Integrated Co-operative Models in a Practical Model in Tanzania

Abstract

Co-operative movements are seen by proponents to have contributed to the reduction of income in developing countries. Critics, however, see co-operatives to help their members are still less cemented. Subsequently, cooperative efforts to alleviate poverty among farmers arc sometimes perceived to be not effective. There is also a concern that co-operatives to help their members should work towards vertical and horizontal integration to be more effective. This study examined if integrated co-cooperative is a practical model in Tanzania. The study also assessed how the integrated cooperative operates in Tanzania. Accordingly, the study identified perceived benefits and challenges experienced by cooperative members in the study area. The study was conducted in Mbinga District and Moshi Rural Districts. A total of 228 respondents were interviewed (single cooperative members 113, multiple cooperative members 53, and non cooperative members 62). Data were analysed descriptively using IBM Statistical Package for Social Sciences (SPSS). In the study it was found that small scale farmers in Tanzania have opted for horizontal integration in the form of multiple memberships that is being a member of an Agricultural Marketing Co-operative Society and a Savings and Credit Cooperative Society as a strategy for improving livelihood. This form of integration therefore generates future implications for the growing co-operative movement in Tanzania. Members involved in the integrated model were found to have relatively generated more wealth and had the comparative advantage of accessing various services provided in their communities. This reflects the importance of the existing integrated model, which has been formed by members themselves. This study therefore recommends integrated co-operative model to be sensitized and formally implemented in Tanzania so that cooperative members may end up experiencing unity of effort