Quebec-based farmers’ co-operative La Coop fédérée is present throughout the agri-food supply chain and provides a range of goods and services, including petroleum products, hardware and machinery.
The world of agriculture is rapidly changing. Globalization, advancements in digital technologies, the concentration of farms into ever larger holdings, and unfolding trade agreements such as the Trans-Pacific Partnership are having a profound impact.. Agri-businesses that understand and adapt to these changes have an opportunity to thrive and prosper, says Gaétan Desroches, CEO of La Coop fédérée, a Quebec-based farmers' co-operative that has been in operation since 1922. To meet these challenges, La Coop is expanding its business both inside and outside Quebec.
"In recent years, we have chosen very clear strategies based on where the business stands and where it is going," he says. "We have determined that for an agri-business like ours to be successful in the global setting, it must develop strong complementary networks, both internally and externally."
The company is well positioned to do so. "We are present throughout the Canadian agri-food supply chain providing a range of goods and services for the agricultural sector, including petroleum products, hardware and machinery," says Mr. Desroches.
Acquisition has been a key component of La Coop's strategy; in the past six years, it purchased Manitoba-based Agrico Canada, one of Canada's oldest and largest fertilizer companies, allowing it to become the biggest fertilizer distributor in Eastern Canada. In 2008, it acquired Agronomy Company of Canada, part of a strategy to give it a 50 per cent stake in Ontario's agri-input market. Its meat processing division, Olymel, is the largest pork and poultry exporter in Canada, with as much as 50 per cent of its pork products going to Asia. On the crop side, the company recently developed strategic alliances in the areas of both corn and soybean seeds.
In addition to operating in the agricultural sector, La Coop fédérée is also a leading retailer. As many as 360 Unimat and BMR hardware and renovation centres operate in Quebec, Ontario and the Maritimes. Sonic Energy is the largest independent Quebec distributor of petroleum products and the second largest propane distributor in Quebec. The retail network serves not only farmers, but all consumers whether they are a member of the co-operative or not.
Mr. Desroches says the company is doing all this while at the same time staying loyal to its original vision of remaining close to farmers and serving both their needs and the needs communities across Canada. "The co-operative model is and always has been a promising model for community development because of the way it blends capitalist concepts with human values. We are finding that this is important to young people today; they want to see capitalism with a conscience, and that is exactly what La Coop will practice no matter how big or multifaceted it becomes."
This content was produced by Randall Anthony Communications, in partnership with The Globe and Mail's advertising department. The Globe's editorial department was not involved in its creation.