Argyll Food Producers set up a consortium co-op

The company

Argyll Food Producers is a consortium of nine food producers from across Argyll and the Islands.

It sells its produce at events under the Food from Argyll banner and was formed in 2008 following successful joint marketing at events, including the Connect Music Festival, T in the Park and the Wickerman Festival.

Introduction

"The members all saw the co-operative as an opportunity to get into a market that would be really hard to crack on their own," explained co-ordinator Fergus Younger.

"Turnover has grown markedly year-on-year and it has become increasingly profitable as members refine their operations." CDS supported a feasibility study through the Scottish Agricultural Organisation Society (SAOS) to help the group assess its potential as a co-operative.

A specialist adviser helped to draw up governance procedures and a members' agreement, which sets out how the members agree to work together. The co-operative acts like a broker, covering up-front costs until the event has been undertaken. Sharing the cost of transport and infrastructure reduces risk and maximises return on investment. The members have grown both turnover and profitability through the consortium, with the Food From Argyll brand gaining significant market recognition.

The consortium business model