BACKGROUND OF THE STUDY
In developing countries as in the case of Nigeria,
Agriculture dominates the nationís economy. It has been established that about
to percent of Nigeria population is engaged in agriculture (Obasi and Aug,
2000) while 90 percent of Nigeria total food production comes from small farms
and to percent of the country population earn their living from these small
farms (Oluwatayo et al, 2008). The recent importation of food items into the
country to make up for the short falls in food supply Is a dangerous indication
of warning farm productivity and warning sign that if the nation continue with
the business as usual, the prospect of food security will be black for millions
of people (Nwede 2003)
It terms employment agriculture is by far the most
importance sector of Nigeriaís economy engaging about 70% of the labour force.
Agricultural holding are generally small and scattered, family is often of the
subsistence variety characterized by simple tools and shifting cultivation.
These small farms produce about 80% of the total foods. About 30.7 million
hectares (76 million acres) or 33% of Nigeria land area are under cultivation.
Nigeriaís diverse climate from the tropical area of the coast the arid zone of
the North, make it possible to produce virtually all agricultural products that
can grown in the tropical and semitropical area of the world the economic
benefit of large scale agriculture are recognized, and the government favors
the formation of cooperative societies and settlements to encourage industrial
agricultural. Large scale agriculture, however, is not common.
Despite an abundant water supply a favorable climate and
wide area or arable land, productivity is restricted owing to low soil
fertility in many areas and inefficient method of cultivation agriculture.
Contributed 32% to GPD in 2001
Itís widely recognized that
co-operative form an indispensable component. Through community organization
co-operative serves the basis and plant form for bring together the
economically weak member of the society with a view of enhancing their
individual capacities (Akali, 1991). The contributions of cooperative to the
economy especially in the developing countries are enormous, ranging from
provision of credit to its members and sourcing of inputs at reasonable price
to scale of member produce (Okonkwuo, 1991). Cooperative are defined as ďan
autonomous association of persons who unite voluntarily to meet their common
economic and social needs and aspiration through a jointly owned and democratically
controlled enterprise. (ICA, 1995) cooperative are established by like-minded
persons to pursue mutually beneficial economic interest. Researcher are of the
opinion that under normal circumstance, cooperative play significant role in
the provision of service that enhance agricultural development.
Patrick, (1995) described
cooperative as a medium, through which services like provision of farm input,
farm implements, farm mechanization agricultural. Loans agricultural extension
member education, marketing of member farm produce and other economic
activities and services rendered to members regular and optimal performance of
these roles will accelerate the transformation of agriculture and rural
economic development. Ijere (1981) further explained that. It is the
cooperative that embraces all types of farmers and a well organized and
supportive cooperative is a pillar of strength for agriculture in Nigeria.
Ogunbameru (1986) also
estimated that 52% of Nigerians population is women and that 70% of such women
live in rural area. It is also on record (Adebayo and Amao, 2003) that 53% of
the poor in Nigeria are women. In the rural areas a large number of women are
illiterate, very poor, have high rate of infection and are economically
oppressed (Essien, 2000) observed that only small fraction of woman in Nigeria
had the benefit of higher education and that the majority is engaged in petty
trading and peasantry farming. Despite the low educational and poor economic
background of Nigeria women they are still responsible for more than half of
the nations food basket and contribute more than two third of the working hours
on the farm (Barret et al, 2001). They also reported that AFRICAN Women are
responsible for 66% of micro processing activities, especially the processing
of agricultural produce.
In Nigeria, agricultural
production is dominated by small-scale farmers most whom live in rural areas.
Crops and animals are produced on scattered farm holding. Most of the farmers
operate without modern production input. Their marketing system is unorganized
with each farmer acting individually to produce farm inputs and to sell farm
produce. Cooperative societies enable people to achieve through joint efforts
what they are unable to achieve while working as individuals. They are legally
established organization on the basis of specific set of principles
cooperatives activities is one of the best method by which peasant farmer can
take part in their own economic advancement and gain valuable experience of
democratic produce and business management. Akinwumi (1978). They are
association of persons who have voluntarily come together to achieve common
objective through the formation of a democratically controlled organization,
making equitable contributions to the capital required and accepting fair share
of the risk and benefit of the undertaking (World Bank, 1999, Ebonyi and Jimo,
STATEMENT OF PROBLEMS
has been regarded as one of the main institutional machineries for empowering
the economically weak member of the society. With this official recognition and
the determination of government (at all levels) to transform agricultural
production and raise the standard of living in the rural areas many
agricultural cooperative societies have been formed all over the country.
Despite the efforts or contribution made by the cooperative societies towards
agricultural development in Nigeria, this effort has not been evenly known and
it was in an attempt to address such problem that this study was designed.
OBJECTIVE OF THE STUDY
farmerís extent of participation in cooperative societies.
the benefits derived by respondents by being member of various cooperative
major problems militating against the participation of farmer in cooperative
4. Make policy
recommendation based on the funding
STATEMENT OF RESEARCH HYPOTHESIS
on the nature of the problems aforementioned, hypothesis testing as a measure
will assist immensely in carrying out the research to a logical conclusion
because of the statistical testability of the problems formulated.
Hypothesis is an assumption or statement
which may or may not be true concerning the population. Walpole (1974). Hence,
the hypothesis of this research is considered as tentative statement, which
would be considered positive or negative at the end of the research
i. f0: Agricultural organization operate in
ignorant of the existence of cooperative socie5ties.
The objectives, Programme, and agricultural strategies of cooperative societies
are not recognized and accepted by agricultural organizations.
the objectives, programme and agricultural strategies of cooperative societies
are recognized and accepted by agricultural organizations.
Cooperative societies have not contributed positively to agricultural
Cooperative societies have contributed positively to agricultural activities.
SIGNIFICANCE OF THE STUDY
study is embarking upon to determine the impact of cooperative societies on
agricultural production in Oredo Local Government Area of Edo State knowing the
contribution of the impact of cooperative societies will encourage farmers and
enlightened on the important of this society. This study will also revealed the
solutions to the problem militating against the participation of farm in cooperative
activities in the study area.
SCOPE OF THE STUDY
The studies will emphasis
the importance of cooperative societies in financing farmers in rural setting
of Edo State.
LIMITATION OF THE STUDY
The study of limited to the
importance of cooperative societies in financing agricultural farmers in the
rural setting of Edo State. Other financial institution such as the commercial
banks, community banks or credit finance house could not be investigated
because of some factors. There were a lot of delays in obtaining any
cooperative societies publication were eventually given out. The study could
not cover many Local Government Area of Edo State because of time fact ors, the
timer required for the completion of the project work is too short as to give
room for wide coverage.