THE EFFECT OF CO-OPERATIVE SOCIETIES ON AGRICULTURAL PRODUCTION IN RURAL AREA
The research focuses on the impact of cooperative societies on agricultural production in Edo state’s rural setting. The interview results show that credit disbursement to farmers is a serious administrative issue that is impeding the scheme’s effectiveness.
The loans applied for, as well as the amount approved and disbursed to farmers, are insufficient to move things forward, so there is no thorough supervision on the part of co-operative and ministry of agriculture officials.
We made recommendations on how to solve these problems in existing farmer cooperative societies.
THE STUDY’S BACKGROUND
In recent times, agricultural economists, policymakers, and financial institutions have expressed strong support for the need to direct attenuation to farmers in Nigeria. This deserved attention stems from the conviction that, in the short term, Nigeria can rely on farmers to supply the majority of food and other agricultural products required to feed our growing population as well as the needs of the agro-based industrial sectors.
One option is for the government to provide credit to farmers in order to encourage them to improve the quality and quantity of their food production. In light of the aforementioned goal, the federal government of Nigeria determined that there was an urgent need to establish a national credit institution, such as Nigeria agricultural and cooperative bank limited (NACB)
As a national agricultural credit institution, this cooperative bank was established. Co-operative societies provide credit to the agricultural sector of the Nigerian economy with the following specific goal in mind.
i. Support for agricultural production and rural development.
ii. Assisting in the improvement of the rural population’s income and quality of life in Nigeria.
iii. Contributing to the Nigerian economy’s overall growth and development.
iv. Increasing the nation’s food and cash crop output to meet the needs of a rapidly growing population.
THE STUDY’S OBJECTIVE
The following are some of the study’s objectives.
i. The extent to which the use of credit has aided in the improvement of farmer production and income.
ii. To identify issues associated with cooperative societies.
iii. To identify issues with the credit delivery system.
iv. And offer suggestions for resolving such issues.
The study is intended to provide students with agricultural knowledge and expertise, so it is very relevant to the students’ educational careers, and it will enable the students to make a valuable contribution to the country’s agricultural development.
Farmers will be kept up to date on agricultural developments and will then re-evaluate their operational plans of particular importance. It is also if the benefits enjoyed by farmers in Nigeria who adopted or received credit facilities extended to them by societies cooperative, which among other things improved their production and income.
The study will also benefit the government because it will allow them to map out strategies for agricultural development and growth by encouraging and providing funds and input to these farmers, who account for up to 90% of total agricultural output.
This research will also assist cooperative societies in implementing specific measures to improve parturient relationships.
THE STUDY’S OBJECTIVE
The study will highlight the significance of co-operative societies in financing farmers in rural Edo state.