Factors Affecting the Participation of Milk Producers in Dairy Marketing Cooperatives: Evidence from Ethiopia

BEKELE,, E. T. (2021). Factors Affecting the Participation of Milk Producers in Dairy Marketing Cooperatives: Evidence from Ethiopia. The Journal of Industrial Distribution & Business, 12(10), 19-30, https://doi.org/https://doi.org/10.13106/jidb.2021.vol12.no10.19

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Abstract

Purpose: Dairy marketing cooperatives operate in the agricultural sector of the Ethiopian economy and are supposed to increase the efficiency of the marketing system. This paper aims to study factors affecting the participation of farm households' in dairy marketing cooperatives. Research design, data, and methodology: The research has focused on one primary question. What are the possible factors that affect farm households' participation in dairy marketing cooperatives? The survey questionnaire was developed and an interview was made using enumerators. A total of 1500 sample households were selected randomly using the method of sampling with probability proportionate to size. Descriptive and inferential statistical analysis (binary logit model) was used for analysis. Results: The study result revealed that among thirteen explanatory variables hypothesized to affect dairy producer farmers' participation in dairy marketing cooperatives; eleven were found to be statistically significant. From these findings, it is observed that members of the dairy cooperatives have significant advantage over nonmembers. Conclusions: Both internal and external intervention measures are suggested. Internally, the cooperatives' board of directors should design appropriate strategies to attract nonmembers to improve future participation, and, externally, government, NGOs, and other stakeholders need to emphasize methods that increase nonmembers' participation in dairy marketing cooperatives.

keywords: Marketing System, Cooperatives, Participation, Stakeholders, Ethiopia

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Article Contents

Vol.12 No.10

Factors Affecting the Participation of Milk Producers in Dairy Marketing Cooperatives: Evidence from Ethiopia

Abstract

Reference

The Journal of Industrial Distribution & Business