CHAPTER ONE
1.0 INTRODUCTION
Agriculture is the bedrock
of any nation’s economy. However, the dilapidating state of Nigeria’s
agricultural sector and its consequences on the socio-economic development of
the nation’s economy had given rise to this research work. Thinking along this path,
the need to look into the sector and address the issue of poor performance gave
rise to the establishment of agricultural cooperative societies to increase
agricultural cooperatives societies to increase agricultural output. This is
because agricultural cooperative have a large number of labour force in the
rural area, who have contributed in the production of food crops, raw materials
for industries and as a means of foreign exchange.
In the 60s, Anambra state economy had
mono-sectorial dependency on agriculture as the main source of earning and
employment for the ever teeming population. In the 70s, there was s shift from
agricultural produce to non-agricultural sector. The
state is still peasantised with a larger number of people involved in smalls-scale
production and there had been no significant agrarian modernization and
revolution. Subsistence agricultural is still been practiced which its output
is not enough to feed the population, let alone provide raw materials for our
agro based industries.
Exportation of the state’s cash crops
which in the past has supported the economy has virtually reduced. This has
been blamed on negligence and poor performance of the farmer’s agricultural
cooperative societies. And at such there was urgent need to revitalize the
sector, owing to its importance in improving agricultural output in the
country.
1.1 BACKGROUND OF THE STUDY
The government had been
making efforts to improve agriculture in Nigeria both at the state and federal
levels. However, there still goods scarcity in the country. Population is more
rapid than agricultural growth and this has seriously reduced the benefits of
increased food production and the associated increase in income.
As a result of this, many people in the
country still without food, irrespective of the strategic position of
agriculture in the state economy and the huge allocate made out to importation
of food items. Thus a need to come up with a solution through proper diagnosis
of the problems confronting the sector. This resulted in the bringing together
these peasant farmers under cooperative societies with a view of improving
agricultural production, increase income earning and self-sufficient in good
items.
Prior to the discovering of crude oil in
Nigeria, there were cash crops like groundnut, cocoa and rubber, cultivated in
large quantities which were exported to Europe and America in the pre 60s. The
incursion of military government in Nigeria politics had equally contributed to
the poor state of the sector and even with transition to democracy, the country
is yet t regain her position in the agricultural market. The administration of
president Olusegun Obasanjo has watered the ground to empower Nigerian farmers
and agro-allied investors to harness the country’s rich resources in producing
food and raw materials for industries and export by ensuring banks and other
extension services like making available fertilizers, pesticides, planting
technologies etc at subsidies rate.
Working in hand with the farmers is the
Nigerian export promotion council which assists in finding buyers of cash crops
produced. Land was equally provided at reasonable term for large scale farming.
Government equally encouraged
foreign agriculture investors which has yielded a remarkable result for instance
the southern African countries have found Nigeria at home to start off
operations to produce. The agricultural
initiative of the Obasanjo administration saw to the restriction of some food
importation thereby encouraging our local farmers to compete in the
international market.
1.2 STATEMENT OF THE PROBLEM
Nigerian government had embarked on
various programmes and policies involving hundreds of millions of naira, aimed
at reviving the ailing agricultural sector. This gave rise to the organization
of small scale farmers into agricultural cooperatives societies in order to
meet the demand of the growing population. However, these efforts and the
cooperative societies have failed in achieving this objective which has made
the nation rely heavily on importation and deterioration of the agricultural
sector and the industries. Thus, this research aims at examining the need to
improve the activities of the cooperative societies with a view to increasing
agricultural output to enhance the socio-economic development of the nation.
1.3 OBJECTIVES OF THE STUDY
The main purpose/objective of this
project is to undertake a study of the existing farmers cooperative development
of agriculture.
The study has the following specific
objectives
(a)
To examine the organizational set up and
operations of the farmers’ cooperative movement in Anambra state with a
particular reference to selected cooperative societies I the state.
(b)
To examine the impact of farmers
cooperative societies to agricultural output.
(c)
To investigate the problems confronting
farmers cooperative societies.
(d)
To suggest pragmatic ways and means of
enhancing the effectiveness of these societies.
1.4 RESEARCH QUESTIONS
i.
What is the organizational set up and
operations of farmer’s cooperative movement in Anambra state?
ii.
What is the impact of farmer’s cooperative
societies on agricultural output in Nigeria?
iii.
What are the problems confronting
agricultural cooperative societies in Nigeria?
iv.
How can these problems facing agricultural
cooperative societies be tackled in other to enhance the effectiveness of these
cooperative societies in Nigeria?
1.5 RESEARCH HYPOTHESIS
For agricultural
cooperative societies to attain high service and huge surplus, there must be an
adequate assistance from the government, educated cooperators and committee
members and adherence to cooperatives principles, law and rules in their
activities. The full success of
agricultural cooperative societies will depend on the extend of assistance
received from the government and the level of commitment the members show to
the society and their activities as well. Hence, collectivity will go along way
rather than individualism in the achievement of self sufficiency in food
production.
1.6 SIGNIFICANCE OF THE STUDY
Agriculture is so important in order to
sustain any economy. This is because the benefits of agriculture especially to
most developing nations cannot be over emphasized. However, the system of
agriculture in Nigeria society is more of subsistence than commercial. This
role of organizing individual farmer’s into a larger umbrella to increase their
output, if they must attain economic and social goals and freedom the nation’s
economy. Equally, through this research study, the government will be better
informed of the challenges confronting the agricultural cooperative societies
in a bid to proper solution that would enhance efficiency.
Through this research work, farmers
cooperative societies would be educated as well as enlightened on the benefits
they stand to gain from their activities in terms of profits maximization,
increased income and the assistance the government is willing to offer them
such as extending credit facilities to them, education on farming techniques,
provision of farm items, such as fertilizers, at a cheaper price than they
would have obtained outside of the societies.
Finally it would also be of benefit to
students who wish to go into agricultural business in the near future to take
advantage of cooperative societies in order to excel and compete in the
international markets across the globe.
1.7 SCOPE AND LIMITATION OF THE STUDY
The scope of the study is Anambra state
agricultural cooperative societies; however, it was delimited to some selected
agricultural cooperative societies in the state for easy assessment. Due to some constraints, I encountered
some challenges none the less; the research is valid and reliable. The
challenges include:
There
was difficulty assessing key information as some of the cooperative societies
visited lacked up to date statistical records and they equally have a poor
management information system. The
educational level of the cooperative members was quit low and some were not
will grounded on the objectives of their societies.
1.8 DEFINITION OF TERMS
Most of the terms used in this research
work are register of cooperative societies which may be unfamiliar to the
readers. At such there was need to define them for clearly understanding of the
study.
Agricultural
productivity: This
is the index of the ratio
of the value of the
total farm output to the value of total inputs used in production.
Farm
Management: the
application of farming with
science and
technology to the solution of the day to day problems facing farmers.
Agriculture: can be broadly defined as the art and
science of
production of plants and animals that are of benefits to man.
Cooperative
Society: this is a form
of organization
where people
voluntarily associate together as human beings on the basis of equality for the
promotion of their economic and social interests.
Production
Promotion Cooperative:This
is cooperative
by integration. The
farmers depend on the society for their production activities. There is a
strong link between the cooperative and its members in the area of management,
credit and decision making.