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References                                                      65

            that their internal funding capacity was limited and bank loans became more
            difficult to obtain. They were forced to look for new sources of finance to develop
            the new activities desired by the cooperative members, while attempting to main-
            tain stable cooperative governance structures.
              To integrate activities upstream and downstream of processing, firms on the site
            developed complex financial arrangements, which included participation by capi-
            talist firms. Whilst this method made it possible to extend their activities, it made
            the cooperative logic less clear for their members. The members are the base of the
            whole cooperative system. They are at once owners, clients and suppliers. The
            managers must therefore be careful to maintain their trust. One of their major
            challenges is undoubtedly to develop the farmers’ “market culture” through training
            and communication, since in the future they will have to reason more as a private
            company to anticipate the progress of their global competitors and market trends.
              The Bazancourt-Pomacle Biorefinery has significant potential for growth.
            Markets for bio-based products are booming, which provides excellent
            opportunities for development. However, the region is less attractive than a number
            of international competitors due to the European regulatory situation and French
            tax laws.
              A high degree of synergy has been developed on the site (steam, products, waste,
            R&D), which we will describe in more detail in Chap. 3.



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