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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Ethiopian agricultural cooperatives in an era of global commodity exchange: does organisational form matter?
Authors:Francesconi, Gian NicolaISNI
Heerink, NicoISNI
Periodical:Journal of African Economies (ISSN 0963-8024)
Geographic term:Ethiopia
Subjects:agricultural cooperatives
agricultural marketing
rural households
small farms
External link:http://jae.oxfordjournals.org/content/20/1/153.full.pdf
Abstract:In Ethiopia, agricultural cooperatives are expected to play a key role in linking smallholder farmers to the recently established commodity exchange system. Recent research has found, however, that the commercialization levels of cooperative members do not differ significantly from those of non-member farmers in Ethiopia. The present authors argue though that the impact of cooperative membership on commercialization may vary significantly depending on the type of cooperative organizations considered. Applying propensity score matching as well as regression analysis to a set of farm households living in rural areas where the commodity exchange system was to become operational, the authors consistently find significantly higher commercialization rates, when compared with non-member famers, for farmers belonging to marketing cooperatives. Livelihood cooperatives, on the other hand, appear to have insignificant or negative impact on Ethiopian farmers' commercialization. The authors conclude that the selective inclusion of marketing cooperatives in the commodity exchange system has the potential to simultaneously reduce the rural poverty and maximize agro-commodity commercialization in Ethiopia. Bibliogr., notes, sum. [Journal abstract]