Promoting Agricultural Cooperative for Livelihood Development among Smallholder Farmers in Cambodia

Abstract

The number of agricultural cooperatives (ACs) has increased gradually from 1 in 2003 to 1,217 in 2021. This study clearly reveals that AC operation has been essential for their livelihood development in terms of skill building, technology transfer, provision of inputs, and access to credits and loans for agricultural investment. Therefore, the Ministry of Agriculture, Forestry, and Fisheries (MAFF), relevant government agencies, communities, and smallholder farmers should close attention to establishing and operating ACs to support sustainable livelihoods. Improving the livelihood of smallholder farmers remains challenging, especially when they cannot access all five assets: physical, financial, human, natural, and social. Smallholder farmers have moderate access to physical and financial assets, but they are constrained by the sufficiency of human, natural, and social assets. Compared to non-agricultural cooperative members, the AC members have improved smallholder farmers’ livelihoods by giving them access to five key assets. In Cambodia, agricultural cooperatives (ACs) operate with technical and financial assistance from the MAFF, non-governmental organizations (NGOs), and communities. Smallholder farmers participating in ACs can gain capacity building, economic development, market access, agricultural inputs, and transportation for their agricultural products. Smallholder farmers have optimistic views of AC’s operation, believing it can improve their productivity, increase their income, alleviate poverty, improve food security, and empower women. Both female and male smallholder farmers benefit equally from AC’s activities and services. ACs will play a significant role in ensuring overall social and economic development in the future, such as empowering women, mitigating risks (including climate change risks), and achieving food security. However, we must promote ACs’ operation by increasing government support, technological advancement, and market facilitation.