Abstract

The study aimed to assess the farmers' cooperatives impact on the socio-economic living conditions of their members in North of Burundi. A research survey was conducted on two farmers' groups such as a sample of 90 farmers randomly chosen in three main cooperatives and a control sample of 60 non-members. Data were analyzed with a comparative approach of descriptive statistics. Among six main food crops considered by the study, results show a significant contribution of the cooperative only on bananas' production (p=0,075). Moreover, members gain a cost reduction of 50% per kg in maize milling or rice dehulling. Thanks to the multiple financial opportunities within the cooperative, members improve the quality of their houses (12%), subscribe supplementary health insurance (38%), pay easily the school fees for their children and equip themselves with household equipment. Finally, the value of solidarity among members enhances the spirit of confidence and cohesion in the community.Keywords: Farmers' cooperatives, impact, socio-economic living conditions, rural householdsJEL Classifications: O22, Q12, Q13DOI: https://doi.org/10.32479/ijefi.8981

Highlights

  • The cooperative model is present in most countries and sectors of activity as a response to imperfections of the state and market abuse (Birchall, 2004; Gentil, 1984; Giagnicavi, 2012; Mertens, 2010)

  • The particularity of cooperative compared to conventional companies is that it allows individuals to be together and pool their resources to achieve a common goal that would be difficult for them to achieve individually (BM [Banque Mondiale], 2002)

  • While the first Burundian agricultural cooperatives date from the colonial period, their particular recognition begins in 21st century during the implementation of the millennium development goals

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Summary

Introduction

The cooperative model is present in most countries and sectors of activity as a response to imperfections of the state and market abuse (Birchall, 2004; Gentil, 1984; Giagnicavi, 2012; Mertens, 2010). While the world suffered from economic crises during the 19th century, the cooperatives played a major role in solving common problems such as poverty, social exclusion, unemployment and exploitation of women (ILO, 2002; Münkner and Shah, 1993; Porvali, 1993). A cooperator can produce, store and/or transform 10 kilos of a given agricultural product in the best conditions and taking advantage of economies of scale. In Burundi, as in most African countries, where the agriculture dominates the rural economy, farmers’ cooperatives are associated in implementation of the national agricultural policies (Develtere et al, 2007; Scoones, 1998). While the first Burundian agricultural cooperatives date from the colonial period, their particular recognition begins in 21st century during the implementation of the millennium development goals.

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