Abstract:
This study was conducted in Arumeru District to assess the influence of periurbanization on
commodity diversification in peri-urban AMCOS. Commodity diversification was observed
in the context of individual members and AMCOS as an organization. The study was guided
by Von Thunen Location theory and the FarmAgent model, and a cross-sectional design was
applied. Using simple random sampling, the study involved 208 respondents from a
population of448 active members. Primary data were collected through survey and key
informant interview while secondary data were collected using documentary review.
Numerical data were analysed using descriptive, multiple response and correlation analysis
through SPSS version 21. Qualitative data were analysed using content analysis. The growth
of peri-urbanization has resulted into various dynamics which subjected AMCOS and
individual members into new environment with opportunities and challenges. To cope with
the dynamics from peri-urbanization members have diversified into different on-farm and offfarm activities producing different commodities, although lacked support from their AMCOS.
Peri-urbanization has also affected the factors of production such as land, labour, capital,
information, and entrepreneurship as well as technology both positively and negatively.
Regardless the challenges brought by peri-urbanization, still AMCOS members have been
able to adapt to changing environment. The study recommended on changing AMCOS
business objectives and by-laws to support members' diversified activities/commodities and
make diversifications at organizational level.
