| Peer-Reviewed

Economic Contributions of Jima Ganati Farmers’ Cooperative Union to Farmers: The Case of Maize Producer Farmers

Received: 21 January 2019     Accepted: 21 February 2019     Published: 14 March 2019
Views:       Downloads:
Abstract

This article investigates the impact evaluation of Jima Ganati farmers’ cooperative union intervention in economic activities which is measured in terms of income and productivity as the best means to improve the living standard of farmers’ household. For this, cross-sectional data were collected from 280 households purposively selected from five kebeles consisting of 204 member farmers and 76 non-member farmers. The analytical procedure has involved two stages: in the first stage, descriptive analyses were used to detect existence of difference in various outcome indicators between member farmers and non-member farmers. In the second stage, I applied a semi-parametric impact evaluation method of propensity score matching with some matching algorithms to estimate the impact of the intervention on various impact indicators. Combined use of these alternative estimation techniques has enabled us to arrive at consistent results. Our results show that member farmers scored statistically significant higher maize crop income test score than non-member farmers and they are also identified with statistically significant higher total productivity. Although the crop income and productivity test scores show significant changes, some constraints were identifiedin the economic contributions of the cooperative union to farmersand theseinclude: high turnover of the union mangers, lack of skill in cooperative development, rent seeking behavior of the cooperative leaders, lack oftransparency, Accordingly, a number of recommendations are suggested.

Published in International Journal of Health Economics and Policy (Volume 4, Issue 1)
DOI 10.11648/j.hep.20190401.11
Page(s) 1-10
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2019. Published by Science Publishing Group

Keywords

Propensity Score Matching, Economic Contribution, Maize Income, Productivity, Impact, Cooperative Union

References
[1] Ethan L. (2009) "Risk Management in the Cooperative Contract", American Journal of Agricultural Economics. 91, No 5. (2009): 1211–1217.
[2] Acharya, S. S. (2004). “Agricultural Marketing and Credit Status; Issues and ReformAgenda.” National Center forAgricultural Economics and Research. New Delhi.
[3] Taye, W., (2014). Impact assessment of urban agriculture research and development in Ethiopia, Adama.
[4] Birchall, J. (2003). Rediscovering the cooperative advantage: Poverty reduction through self help. International LaborOffice, Cooperative Branch. Geneva.
[5] Kebebew(1978). “The Role of Cooperatives in the Socialist Transformation of Agriculture.” A paperpresented at Institute of Development Research Seminar, Nazareth Ethiopia.
[6] Caliendo, M., and Kopeinig, S., (2008). Some practical guidance for the implementation of propensity score matching. IZA Discussion Paper No. 1588, University of Cologne.
[7] Rosenbaum, P. R. and Rubin, D. B., 1983. The central role of the propensity score in observational studies for causaleffects. Biometrika, 70(1): 41-55.
[8] Duguma, A., Feyisa, T., (2017). Performance of farmers’ Cooperative Union and Promotion: the case Alaltu Farmers’Cooperative Union.
[9] Gujarati, D. N., (1999). Essentials of Econometrics. 2nd edition. Mc-Graw-Hill Companies
[10] Bernard, T. et al (2010). Cooperatives for Staple Crop Marketing: Evidence from Ethiopia. International Food PolicyResearch Institute. Washington.
[11] Dereje, A., (2015). From farmer to market and market to farmer: Characterizing smallholder commercialization inEthiopia. Paper submitted for ESSP Policy Conference on Bridging, Balancing, and Scaling up: Advancing the ruralgrowth agenda in Ethiopia. Addis Ababa, Ethiopia.
[12] Chukwu, S. K., (2006). Economics of the Cooperative Business Enterprise. Marburg, Germany.
[13] Bedasa, T. (2018). Cooperatives for Staple Crop Marketing: Evidence from Ethiopia. International Food PolicyResearchInstitute. Washington.
[14] MoFED (Ministry of Finance and Economic Development), (2017). Building on progress: A Plan for Accelerated andSustained Development to End Poverty (PASDEP). Addis Ababa, Ethiopia.
[15] FAO, (2015): Agricultural cooperatives: paving the way for food security and rural development, Available from:http://www.fao.org/docrep/016/ap431e/ap431e.pdf.
[16] Alema (2008). Analysis of the Role of Cooperatives in Agricultural Input and Output Marketing in Southern Zone of Tigray, Ethiopia.
Cite This Article
  • APA Style

    Firdisa Birru Goshu. (2019). Economic Contributions of Jima Ganati Farmers’ Cooperative Union to Farmers: The Case of Maize Producer Farmers. International Journal of Health Economics and Policy, 4(1), 1-10. https://doi.org/10.11648/j.hep.20190401.11

    Copy | Download

    ACS Style

    Firdisa Birru Goshu. Economic Contributions of Jima Ganati Farmers’ Cooperative Union to Farmers: The Case of Maize Producer Farmers. Int. J. Health Econ. Policy 2019, 4(1), 1-10. doi: 10.11648/j.hep.20190401.11

    Copy | Download

    AMA Style

    Firdisa Birru Goshu. Economic Contributions of Jima Ganati Farmers’ Cooperative Union to Farmers: The Case of Maize Producer Farmers. Int J Health Econ Policy. 2019;4(1):1-10. doi: 10.11648/j.hep.20190401.11

    Copy | Download

  • @article{10.11648/j.hep.20190401.11,
      author = {Firdisa Birru Goshu},
      title = {Economic Contributions of Jima Ganati Farmers’ Cooperative Union to Farmers: The Case of Maize Producer Farmers},
      journal = {International Journal of Health Economics and Policy},
      volume = {4},
      number = {1},
      pages = {1-10},
      doi = {10.11648/j.hep.20190401.11},
      url = {https://doi.org/10.11648/j.hep.20190401.11},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.hep.20190401.11},
      abstract = {This article investigates the impact evaluation of Jima Ganati farmers’ cooperative union intervention in economic activities which is measured in terms of income and productivity as the best means to improve the living standard of farmers’ household. For this, cross-sectional data were collected from 280 households purposively selected from five kebeles consisting of 204 member farmers and 76 non-member farmers. The analytical procedure has involved two stages: in the first stage, descriptive analyses were used to detect existence of difference in various outcome indicators between member farmers and non-member farmers. In the second stage, I applied a semi-parametric impact evaluation method of propensity score matching with some matching algorithms to estimate the impact of the intervention on various impact indicators. Combined use of these alternative estimation techniques has enabled us to arrive at consistent results. Our results show that member farmers scored statistically significant higher maize crop income test score than non-member farmers and they are also identified with statistically significant higher total productivity. Although the crop income and productivity test scores show significant changes, some constraints were identifiedin the economic contributions of the cooperative union to farmersand theseinclude: high turnover of the union mangers, lack of skill in cooperative development, rent seeking behavior of the cooperative leaders, lack oftransparency, Accordingly, a number of recommendations are suggested.},
     year = {2019}
    }
    

    Copy | Download

  • TY  - JOUR
    T1  - Economic Contributions of Jima Ganati Farmers’ Cooperative Union to Farmers: The Case of Maize Producer Farmers
    AU  - Firdisa Birru Goshu
    Y1  - 2019/03/14
    PY  - 2019
    N1  - https://doi.org/10.11648/j.hep.20190401.11
    DO  - 10.11648/j.hep.20190401.11
    T2  - International Journal of Health Economics and Policy
    JF  - International Journal of Health Economics and Policy
    JO  - International Journal of Health Economics and Policy
    SP  - 1
    EP  - 10
    PB  - Science Publishing Group
    SN  - 2578-9309
    UR  - https://doi.org/10.11648/j.hep.20190401.11
    AB  - This article investigates the impact evaluation of Jima Ganati farmers’ cooperative union intervention in economic activities which is measured in terms of income and productivity as the best means to improve the living standard of farmers’ household. For this, cross-sectional data were collected from 280 households purposively selected from five kebeles consisting of 204 member farmers and 76 non-member farmers. The analytical procedure has involved two stages: in the first stage, descriptive analyses were used to detect existence of difference in various outcome indicators between member farmers and non-member farmers. In the second stage, I applied a semi-parametric impact evaluation method of propensity score matching with some matching algorithms to estimate the impact of the intervention on various impact indicators. Combined use of these alternative estimation techniques has enabled us to arrive at consistent results. Our results show that member farmers scored statistically significant higher maize crop income test score than non-member farmers and they are also identified with statistically significant higher total productivity. Although the crop income and productivity test scores show significant changes, some constraints were identifiedin the economic contributions of the cooperative union to farmersand theseinclude: high turnover of the union mangers, lack of skill in cooperative development, rent seeking behavior of the cooperative leaders, lack oftransparency, Accordingly, a number of recommendations are suggested.
    VL  - 4
    IS  - 1
    ER  - 

    Copy | Download

Author Information
  • Department of Economics, Wollega University, Nekemte, Ethiopia

  • Sections