Problems And Prospects Of Cooperatie Agricultural Produce In The Economy (a Case Study Of Anaocha Local Government Cooperative Society Ltd Anambra State)

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Agricultural cooperatives emerge as a result of farmers coming together, bringing their resources together in mutual effort to solve their numerous problems. The focus of this study is to examine the problems and prospects of cooperative agricultural produce in the economy. The delimitation of this study is in Anaocha Local Government Area of Anambra State. The primary data were gotten from relevant textbooks, journals, magazines, newspaper. The study uncovers the problems and importance of cooperative agricultural societies. But from the findings made, the researcher recommended establishment of cooperative financial institutions and credit banks to help farmers obtain adequate and sufficient loan/ credit they need in their production. Also the researcher was calling on government to help In supplying the farmers needs like subsidies, grant and other assistance. I have no doubt that this research work will meet the need of the students, lecturers, research workers and the reading public.


Title page                     -      -      -      -      -      -      I     

Approval page                      -      -      -      -      -      -      II

Dedication                    -      -      -      -      -      -      III  

Acknowledgment           -      -      -      -      -      -      IV   

Abstract                       -      -      -      -      -      -      VI   

Table of contents          -      -      -      -      -      -      VII  

Chapter One

1.0  Introduction          -      -      -      -      -      -      1    

1.1  Background of the study              -      --    -      -      2    

1.2  Statement of the problem     -      -      -      -      3    

1.3  Objectives of the study         -      -      -      -      5    

1.4  Statement of Hypothesis              -      -      -      -      5    

1.5  Significance of the study              -      -      -      -      6    

1.6  Scope of the study               -      -      -      -      7    

1.7  Limitation of the study          -      -      -      -      7    

1.8  Definition of terms               -      -      -      --    8    

Chapter Two

2.0  Literature review    -      -      -      -      -      -      10  

2.1  Introduction -        -      -      -      -      -      -      10  

2.2  Meaning of Agricultural cooperatives -   -      -      10  

2.3  Mission of agricultural cooperatives -    -      -      11  

2.4  Types of agricultural cooperatives -      -      -      12  

2.5  Problems of agricultural cooperatives    -      -      15

2.6  Agricultural cooperative and national economy     18  

2.7  The role of government in agricultural production        21

2.8  History of agricultural cooperatives-      -      -      23

References -   -      -      -      -      -      -      -      25  

Chapter Three

3.0  Research design and methodology        -      -      -      26  

3.1  Introduction                        -      -      -      -      26  

3.2  Research design                   -      -      -      -      26  

3.3  Sources and methods of data collection       -      -      27

3.4  Population and sample size    -      -      -      -      27

3.5  Sample technique                 -      -      -      -      28

3.6  Validity and reliability of measuring instrument -  29

3.8  Method of data analysis         -      -      -      -      29


4.0  Presentation and analysis of data   -      -      -      31

4.1  Introduction                        -      -      -      -      31  

4.2  Presentation of data            -      -      -      -      31  

4.3  Analysis of data                   -      -      -      -      32  

4.4  Test of hypothesis                -      -      -      -      43

4.5  Interpretation of result(s)      -      -      -      -      46  

Chapter Five 

5.0  Summary, conclusion and recommendation -      48  

5.1  Introduction --      -      -      -      -      -      -      48

5.2  Summary of findings      -      -      -      -      -      48  

5.3  Conclusion                          -      -      -      -      49  

5.4  Recommendations                -      -      -      -      50  

       References                          -      -      -      -      53  

       Appendix                                   -      -      -      -      54  










Nigeria farming occupation is not by accident, but came as Nigerians continue to develop through creation. Traditionally in the past, Nigeria agricultural activities were something of paradox characterized by a rate of productivity growth substantial in excess of any other major sector of the economy. Our agricultural abundance had been the envy of the world but ironically in recent years, Nigerian farmers have typically not received the required assistance from the government for their local production effort.

Agriculture is the main occupation of Nigeria and its economy before the arrival of the Whiteman. Agricultural production in most developing countries is relatively low, when compared with what happens in the developed countries. Now there has been a revolution in agriculture in which the Federal Government is now forcing people back to farming. The problem is that demand for food is more than supply. One thing is to produce the items and another the thing is to market it effectively to the final users.


Agricultural cooperatives are societies that engage in the production, processing, marketing and distribution of agricultural products. Therefore, all the cooperative societies that operate in the agricultural sector and are engaged in these different operations, belong to the group of agricultural cooperatives. Agriculture is the main stay of the economy. Agricultural cooperatives have made substantial contributions to the development of the economy. These contributions are manifested in food and raw material production, marketing of agricultural products processing of crops, Storage facilities etc.

Cooperative societies that are involved in agriculture are better classified as agricultural cooperatives. Farmers need inputs to produce outputs and in the process of getting inputs and outputs they are involved in buying and selling. Naturally, farmers individually are unable to control market price. Even when they produce more they get less money and when they buy their inputs as individuals they Day more. Buying and selling in bulk will be facilitated when farmers organize themselves into group like cooperative societies. Such farmer groups are called agricultural cooperatives.

With the coming of European in Nigeria the economy saw a new change. Both agricultural and industrial products were encouraged, though emphasis was more on export crops.


This study is meant to find out the problems encountered in cooperative agricultural produce in the economy. The case of Anaocha Local Government, which the researcher is studying, like most agricultural producing areas. Cooperative societies like any other human enterprise have problems common to them irrespective of the type or category.


The     major     problems     peculiar     to     agricultural cooperatives are:

1.      Sourcing farm produce

2.      Poor transport facilities

3.      Lack of capital

4.      Low level of cooperative education

5.      Lack of storage facilities

6.     Difficulties in obtaining government facilities.

Similarly, agricultural produce form part of the basic staple food for consumer in over 90% of the entire household in the country. With the size of Nigerian market, the industry is expected to be presently attractive for profitable ventures. Unfortunately, the producers of these commodities do not seem to be enjoying buoyant yield from the products. The problem however, could be that they do not produce efficiently or at full capacity.





The  study  of this project report is to   help   the researcher   under the problems and prospects of cooperative agricultural produce in the economy.

The following objectives are mapped out.

1.   To describe the farming  problems and outline their


2.   To assess the nature of road networks.

3.   To find out the education level of the farmers.

4.  To view the various bodies who have contributed in one way or the other to Nigerian's development in agriculture.

5.  To  determine the storage facilities with  a view to ensuring acceptable standards,

6.   To evaluate government supports so far in the area of agriculture.


Ho:    Poor    transport    facilities    does    not    hinder   the Cooperative agricultural products.

Hi:    Poor   transport   facilities    hinder   the    cooperative

Agricultural products.

Ho: Agricultural cooperative does not make any impact in

the development of rural areas.

Hi:    Agricultural    cooperative    make    impacts    in    the

development of rural areas.


This research will serve as a guideline for the government and private agencies in reviving and reactivating the agricultural section. This step will only be properly taken care of when the government and private agencies appreciate the use of marketing in solving problems of agricultural produce.

This will serve as a good background for those intending to carryout further work on this and other related topics. It will also enable the researcher ascertain the problems involved in cooperative agricultural products in the economy.

Finally, this study is to find out the problem and prospects hindering the effective of cooperative agricultural products in Anaocha Local Government.


This study will attempt to examine the policies of farmers in Anaocha Local Government. This research boarders in identification of the root causes of the present problems      of   cooperative   agricultural   produce   in   the economy and providing possible solution to overcome it.


In preparing this report, the researcher was faced with some limitation, which is a setback or drawback. One of such problems includes, the uncooperative attribute of some respondents. They did not understand the relevance of the study that through this, the government was trying to collect names of taxable adults, so this made the reliability of information supplied by some respondents doubtful.

The researcher has been handicapped by time and finance, to take more detailed on the research.

Also, within the time available it has not been easy to contact most of the members of the cooperative and the state cooperative farm.

Lastly, the high price of typing sheet and other miscellaneous expenses threw the researcher off balance.


AGRICULTURAL COOPERATIVE: These are cooperative societies that engage in the production, processing marketing and distribution of agricultural products. Its also involves all the cooperative activities which are aimed at helping the farmer in his profession as a farmer. COOPERATIVE: This is an association of persons who have voluntarily joined together to achieve a common end through the formation of a democratically controlled organization, making equitable contributions to the capital required and accepting a fair share of the risks and benefits of the undertaking in which members actively participate.

DEVELOPMENT: According     to     advanced     learners

dictionary, development means the gradual growth of something so that it becomes more advanced, stronger etc. it also means a multi dimensional process involving the re-organization and re-orientation of the entire economic and social system. It also means increased skill and capacity, grater freedom, creativity, self discipline, responsibility and material well-being.

RURAL AREAS: Rural areas could be seen as those places that have not developed or underdeveloped areas. Their major occupation is farming and also they are surrounded

with bush.


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Problems And Prospects Of Cooperatie Agricultural Produce In The Economy