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OXFAM LAUNCHES WORKER-OWNED FACTORY IN ARMENIA
Friday, October 3rd, 2014
http://asbarez.com/127583/oxfam-launches-worker-owned-factory-in-armenia/
Oxfam in Armenia Country Director Margarita Hakobyan (center) visits
workers at the Ayrum Fruits factory prior to its grand opening.
BY SEROUJ APRAHAMIAN
YEREVAN--On Friday, the northern Armenian town of Ayrum celebrated the
opening of a brand new, 1200 square meter fruit processing plant. With
the support of Oxfam in Armenia, the factory is providing thousands
of local producers not only with much-needed income, but a sense of
solidarity and empowerment.
"For the first time ever, we are instituting a social enterprise
business that will create jobs and address challenges facing our
remote border communities," said Oxfam in Armenia Country Director
Margarita Hakobyan. "In addition to fighting poverty through this
enterprise, we hope to put forward a practical model that can be
duplicated throughout the country."
During the Soviet years, Ayrum was famous for its canned food factory,
which employed over 1800 workers and supplied countless cities with
quality jams and preserves. But production at the factory stopped
after the collapse of the Soviet Union, taking with it the region's
economic lifeline.
Local residents essentially had two options left: either look for
work abroad or sell seasonal crops along the roadside.
Things began to change in 2011 when a group of agricultural producers
in Ayrum and Lchkadzor established an Oxfam-sponsored cooperative.
They began pooling their resources and working together to restore
the town's legacy of canned food production.
In addition to helping with start-up capital for the plant--which
stands directly across from the old Soviet factory--Oxfam provided the
co-op everything from training and technical assistance, to guidance
on marketing and developing a sound business model.
The factory is now in full swing with a core, mostly-female, workforce
of nearly two-dozen employees and women from the surrounding 10
communities involved as fruit pickers.
A mostly female workforce is already busy making organic, high quality
processed fruit at the newly opened Ayrum Fruits Co-op.
"This is a very big achievement," says factory technologist Sveta
Aghayan. "We had a lot of unemployed people who needed a place to
work and now they have that."
Aghayan is one of two remaining experts from the Soviet canning factory
who are working at the new plant. At 75-years-old, she came out of
retirement specifically to help the co-op succeed in its endeavor.
"I don't need to work here," she explains. "I'm merely here to pass
on my knowledge to the next generation."
Several potential buyers have already been identified along with
plans for getting the goods to market quickly. The co-op has its
sights set on selling consumer ready jams and juices both locally
and to countries such as Georgia (whose border is only one mile away)
and Russia. Additional financial supporters have also come on board
alongside Oxfam.
By the time the factory reaches capacity, it is projected to employee
60 workers and provide a regular source of income to nearly 2000
people in the area.
Perhaps just as important as the economic activity, however, is the
immeasurable social value being generated.
Members of the co-op democratically decide the direction of the
enterprise through an annual general meeting, while an elected
executive runs daily affairs. Workers also share in the profit
accordingly, giving them an incentive to work harder to make the
business thrive. For Armenia, this is an unprecedented level of
employee voice and ownership that is helping foster a greater sense
of community and participation.
75-year-old Sveta Aghayan came out of retirement to share her
Soviet-era experience with the younger women at the plant. She oversees
all steps of the production process to ensure quality control.
>From the very onset, the co-op has also highlighted the essential
role of women in local agricultural life. Special effort has been
made to strengthen their voices, provide them with leadership skills,
and involve them in all aspects of the production process.
Of course, the whole concept of the cooperative is rooted in
people coming together to find their way out of poverty. Rather
than struggling in isolation, participants have realized that they
can accomplish a great deal more when they join forces and assist
one another.
"I want the concept and culture of teamwork to be established in
Armenia," says Ruslan Antonyan, co-founder of the Lchkadzor Co-op
and director of operations at the factory. "There is a very important
psychological and educational factor at play here."
In this way, the Ayrum fruit-processing plant is an important
development for those seeking a new economic model in Armenia--one
that is based on values of participation, empowerment and solidarity
We have seen over the last decade how growth alone is not enough to
tackle the fundamental challenges affecting the country. The GDP
can reach double-digit figures, yet only benefit a small segment
of the elite. Problems such as the lack of a stable middle class,
unequal distribution of power, and extreme individualism can only be
tackled by a new notion of development that places as much value on
the quality of economic growth as on the quantity.
Workers at the Ayrum factory hope to be the harbingers of this
alternative vision. They are determined to make their business a
success so others will emulate their example throughout the country.
In fact, another Oxfam-supported cooperative factory is already
scheduled to open next month in the Tavush village of Sevkar.
There are countless challenges yet to be overcome--not the least of
which are securing financial support, overcoming the legacy of Soviet
top-down structures, and competing viably in the marketplace--but
there is no doubt that such people-centered solutions are essential
for a more democratic and durable form of development in Armenia.
From: Emil Lazarian | Ararat NewsPress
Friday, October 3rd, 2014
http://asbarez.com/127583/oxfam-launches-worker-owned-factory-in-armenia/
Oxfam in Armenia Country Director Margarita Hakobyan (center) visits
workers at the Ayrum Fruits factory prior to its grand opening.
BY SEROUJ APRAHAMIAN
YEREVAN--On Friday, the northern Armenian town of Ayrum celebrated the
opening of a brand new, 1200 square meter fruit processing plant. With
the support of Oxfam in Armenia, the factory is providing thousands
of local producers not only with much-needed income, but a sense of
solidarity and empowerment.
"For the first time ever, we are instituting a social enterprise
business that will create jobs and address challenges facing our
remote border communities," said Oxfam in Armenia Country Director
Margarita Hakobyan. "In addition to fighting poverty through this
enterprise, we hope to put forward a practical model that can be
duplicated throughout the country."
During the Soviet years, Ayrum was famous for its canned food factory,
which employed over 1800 workers and supplied countless cities with
quality jams and preserves. But production at the factory stopped
after the collapse of the Soviet Union, taking with it the region's
economic lifeline.
Local residents essentially had two options left: either look for
work abroad or sell seasonal crops along the roadside.
Things began to change in 2011 when a group of agricultural producers
in Ayrum and Lchkadzor established an Oxfam-sponsored cooperative.
They began pooling their resources and working together to restore
the town's legacy of canned food production.
In addition to helping with start-up capital for the plant--which
stands directly across from the old Soviet factory--Oxfam provided the
co-op everything from training and technical assistance, to guidance
on marketing and developing a sound business model.
The factory is now in full swing with a core, mostly-female, workforce
of nearly two-dozen employees and women from the surrounding 10
communities involved as fruit pickers.
A mostly female workforce is already busy making organic, high quality
processed fruit at the newly opened Ayrum Fruits Co-op.
"This is a very big achievement," says factory technologist Sveta
Aghayan. "We had a lot of unemployed people who needed a place to
work and now they have that."
Aghayan is one of two remaining experts from the Soviet canning factory
who are working at the new plant. At 75-years-old, she came out of
retirement specifically to help the co-op succeed in its endeavor.
"I don't need to work here," she explains. "I'm merely here to pass
on my knowledge to the next generation."
Several potential buyers have already been identified along with
plans for getting the goods to market quickly. The co-op has its
sights set on selling consumer ready jams and juices both locally
and to countries such as Georgia (whose border is only one mile away)
and Russia. Additional financial supporters have also come on board
alongside Oxfam.
By the time the factory reaches capacity, it is projected to employee
60 workers and provide a regular source of income to nearly 2000
people in the area.
Perhaps just as important as the economic activity, however, is the
immeasurable social value being generated.
Members of the co-op democratically decide the direction of the
enterprise through an annual general meeting, while an elected
executive runs daily affairs. Workers also share in the profit
accordingly, giving them an incentive to work harder to make the
business thrive. For Armenia, this is an unprecedented level of
employee voice and ownership that is helping foster a greater sense
of community and participation.
75-year-old Sveta Aghayan came out of retirement to share her
Soviet-era experience with the younger women at the plant. She oversees
all steps of the production process to ensure quality control.
>From the very onset, the co-op has also highlighted the essential
role of women in local agricultural life. Special effort has been
made to strengthen their voices, provide them with leadership skills,
and involve them in all aspects of the production process.
Of course, the whole concept of the cooperative is rooted in
people coming together to find their way out of poverty. Rather
than struggling in isolation, participants have realized that they
can accomplish a great deal more when they join forces and assist
one another.
"I want the concept and culture of teamwork to be established in
Armenia," says Ruslan Antonyan, co-founder of the Lchkadzor Co-op
and director of operations at the factory. "There is a very important
psychological and educational factor at play here."
In this way, the Ayrum fruit-processing plant is an important
development for those seeking a new economic model in Armenia--one
that is based on values of participation, empowerment and solidarity
We have seen over the last decade how growth alone is not enough to
tackle the fundamental challenges affecting the country. The GDP
can reach double-digit figures, yet only benefit a small segment
of the elite. Problems such as the lack of a stable middle class,
unequal distribution of power, and extreme individualism can only be
tackled by a new notion of development that places as much value on
the quality of economic growth as on the quantity.
Workers at the Ayrum factory hope to be the harbingers of this
alternative vision. They are determined to make their business a
success so others will emulate their example throughout the country.
In fact, another Oxfam-supported cooperative factory is already
scheduled to open next month in the Tavush village of Sevkar.
There are countless challenges yet to be overcome--not the least of
which are securing financial support, overcoming the legacy of Soviet
top-down structures, and competing viably in the marketplace--but
there is no doubt that such people-centered solutions are essential
for a more democratic and durable form of development in Armenia.
From: Emil Lazarian | Ararat NewsPress