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Cooperation for Competition

  • Cooperation for Competition

Cooperation for Competition

Gian Nicola Francesconi

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Author(s): Gian Nicola Francesconi

About The Book

Throughout history, rural smallholders have formed various forms of associations to confront access-barriers to the market. It is estimated that 250 million farmers participate in agricultural cooperatives in developing countries. Agricultural cooperatives are considered to be a fundamental pillar of rural development strategies, as well as a core institution in the process of governance decentralization and agri-business development. In Ethiopia, where agro-ecological conditions are generally favourable, 85 percent of the national population lives in rural areas under subsistence or semi-subsistence regimes. Agricultural cooperatives are advocated by the government as key market institutions to exploit Ethiopia's agricultural growth potential.

The scope of this study is to improve the understanding of the role played by cooperative organizations in linking Ethiopian smallholder farmers to emerging markets. Through exploring the evolution of supermarkets, integrated supply chains, and global commodity exchange networks, this study sheds light on the relationship between rural cooperation and farmers' competitiveness. Quantitative data that form the basis for this study were collected from the Highland regions of Ethiopia, in the period between 2003 and 2006. Findings suggest that cooperatives are not a panacea to boost rural competitiveness. Collective action assists smallholders in procuring state subsidy for production, but does not necessarily lead to increased commercialization.

Only when collective action involves collective marketing do farmers become more commercial, further improving production volumes and productivity. However, in the process of commercialization and production intensification quality management is often neglected in Ethiopian agricultural cooperatives. This study reveals guidelines for public-private partnerships so that cooperative farmers can maximize commercialization and optimize the balance between quality and productivity.

Additional Information

Author Gian Nicola Francesconi
Availability In Print
Dimensions Unknown
Extent 132 pages
ISBN 9789086860920
Publication date 2009
Book Type Softcover



List of tables

List of figures

Chapter 1. Introduction

  • 1.1 Global scenario
  • 1.2 Ethiopian setting
  • 1.3 Scope of the study
  • 1.4 Analytical framework
  • 1.5 Data and methods
  • 1.6 Relevance of the study

Chapter 2. Linking smallholders to commodity exchange: the role of agricultural cooperatives in Ethiopia

  • Abstract
  • 2.1 Introduction
  • 2.2 ECX and cooperatives
  • 2.3 Sample and data
  • 2.4 Methodology
  • 2.5 Results
  • 2.6 Conclusions and implications

Chapter 3. The life cycle of agricultural cooperatives: implications for management and governance in Ethiopia

  • Abstract
  • 3.1 Introduction
  • 3.2 Analytical framework
  • 3.3 Data
  • 3.4 Empirical model
  • 3.5 Results
  • 3.6 Conclusions and implications

Chapter 4. Evolution and challenges of dairy supply chains: evidence from supermarkets, industries and consumers in Addis Ababa

  • Abstract
  • 4.1 Introduction
  • 4.2 Data
  • 4.3 Supermarkets
  • 4.4 Dairy industries
  • 4.5 Dairy consumers
  • 4.6 Model specification
  • 4.7 Results
  • 4.8 Conclusions and implications

Chapter 5. The impact of collective marketing on milk production and quality: a case study from the dairy belt of Addis Ababa

  • Abstract
  • 5.1 Introduction
  • 5.2 Background
  • 5.3 Data
  • 5.4 Methodology
  • 5.5 Results
  • 5.6 Conclusions and implications

Chapter 6. Incentives for quality in dairy cooperatives: evidence and implications from the Ethiopian Highlands

  • Abstract
  • 6.1 Introduction
  • 6.2 Analytical framework
  • 6.3 Data
  • 6.4 Ethiopian dairy cooperatives
  • 6.5 Empirical model
  • 6.6 Results
  • 6.7 Conclusions and implications

Chapter 7. Conclusions and implications

  • 7.1 Key debate
  • 7.2 Main findings
  • 7.3 Implications for research
  • 7.4 Implications for policy



Curriculum Vitae

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