Abstract:
This study was conducted on determinants of multipurpose cooperative’s member
participation in agricultural output marketing at kersa district of Jimma zone, Oromia
Regional State, Ethiopia. A two-stage sampling procedures were used and 4 multipurpose
cooperatives were selected to obtain a sample size of 196 cooperative members. Quantitative
data from primary sources were collected through household survey while qualitative data
were collected through key informant interview, focus group discussions and personal
observations. Data were analyzed using descriptive statistics like mean, chi-square, standard
deviation, frequency, percentage and binary logit model. The result showed that 66.36% of
cooperative members were participants in agricultural output marketing where as 33.64%
were non-participants. Multipurpose Cooperatives are serving as the primary source of
agricultural inputs. However, the output marketing activity of the sampled multipurpose cooperatives in the district is not as such remarkable. The binary logit model result showed that
Out of 9 significant explanatory variables, age, education, landholding, change in standard of
living due to joining of cooperative, membership in other cooperatives other than
Multipurpose Cooperatives, determined participation decision of members in agricultural
output marketing positively and significantly while the other four variables determined
negatively and significantly. Moreover, the result of key informant and focus group discussion
indicated that the participation of multipurpose cooperative’s member in agricultural output
marketing were hindered by internal and external challenges. In general, the agricultural
output marketing of multipurpose cooperatives in the study area have been affected by
different demographic, socio-economics and institutional factors. Therefore, the study has
suggested that as Woreda cooperatives promotion agency should also help these cooperatives
to increase members’ participation in agricultural inputs as well as outputs and create
linkages with financial institutions to solve their shortage of capital. Moreover, they are
required to improve the role of multipurpose cooperatives and address challenges in
agricultural output marketing, among governmental organizations, NGOs and the community.