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Address by the President of the Republic at the Centenary of Estonian cooperative trade on November 7, 2002, at the Concert Hall Estonia07.11.2002
Honourable Champions and Veterans of Estonian Cooperative Trade,
Dear Guests,
The year 2002 in the history of Estonian consumer cooperatives marks a most important milestone - one hundred years have passed since the first consumer cooperative was founded at Antsla.
For now, the cooperatives have left behind a testing history, which has been characterized by changing economic climate, different social orders, liquidations, mergers and renamings. Yet nothing was able to destroy cooperative operations and the idea constituting their foundations. Quite the opposite - the current vitality of cooperatives is confirmed by the fact that the system of ETK comprises 27 regional consumer cooperatives totalling 46,000 members. This is a great force.
And the strength of cooperative trade just lies above all in its dimensions: both in its large membership and the big number of consumers. A close-meshed network of 500 shops of the ETK-system is covering Estonia. The logistic services offered by the central cooperative make high-quality goods accessible even to the inhabitants of the remotest rural regions. At the same time, there are members of consumer cooperatives living in all places of Estonia, both in large centres and in backwoods hamlets. These members know the needs and expectations of people in their neighbourhood, and local conditions likewise. Through local consumer cooperatives, they can influence the development of the whole ETK-system.
And so, we can add to this large network a feeling of togetherness and security, which, in turn, forms the basis of the system's strength. The synergy arising from this kind of joint action is a good prerequisite for future developments.
According to forecasts, this year's sales of the ETK-trade-system should exceed four billion kroons. Moreover, attention should be paid to the fact that over 80% of the sales in cooperative trade are made outside the capital.
It would be great, if their activities including all Estonian counties and the strong social aspect concomitant of regionalism could survive as distinctive features of consumer cooperatives. For numerous shops in many villages and small towns are significant employers. Apart from shops, also other enterprises of the system, for instance bakeries, give jobs to local residents. And so, the ETK-system has 5,100 workers altogether.
The village shop is one of the most popular sites of communicating. In future, it could become a kind of service centre where local people could pay for public utilities, order catalogue goods, and use the Internet.
Complex solutions and systematic approach help the cooperative business to compete successfully with other forms of enterprise. To these qualities can be added a good development potential, which the cooperative system undoubtedly has. In this framework, all members can put into practice their knowledge, skills and spirit of initiative.
The development is furthered also by great competition in the field of trade. Estonia's location at the crossroads of European trade routes, our favourable investment climate and liberal trade policy have prompted foreign capital to invest here. Arrival of large international trade chains in Estonia poses a serious challenge to the ETK-system. But, at the same time mobilizing one's skills and chances spurs on positive developments.
I am sure that, as yet, the cooperative trade has not taken advantage of all its opportunities. Working together with small enterprises and using local initiative are just a few examples to be mentioned. Many villagers are willing and definitely able to take up some kind of small business, like cutting firewood or picking berries, but they may lack the knowledge of how to market their products and, sometimes, they need help in organizing transport. Delivery trucks of ETK are running every day - maybe their routes could be used in order to transport and to sell small consignments sent by local people.
The first century of Estonian cooperative trade has seen both good and bad times. I wish that you - in close co-operation with Estonian producers and consumers - had a great success in the years ahead.
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