Co-ops are a cornerstone of economic security and a force for stability in migration policy

Doug O'Brien

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Here at home, cooperatives are also a stabilizing force. Take rural electric cooperatives: they serve 42 million Americans in 56% of the nation’s landmass, including hard-to-reach areas that for-profit utilities ignore. Or consider agricultural co-ops, which enable over 1.9 million U.S. farmers to compete in global markets, preserve generational farms and contribute to food security.”

Across the U.S. and around the world, cooperatives stand as a powerful model of democratic ownership, local economic resilience and inclusive prosperity.

From rural electric co-ops that power remote communities, to worker-owned businesses creating dignified jobs, cooperatives have quietly served as engines of opportunity — particularly in communities overlooked by traditional markets.

What’s often less appreciated is the cooperative model’s potential to address broader systemic challenges, including one of today’s most pressing geopolitical issues: irregular migration.

In the U.S., cooperatives are a quiet force in the economy. More than 65,000 cooperative businesses operate across the country, generating over $650 billion in annual revenue and supporting more than 2 million jobs, according to the University of Wisconsin’s Center for Cooperatives. These businesses span sectors ranging from agriculture and finance to housing and retail, delivering essential services to over 130 million Americans who are co-op members.

Crucially, cooperatives distribute wealth more equitably. Because they are owned and controlled by their members — be they workers, producers or consumers — co-ops reinvest in their communities, rather than extract value for external shareholders. This democratic structure fosters economic stability, particularly in rural and underserved areas, reducing the “push” factors that contribute to migration both domestically and abroad.

We know the facts. Irregular immigration is driven by a lack of economic opportunity, insecurity and institutional breakdowns in countries of origin — these are all, however, conditions that can be mitigated by cooperative development. NCBA CLUSA’s development work has demonstrated the power of co-ops to transform communities from the ground up.

In countries like Guatemala, El Salvador and Honduras — key sources of migration to the U.S. — we’ve seen how supporting farmer cooperatives improves livelihoods, reduces violence and creates real incentives for families to stay and invest in their futures.

A 2021 USAID report found that areas with strong cooperative development saw up to a 40% reduction in migration intentions. In Honduras, for instance, coffee cooperatives participating in NCBA CLUSA programs reported increased household income by 30%, directly correlating with reduced migration pressure.

Here at home, cooperatives are also a stabilizing force. Take rural electric cooperatives: they serve 42 million Americans in 56% of the nation’s landmass, including hard-to-reach areas that for-profit utilities ignore. Or consider agricultural co-ops, which enable over 1.9 million U.S. farmers to compete in global markets, preserve generational farms and contribute to food security.

When these economic ecosystems flourish, the pressure for individuals to migrate for survival diminishes. Cooperatives ensure that opportunities exist where people live, reducing the need for people to leave home in search of dignified work or safety.

To fully realize the potential of cooperatives to deter irregular immigration particularly, policymakers must integrate cooperative development into both foreign aid and domestic economic policy. 

This means the following:

• Including cooperative priorities in Farm Bill negotiations and rural development initiatives; and
• Facilitating access to capital and technical assistance for the U.S.-based co-ops in immigrant and low-income communities.

At its core, the cooperative model respects the dignity of every person and empowers individuals to shape their economic destiny.

In an era of complex migration patterns and economic dislocation, cooperatives provide a human-centered solution that transcends borders.

By investing in cooperatives, we’re not only building a stronger American economy — we’re investing in stability, security and shared prosperity. 

That’s a future worth co-creating.

Editor’s note: Doug O’Brien is president and CEO of the National Cooperative Business Association CLUSA International — NCBA CLUSA —  a nonprofit trade association for cooperative businesses. Please send your comments to AzOpinions@iniusa.org. We are committed to publishing a wide variety of reader opinions, as long as they meet our Civility Guidelines.