Consumer Cooperatives in Qatar: Their Development and Effects

Abstract

There are ten consumer cooperatives in Qatar, and they do not differ in any substantial way from any ordinary grocery stores. However, the profit-sharing scheme is an element which differentiates cooperatives from such stores. Since 1976 until the present, the role of the government is noticeable. The government provides financial and moral support to cooperatives. In spite of this, membership is very limited in numbers, and the return to members is low relative to that earned by members of boards of management who contribute very little to the cooperatives. With respect to their relations with the private sector, cooperatives have reduced the sales of the privately-owned shops, and, at the same time depend on wholesales for their supplies of goods. The effects of cooperatives in the Qatari society may be summed up as an introduction of an alternative to the privately-owned shops, although their contribution to the national output is unimportant. This is a valid argument despite of their relative large sales and assets, because they act as retailers, and not producers of goods or services.