Agriculture Reference
In-Depth Information
Box 14.6  Internal Control Systems - combining 
coordination mechanisms for social responsibility (R. 
Pyburn, PhD research on ICS as part of the SASA Project)
An Internal Control System (ICS) is a certification mechanism that allows smallholders in
developing countries to access organic markets through producer group certification.
First developed in Latin America in the 1980s as a development tool, ICSs allow
producers to come together as a cooperative or an association for marketing and the
certification of production. IFOAM estimates that there are over 350 producers groups
with 150,000 members internationally (March 2003 Position paper) and that about 60%
of organic produce sold in Europe comes from developing countries.
Organic ICSs have required elements that include:
• internal monitoring system;
• external verification that focuses on the system with samples based on risk assessments
of individual producer farms;
• internal system for extension and capacity building; and
• joint marketing.
The ICS that are certified to IOAS-accredited certification body standards are
compelled (as of the 2002 IBS revision) to comply with chapter 8 on social justice (see
Box 14 . 2 ) as well as the rest of the IBS. In addition, many ICSs are part of producer
cooperatives that also have fair trade certification. As such, additional social justice and
development standards are in place - the regulatory and collaboration dimensions. The
learning element of ICSs is perhaps the most dynamic and interesting. Extension is an
integral and essential aspect of ICSs - and is predominantly used for technical issues.
However, ICSs, once in place are often a framework for other kinds of development and
learning (e.g. parallel systems - HIV/AIDS education in Uganda via EPOPA Projects, local
community economics in Thailand).
Conclusions
Different kinds of learning about and towards social responsibility and at multiple levels are
essential ingredients to improving social responsibility within the organic sector. Formation of
coalitions, political alliances and innovative networks, as well as creative use of confrontation
and conf lict, would all make for many forms and levels of learning and lead to progress in the
social responsibility arena. Collaborations like these within the sector need to be crystallised
in agreed-upon and somewhat f flexible regulations and economic incentives that support the
sector and promote further learning.
To reiterate our conclusions and recommendations, social responsibility in organic agri-
culture needs to include:
1 Standards and/or regulations on baseline social issues (see e.g. ILO, SAI, fair trade, IBS
Chapter 8), created and supported by multiple stakeholders in the organic food chain.
2 Collaboration between organic standard-setters and certifiers with other social standard-
setters and certifiers (e.g. FLO, SAI, SAN, ILO, trade unions) to better address social
responsibility.
3 Learning on social responsibility needs to be embedded at all levels within the organic
supply chain (producers, processors, exporters, wholesalers, retailers) and certification
hierarchy (standard-setting organisations, certification bodies, farmer organisations,
farmers). Ideally the standards and regulations listed under a hierarchy are - temporary
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