HONDURAN FED INDUSTRIAL COOPS PVO-OPG

FEHCIL will implement the project with USAID technical assistance. FEHCIL membership will be increased by five to a total of ten active industrial cooperatives. Owners of small industrial and artisan workshops, each employing at least five heads of households, will be eligible for cooperative membership. An additional five regional pre-cooperatives will be organized. The managers and administrative board members of the ten cooperatives and pre-cooperatives will be trained in the areas of management, financial planning, organization, decision-making, and personnel management. FEHCIL"s educational role will be strengthened by offering 11 short-term local training programs to leaders, managers, and other personnel of all members cooperatives. Training will be as follows: (1) two management development courses for 16 participants from eight cooperatives; (2) two courses on cooperative management and organization for 25 participants from five cooperatives; (3) two auditing courses for 20 participants from six cooperatives; (4) two courses on inventory control for 13 participants from eight cooperatives; (5) two human relations courses for 16 participants from eight cooperatives; and (6) one course in curriculum design for eight participants from three cooperatives. A revolving fund to finance cooperative purchases of raw materials for resale to members will be established. A secondary purpose of the fund will be to finance cooperative purchase of members" goods for resale to the public. A shoemaker and a carpenters" cooperative will be the initial loan recipients. Interest on the loans will be at 11% and terms will be for six months. The recipient will be able to apply for a four-month extension if necessary. The revolving fund will be recapitalized by repayment of the loans by the cooperatives after the first six months.