scholarly journals Factors that facilitate development of small agricultural cooperative farm alliances

2021 ◽  
Vol 935 (1) ◽  
pp. 012045
Author(s):  
O Afanaseva ◽  
V Elmov ◽  
E Ivanov ◽  
A Makushev

Abstract Although cooperative movement in Russia has a pretty long history, achieving its proper functioning failed for a variety of reasons. With new support measures in place, namely, to establish a basic infrastructure - since 2015, to acquire assets and farm equipment, agro-processing equipment - since 2019, cooperatives in Russia geared to promoting small farms are expected to flare up. In this context, this paper reviews key statistical indicators of the current structural changes in agro-industry, as well as the health and contribution of small farms to the agricultural industry in general. This work aimed to identify preconditions for Russian farmers to form cooperatives. This is of the utmost importance since small farms produce nearly half of the country’s total agricultural output, own 37% of arable land, 56% of cattle, and ensure a quarter of employment. Through the research, a range of malpractices affecting the progress of small farms has been identified. They are dearth of modern technology, efficient staff, impossibility to invest in working capital, problems with marketing of produced goods, etc. Creating well-functioning agricultural cooperatives will address the above challenges today’s Russian farmers face.

2020 ◽  
pp. 59-68

The article aims to analyze the structural changes in agricultural cooperatives in Bulgaria, in terms of the Common Agricultural Policy (CAP) of the European Union (EU) and, on this basis, outline the main trends in their development. The analysis is based on official statistical information from the Ministry of Agriculture and Food and Forestry (MAF) “Agrostatistics”, primary data “Agricultural and Accounting Information System” (FADN) National Strategic Institute (NSI). The trend of changing the following indicators is investigated: number of agricultural cooperatives in Bulgaria, changes in the utilized agricultural area (UAA,); changes in arable land, average size of UAA, labor force, dynamics of the production structure (crop and livestock) for the 2007-2016 period. The results show that, as a consequence of the implementation of the CAP for the 2007-2016 period, structural changes in agricultural cooperatives are reported. They are expressed in the lasting tendency to decrease both their number and the land they manage. The analysis shows that the incentives under the various CAP support schemes have positive effects on the diversification of crop production. In general, the areas with cereals and oilseeds have decreased over the years. In 2016, there was an increase in the production of fresh fruits and vegetables as a result of the implementation of CAP measures resulting from coupled payments. Despite the CAP subsidies to support the livestock sector, including the support of farms included in selection control schemes, at the end of the period the number of cooperatives developing cattle breeding was almost halved. Despite the negative results in general, at the level of the production unit the result is in the consolidation of production.


2018 ◽  
Vol 20 (86) ◽  
pp. 28-33
Author(s):  
V. O. Gorbanyuk

The history of rural cooperatives in Ukraine is quite deep. It includes both national characteristics and certain global trends. Today in Ukraine the cooperative movement in the agro-industrial complex is primarily connected with the implementation of a comprehensive, agrarian, incl. land reform. The legal and normative mechanisms of socio-economic relations in the village are regulated by the Tax Code of Ukraine, the Civil Code of Ukraine, the Commercial Code of Ukraine, the Land Code of Ukraine, the Law of Ukraine «On Farmers», the Law of Ukraine «On Personal Peasant Economy», the Law of Ukraine «On State Support to Agriculture», the Law of Ukraine «On State Registration of Legal Entities, Individuals-Enterprises and Public Formations», the Law of Ukraine «On Agricultural Advisory Activities», the Law of Ukraine «On Cooperation», the Law of Ukraine «On Agricultural Cooperation». These legislative acts determine that an agricultural cooperative is an important form of management, an integral part of a multi-faceted economy in the agro-industrial complex of Ukraine. However, it should be noted that at present the potential of agricultural cooperation in Ukraine remains poorly implemented, in particular, the establishment of multi-functional cooperatives, which in turn can form higher-level associations by sector or territory, act as founders of different types of enterprises, have their own competitive representations in the regions of Ukraine and abroad. Today should be answered rather effective is the prospect of introducing an integrated multi-profit agricultural service cooperatives built on profitable pricing under conditions of self-sufficient local communities combined with the experience and practices of the developed countries of Europe and the world. Does farmers need a real serving non-profit agricultural cooperative. The answer to this should be given by the conducted research, and the analysis of the existing experience. The history of Ukraine, including Galicia, had a positive experience in the functioning of rural cooperation. And in the world the particular importance are agricultural cooperatives which unite the efforts of rural producers in solving not only economic and social problems in the rural areas.


2019 ◽  
pp. 28-38
Author(s):  
Yuriy M. Petrushenko ◽  
Oksana S. Ponomarenko ◽  
Lída Böhmová ◽  
Olena V. Bykhovets ◽  
Liubov V. Kotiuk

The development of entrepreneurial initiatives in the form of agro-cooperatives can be a perspective way for the community to develop through the formation of active civil awareness of the population, to create new jobs, to improve the local infrastructure and to find additional investments. The research aimed at examining structure and factors which influenced cooperatives management in Sumy region. Questionnaires were administered in 5 cooperatives to 19 members. Multiple regression and correlation analyses were performed to identify factors believed to influence cooperatives’ management as well as to examine the degree of association between farm-specific and socio-economic variables. To evaluate the importance of cooperatives for its members and management, such a resulted factor, as “receiving a better price as a member of cooperative” was chosen. Results indicate that a significant factor on perception to receive a better price as a member of the agricultural cooperative was age with the effect of the coefficient been about 4.1 %. Factors such as gender, education, farm size and ways to resolve conflict situations in the agro-cooperative turned out to be statistically insignificant. The purpose of this research mini-paper is to study certain aspects of the cooperative movement in Ukraine and the Sumy region. The object of research is to identify the extent to which various factors influence the activities of cooperatives. The theoretical and methodological basis of the research reported in the research mini-paper were the main provisions of national scientists and development and international experience problems with cooperation, theory, and practice of marketing, personal assessment of the authors. People with a higher level of education better evaluated the importance of cooperative for the local community. However overall local’s vision of the cooperative movement is positive and most of the respondents would like to have more cooperatives in their villages. It was founded, that the lack of information about cooperative movement which resulted in the low interest of low people in joining cooperatives. In light of the above, creating more awareness of the cooperative movement in the local communities could be a way to involve the youth to participate in the cooperative movement. Key words: socio-economic development, local communities, agricultural cooperatives, management, regional development.


2018 ◽  
Vol 13 (1) ◽  
Author(s):  
Reza Hendriyantore

The effort to put good governance in development in Indonesia is basically not new. Since the Reformation, the transformation of closed government into an open government (inclusive) has begun to be pursued. Highlighting the conflicts in the land sector that tend to strengthen lately, there are some issues that have intensified conflicts in the field, such as the lack of guaranteed land rights in various legal and policy products. In this paper, a descriptive method is considered important in identifying the applicable issue and methodological framework for addressing governance issues in Indonesia. To reduce such agrarian conflicts between farmers and the government, and as an effort to increase farmers' income, all farmers are incorporated into agricultural cooperatives. Agricultural cooperatives are structured down to the National Level. Thus, farmers participate in good access to the marketing of agricultural produce.Keywords:good governance, agrarian conflict, agricultural cooperative


2021 ◽  
Vol 13 (4) ◽  
pp. 1643
Author(s):  
Biao Li ◽  
Yunting Feng ◽  
Xiqiang Xia ◽  
Mengjie Feng

Along with industry upgrading and urbanization, the agricultural industry in China has been experiencing a stage of rapid development, on the bright side. On the other side, ecological environment deterioration and resource scarcity have become prevalent. Called by the current situation, circular agriculture arises as a direction for the industry to achieve sustainable development. This study develops an evaluation indicator system for circular agriculture using an entropy method, and evaluates factors that could drive the Chinese agricultural industry to achieve better performance. We employ the method using provincial data collected from the province of Henan, in which around 10% of the total grain in China is produced. It was found that agricultural technology and water resources per capita are positively related to circular performance in agriculture. In contrast, urbanization and arable land per capita are negatively related to circular performance. This article provides support to the government in policy-making related to the improvement of circular agricultural performance.


2021 ◽  
Vol 9 (3) ◽  
pp. 462
Author(s):  
Roni Mustofa ◽  
Dyah Aring Hepiana Lestari ◽  
Muhammad Irfan Affandi

This study aims to analyze the economic benefits, income of rice farming, allocation of credit usage and analyze the factors affecting the chances of the smoothness rate of return at Seandanan Agricultural Cooperatives. The research is conducted at Seandanan Agricultural Cooperative in Pesawaran Regency, Lampung Province, which is determined intentionally.  The research data were taken in July 2019.  This study uses a case study method.  Respondents in this study are 70 rice farmers member of Seandanan Agricultural Cooperative. The data analysis method use descriptive qualitative and quantitative analyses. The results showed that the economic benefits received by members of cooperative in one year is IDR1,711,312.47 and in high category. The average income of rice farming received by members of the Seandanan Agricultural Cooperative in one year has been classified as high, in the amount over cash costs and over total costs, respectively, of IDR17,308,552.78 and IDR16,416,268.56.  Allocation of credit of cooperative membersconsistd of 58.85% for productive activities and the rest, 41.15% for consumptive activities.  Factors that affect the chances of the smoothness rate of credit return by rice farmers members of Seandanan Agricultural Cooperative are the education level of farmers and the allocation of productive credit usage.Key words: agricultural cooperatives, consumptive, credit, and productive


2016 ◽  
Vol 34 (1) ◽  
pp. 35 ◽  
Author(s):  
Sri Hery Susilowati

<strong>English</strong><br />Qualified human resources with a good commitment to develop agricultural sector is one of the determining factors toward sustainable agricultural development. However, agricultural development deals with significant issue especially reduction in the number of young farmers. This paper aims to review structural changes from perspective of aging farmer and declined number of young farmers in Indonesia and other countries. Specifically, this paper identifies various factors causing the changes and describes the policies needed to support young workers to enter agricultural sector. The method used in this paper is both descriptive analysis and cross tabulation. The results show that aging farmers and young farmers decline in Indonesia keep increasing. The phenomena are also found in other countries in Asia, Europe, America and Australia. Various factors causing lack interest of young workers in agricultural sector, namely less prestigious, high risk, less assurance, unstable earning. Other factors are small size land holding, limited non-agricultural diversification and agricultural processing activities in rural areas, slow farm management succession, and lack of incentive for young farmers. To attract youth to enter agricultural sector, it is necessary to transform youth’s perception that agricultural sector currently is interesting and promising. The government needs to development agricultural industry in rural areas, introduces technology innovation, offers special incentives for young farmers, modernizes agriculture, and conducts training and empowerment of young farmers.<br /><br /><br /><strong>Indonesian</strong><br />Sumber daya manusia yang berkualitas dan memiliki komitmen membangun sektor pertanian merupakan salah satu faktor keberhasilan pembangunan pertanian berkelanjutan. Namun, pembangunan pertanian menghadapi permasalahan cukup serius, yaitu jumlah petani muda terus mengalami penurunan, baik secara absolut maupun relatif, sementara petani usia tua semakin meningkat. Tujuan makalah ini adalah melakukan review tentang perubahan struktural tenaga kerja pertanian dilihat dari fenomena aging farmer dan menurunnya jumlah tenaga kerja usia muda sektor pertanian di Indonesia dan di berbagai negara lainnya, mengidentifikasi berbagai faktor penyebab perubahan tersebut, serta kebijakan yang diperlukan untuk mendukung tenaga kerja muda masuk ke  sektor pertanian. Metode penelitian yang digunakan adalah analisis deskriptif dan tabulasi. Hasil analisis menunjukkan bahwa secara umum fenomena penuaan petani dan berkurangnya petani muda di Indonesia semakin meningkat. Kondisi seperti ini bukan hanya terjadi di Indonesia, namun juga di negara-negara lain di Asia, Eropa, dan Amerika.  Berbagai faktor penyebab menurunnya minat tenaga kerja muda di sektor pertanian, di antaranya citra sektor pertanian yang kurang bergengsi, berisiko tinggi, kurang memberikan jaminan tingkat, stabilitas, dan kontinyuitas pendapatan; rata-rata penguasaan lahan sempit; diversifikasi usaha nonpertanian dan industri pertanian di desa kurang/tidak berkembang; suksesi pengelolaan usaha tani rendah; belum ada kebijakan insentif khusus untuk petani muda/pemula; dan berubahnya cara pandang pemuda di era postmodern seperti sekarang. Strategi yang perlu dilakukan untuk menarik minat pemuda bekerja di pertanian antara lain mengubah persepsi generasi muda bahwa sektor pertanian merupakan sektor yang menarik dan menjanjikan apabila dikelola dengan tekun dan sungguh-sungguh, pengembangan agroindustri, inovasi teknologi,  pemberian insentif khusus kepada petani muda, pengembangan pertanian modern, pelatihan dan pemberdayaan petani muda, serta memperkenalkan pertanian kepada generasi muda sejak dini.


2021 ◽  
Vol 21 ◽  
pp. 661-674
Author(s):  
Confidence Ndlovu ◽  
Mfundo M. Masuku

This paper aimed to explore the effectiveness of agricultural cooperatives towards the enhancement of food security in rural areas. The formation of agricultural cooperatives in South Africa is a prerequisite for obtaining government support concerning activities aimed at social and economic development. It is well-documented that agricultural cooperatives are business entities and vehicles for food security. However, this review sustained that agricultural cooperative do not completely alleviate the vulnerability of food-insecure households because of the dearth of institutional support and sufficient productive resources.  Focus group discussions with six agricultural cooperatives and four face-to-face in-depth interviews with municipal officials were conducted to envisage the improvement of food security through agricultural cooperatives. Using thematic analysis to analyse data, findings confirmed that institutional support improves the efficiency of agricultural cooperatives at the local level. Furthermore, institutional support enhances productivity which renders the cooperatives as a supplementary intervention to food security. However, there is a gap in enabling access to agricultural inputs, such as funding for access to farming equipment. This paper recommends the implementation of a cooperative management structure to enhance planning, coordination, and monitoring. The municipality should review the agricultural cooperative governance frameworks to achieve enabling environments for farming activities


Author(s):  
Peter Ho ◽  
Francesco Zaratin

Since the start of the economic reforms in 1978, China has developed today into one of the world’s leading producers of agricultural produce—particularly pork, poultry, fruits, vegetables, wheat, corn, and rice. The transition of China’s collectivist Soviet-style agricultural production toward a modernized, mechanized, and market-based agriculture has taken many decades to take effect. A major breakthrough that marked the start of China’s agricultural transition was the nationwide adoption of the Household Contract Responsibility System in the mid-1980s. In addition to these managerial and structural changes, the Chinese government engaged in the liberalization of agricultural prices and supply and marketing systems, as well as the stimulation of agricultural diversification, mechanization, and economies of scale. As agriculture continued to develop, millions of farmers were lifted out of poverty and migrated to the cities to find employment in the industries and services. At the same time, however, China encountered significant problems as a result. For one, how to ensure food security and feed close to one-fifth of the earth’s population with less than one-tenth of its farmland? On top of that, over time vast tracts of fertile, arable land were lost due to its (legal and illegal) conversion into urban construction land. Raising agricultural production was also severely constrained by the small and fragmented nature of Chinese farms. Well into the 2010s, over 90 percent of these were smaller than 2.5 acres, while cropland was scattered over numerous different plots. Furthermore, ensuring adequate social welfare, education, and health care for the rural populace had become a daunting challenge in the face of the growing divide between urban citizens and the peasant population. Last but not least, rapid rural industrialization through township and village enterprises (TVEs), once hailed as a miracle of China’s reforms, had taken a heavy toll in the form of soil, air, and water pollution, giving rise to “cancer villages”, “black rivers,” and heavily degraded natural resources. At the time of this writing, Chinese agriculture is caught in between two worlds: on the one hand, one may find smallholders tilling scattered agricultural plots, on the other hand, there are high-tech food-processing factories and the peri-urban, sometimes ecologically guided industrial farms. The stark contrast between a highly modernized sector versus a traditional one will continue to explain the paradoxical dynamics of Chinese post-collective agriculture for the foreseeable future.


2018 ◽  
Vol 64 (No. 6) ◽  
pp. 277-290 ◽  
Author(s):  
Satola Lukasz ◽  
Wojewodzic Tomasz ◽  
Sroka Wojciech

For at least 25 years, processes involving structural changes have been growing more and more intense in the countries of Central and Eastern Europe, with these processes including a decline in the number of small farms. The main aim of this paper is to present the mechanisms involved in, as well as barriers to and costs preventing the exit of farms from agriculture, including those that make it difficult to transfer production resources which are being released to other companies. This research takes the form of an overview and is based on the output of new institutional economics, and on transaction cost and rent-seeking theories in particular. The most frequent difficulties encountered in the process of exit from farming include low profitability of production and the shortage of capital among potential buyers, while the lack of sellers’ financial resources and the necessity of incurring expenses related to preparing and finalising the sale of resources held by them (the actual transaction costs related to closing down farms) are frequently overlooked. The most important barriers preventing the complete liquidation of farms are the inherent transaction costs categorised as expenses, as well as the emotional costs and costs of alternatives, which are difficult to evaluate and estimate. The following notions are particularly helpful in explaining barriers to exit from farming: the concept of transaction costs and rent-seeking theory, which are both a part of the stream of thought of new institutional economics.


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