Socio-economic benefits of agricultural marketing co-operatives and their challenges: Evidence from Selected Cases in Moshi District Council (Tanzania)

Abstract

Studies have said a lot on co-operatives’ role in development but less have been documented about agricultural marketing co-operatives engaged in coffee marketing. The paper addresses the gap with study findings which assessed role of agricultural marketing co-operatives (AMCOS) in socioeconomic development and challenges they face in Moshi district council. A multiple case study design was adapted using 10 AMCOS where a total 80 respondents were involved and both quantitative and qualitative data were collected. Primary quantitative and qualitative data were collected through self-questionnaire administration and Focus Group Discussion (FGDs), respectively and secondary data were collected through documentary review. Quantitative data were analysed using multiple response analysis while qualitative data were analysed using thematic content analysis. Theoretical ground of the paper based on Cook’s Life Cycle Model of Agricultural Co-operatives and Collective Action Theory. As for the results, despite challenges faced, AMCOS found to be viable organizations for socioeconomic development where they operate. They also contribute to Government revenues and finance operations of supporting institutions in coffee industry. We recommend on the need for; improved management, coffee quality, business diversification and change in the business model. In addition, AMCOS should improve; farming techniques, enhance provision of co-operative and agricultural education and training as well as forming joint enterprises.

Keywords: Socio-economic benefits, challenges, co-operatives, agricultural marketing cooperatives.