A prior Or Determinaints Of Produce Suppliers To Co-operatives: Case Of Limuru Dairy Co-ooerative.

Abstract

Since independence, co-operatives have been looked upon as one of the institutions for mobilizing the population into modernization. Th is is mainly because these organizations have accumulated capital which could be channeled into development protects via credits to members. On the Government side it would be impossible for the government administrative machinery to deal with numerous individuals requiring government assistance and services without the use of co-operatives. The number of people wanting government. help will make dissemination of government services and assistance financially very expensive and administratively almost impossible. Against such a b a c k o round, the utility of these institutions unquestionable. However the co-operative movement faces numerous problems. This study addresses the question of disloyalty of members to the movement. Although Quantitative aspects have been given more emphasis a discussion on political issues is included for purposes of completion. The main thrust was to identify variables controllable by management that could be optimally varied to activate greater participation by members and at the same time have positive effect on their economic and social status. The variable identification was achieved through linear multiple representations analysis and step wise forward selection analysis. key variables captured as having association with the predictor variable were loans extended to farmers for improvement of production capacity.amount of money expended by the co-operative in provision of key services such as clinical and artificial insemination. provision of inputs under a credit system which is in line with the current optimum functioning business strategies. Negative effect was however recorded in relation to the buying price of producer suppliers by the cooperative. Of note however is that a differential price between both "formal" and "informal" marketing system would be better placed if one was to make an unbiased decision on the exact effect of the buying price.