DETERMINATS OF SMALLHOLDER FARMERS‟ PARTICIPATION IN AGRICULTURAL COOPERATIVES: THE CSAE OF ABESHGE WOREDA,GURAGE ZONE,SNNPR.

Abstract

Agricultural transformation has been given due attention by the Ethiopian government specifically by improving the livelihood of small holder farmers. To achieve the desired goals in the economic transformation, vital roles are assigned to agricultural cooperatives. The participation of smallholder farmers in different agricultural cooperatives will accelerate the transformation of the Ethiopian economy in general and the agricultural sector in particular. However the government policy direction promotes active participation of smallholder farmers in agricultural cooperatives in Ethiopia as well as in the study area, still majority of smallholder farmers are hesitant to join agricultural cooperatives. Having this fact, the objective of this study was to investigate factors that influence smallholder farmers’ participation in agricultural cooperatives in selected kebeles of Abeshgeworeda of Gurage Zone in SNNPR. In the process of the study data was collected from the total sample of 229 smallholder farmers out of which 87sampled farmers were participants in agricultural cooperatives while 142 of them were non participants. A multi stage stratified sampling procedure was employed. From sample farmers sample respondents were selected using the probability proportional to size technique. Primary source of data was used for the study. To analyze the data collected, different statistical techniques were employed. Binary logit model was applied to identify the most influential factors affecting small holder farmers’ participation in agricultural cooperatives. Based on the findings the prominent variables that strongly influence farmers to participate in agricultural cooperatives were age, education, household size, farm activity, farm land size, annual income, attendance in public meetings, access to training and contact with development agent. From those variables farm activity and farm land size have a negati ve association with participation while the remaining variables have a positive association with participation.Therefore, demanding awareness creation measures should be taken by all the stakeholders in the study area in order for improving the level of smallholder farmers’ participation in agricultural cooperatives.