ABSTRACT

This study was carried out to determine the impact of rural cooperatives on agricultural production in Guma Local Government Area of Benue State. The specific objectives of the study are: to evaluate the socio-economic characteristics of the cooperative and non-cooperative in the study area; to compare cooperative and non-cooperatives farmers in terms of economic efficiency; to determine the impact of cooperatives on farmers' productive variables (output, income, farm size and productivity; to determine constraints confronting the cooperative farmers in the study area. Random sampling was used and data were randomly collected from a sample of 160 respondents comprising cooperators and non-cooperators through the use of well structured questionnaire. The study analyzed the data collected with descriptive statistics, stochastic frontier function and paired Z-test statistic. The stochastic frontier was used to access economic efficiency of cooperators and non-cooperators while paired Z-test statistic was used to assess impact of cooperative activities on · Agricultural Production; Descriptive statistics· were employed in the analysis of the socio-economic characteristics. The findings revealed that majority of the farmers (both cooperators and non-cooperators) were within the active age bracket which is the most productive age category. In terms of efficiency, the cooperators had higher economic efficiency score and as such, are more efficient than non-cooperators. Based on productive variables, cooperative had impact on output and farm size while non-cooperators had more income but their impact was not felt in the study area. Recommendations were on educating non-cooperators on the benefits of cooperative societies; structural transformation of the cooperatives in order to enhance income of cooperators; and ensuring all rural farmers subscribe to at least a cooperative society and granting incentives to cooperators to motivate them into large scale production.