The Determinants of Success in Agricultural Marketing Co-Operatives In Tanzania: The Experience From Mweka Sungu, Mruwia And Uru North Njari Agricultural Marketing Co-Operatives in Moshi District

Abstract

The agricultural and marketing co-operatives societies (AMCOS) are most vibrant co operatives in Tanzania deal with production, processing, transporting and marketing of various crops. In Tanzania, the dominant varieties of such co-operatives are those dealing cash crop co-operatives like those for coffee, tobacco, cashew nuts and cotton though recently, food crops co-operative started to emerge. Moshi district is among the areas in Tanzania which have a long history of co-operative development and is comprised of AMCOS dealing with coffee production. Given the changes in the natural, economic and business environment in the world, the changes have created both benefits and severe challenges to the coffee co-operatives. The main objective was to assess the determinants of success in agricultural marketing co-operatives in Tanzania. Specifically, the study intended; to describe the activities performed by coffee agricultural marketing co-operatives, to identify and analyse the social factors determining the successful operations of coffee agricultural marketing co-operatives and to identify and analyse the economic and financial factors determining the successful operations of coffee agricultural marketing co-operatives. The design of the study is multiple-case study which three coffee co-operatives of Mweka Sungu, Mruwia and Uru North Njari were used. The study is written based on the field experiences and knowledge of the authors about the three case studies. The study revealed that success of AMCOS may be determined by social factors like; leadership, member participation, communication, equality, members’ commitment, education, size of co-operative and skilled leaders and management. Economically, there are factors like; financial stability, adhering to accounting standards, co-operation with other institutions, volume of business and diversification, location and quality of produce. The study has also recommended on pre-conditions to ensure the determinants yield expected achievements.