Coconut farmer producer organisation in socio-economic transformation of rural economy in Karnataka

Abstract

Coconut sector consisting of small and marginal farmers with fragmented landholdings have limited collective bargaining power to realise remunerative prices. In this regard, farmer producer organisations (FPOs) are considered as one of the effective ways to enhance farmer's competitiveness and their socio-economic conditions. This paper, using a descriptive case study with analytical approach, explored socio-economic contribution of coconut FPOs in Karnataka, India to its member farmers, employees, and other stakeholders of rural areas. The statistical tests find a positive impact of social issues on curbing migration from rural to urban (1st rank), unemployment and underemployment (2nd rank), poverty alleviation (3rd rank), gender inequality (4th rank), by coconut FPOs. Similarly, the study finds a positive impact of economic concerns in realising remunerative prices (1st rank), availing inputs at economical costs (2nd rank), enhancing farm income (3rd rank), and facilitating to access credit in rural economies (4th rank). Therefore, the study recommends farmer producer organisation as an ideal mechanism to bring socio-economic transformation in the rural economy.