nogyokyodokumiai (agricultural cooperatives) members. Zenchu was conceived as “organization aiming for promoting the sound development of the nogyokyodokumiai (agricultural cooperatives), and serving the widely social general interests, throughout the nogyokyodokumiai (agricultural cooperatives).” It was considered like “public interest corporation” of the Civil Code.

Main business of Zenchu was considered the guidance of nogyokyodokumiai (agricultural cooperatives). Although agricultural activities and technical guidance were not denied, but its main mission was to help the nogyokyodokumiai (agricultural cooperatives) to be organized and managed more appropriately by its guidance, education, audit, enlightenment propaganda, and investigation. In order to fully accomplish this mission, Zenchu was given special status. It was not positioned in parallel with other business federations, different from Zenshiren. It was considered to lead the entire nogyokyodokumiai (agricultural cooperatives) from a higher place than local nogyokyodokumiai (agricultural cooperatives) and federation stage. On matters relating to nogyokyodokumiai (agricultural cooperatives), it was given “the right to propose” to government agencies.

Inaugural Meeting of Zenchu was held on November 15 1954. Yasushi Hasumi ( 1891 ~ 1964  ), president of zenshiren, was appointed as the first president.

More than 60 years have passed since the amendment of Nogyokyodokumiai (agricultural cooperatives) Law of 1954. In 2014, Nogyokyodokumiai (agricultural cooperatives) Law has been significantly amended. Point of the amendment is as follows;

1)to abolish non-profit provision, 2) to appoint  certified farmers and  professionals of management as majority of board members, 3) to transit Zenchu to a general incorporated association, by the end of September 2019, 4) to be obliged a certified public accountant audit until the same period, 5) To enable the transition of zennoh (national federation of nogyokyodokumiai (agricultural cooperatives)) and keizairen (prefectural federation of nogyokyodokumiai (agricultural cooperatives)) to a joint‐stock company.

Tsukuru Akeda of Norinchukin Research Institute, who is familiar with details of the Nogyokyodokumiai (agricultural cooperatives) Law, said ” This time the government stepped into autonomy, independence which is the origin. It requires to appoint certified farmers as majority of board members, but the configuration of the board members should be decided by the members of cooperatives, it should not be instructed by the government. The government should consider measures to foster a cooperative.”

(The end)

Reference = “Nogyokyodokumiai (agricultural cooperatives) system history, the second volume,” JC Research Institute, Tsukuru Akeda ” Nogyokyodokumiai (agricultural cooperatives) Law ” Keizaihorelkenkyukai (Economic laws and regulations Study Group), Liquidation office of National Guidance Federation of Nogyokyodokumiai (agricultural cooperatives) “zenshiren (National Guidance Federation of Nogyokyodokumiai (agricultural cooperatives)) history” the same office,  Masaaki Ishida “History of JA and our role” Ienohikarikyokai

 

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