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Factors for Successful Development of Farmer cooperatives in Northwest China

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  • Garnevska, Elena
  • Liu, Guozhong
  • Shadbolt, Nicola M.

Abstract

Farmer cooperatives in Northwest China first appeared in the 1920s. Their development has been strongly influenced by the external environment and political approaches to cooperative promotion. Although farmer cooperatives have developed rapidly in China in the last three years, progress has not been uniform across the provinces, due to differences in farmer education levels and varying economic and social situations. In order to identify factors for the successful development of farmer cooperatives in Northwest China, two cases of provincially approved successful farmer cooperatives in Shandan county of Gansu province were chosen for this research. The results revealed that a stable legal environment; a dedicated initiator and leader; government financial and technical support; farmer understanding and participation of cooperative activities and appropriate external support from professional NGOs were the key factors for the successful development of farmer cooperatives in Northwest of China. This study also found some challenges that farmer cooperatives have faced in their development. The successful development of the cooperatives studied showed their significant influence on both their members and the local rural community.

Suggested Citation

  • Garnevska, Elena & Liu, Guozhong & Shadbolt, Nicola M., 2011. "Factors for Successful Development of Farmer cooperatives in Northwest China," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 14(4), pages 1-16, November.
    • Handle: RePEc:ags:ifaamr:117603
    DOI: 10.22004/ag.econ.117603
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    1. Liu, H. & Deng, H. & Xu, Z. & Lu, W., 2018. "Emerging Agricultural Cooperatives and The Structural Change of Crop Production in China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277324, International Association of Agricultural Economists.
    2. Luo, Jianli & Guo, Hongdong & Jia, Fu, 2017. "Technological innovation in agricultural co-operatives in China: Implications for agro-food innovation policies," Food Policy, Elsevier, vol. 73(C), pages 19-33.
    3. Lei Luo & Dakuan Qiao & Jin Tang & Ailin Wan & Ling Qiu & Xiaoyu Liu & Yuying Liu & Xinhong Fu, 2022. "Training of Farmers’ Cooperatives, Value Perception and Members’ Willingness of Green Production," Agriculture, MDPI, vol. 12(8), pages 1-18, August.
    4. Sunghye Moon & Sang-ho Lee, 2020. "A Strategy for Sustainable Development of Cooperatives in Developing Countries: The Success and Failure Case of Agricultural Cooperatives in Musambira Sector, Rwanda," Sustainability, MDPI, vol. 12(20), pages 1-24, October.
    5. Jiri Hejkrlik & Petra Chaloupkova & Tetyana Sokolska, 2023. "The role of transformational leadership and leaders’ skills for new agricultural cooperatives in post‐soviet countries," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 94(1), pages 109-129, March.
    6. Godfrid Erasme Ibikoule & Jaehyeon Lee & Barnabé Agalati & Raulston Gillette, 2023. "Development and Effectiveness of Agricultural Cooperatives: Case of Maize Producer Cooperatives (MPCs) in the Republic of Benin," Sustainability, MDPI, vol. 15(5), pages 1-15, March.
    7. Hristina Harizanova & Zornitsa Stoyanova, 2016. "Analysis of the External Environment of Agricultural Holdings in the Grain Sector in Bulgaria," International Conference on Competitiveness of Agro-food and Environmental Economy Proceedings, The Bucharest University of Economic Studies, vol. 5, pages 116-124.
    8. Nazik Beishenaly & Frédéric Dufays, 2023. "Entrepreneurial ecosystem for cooperatives: The case of Kyrgyz agricultural cooperatives," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 94(4), pages 1173-1198, December.
    9. Murwanashyaka, Emmanuel & Chitere, Preston Orieko & Kariuki, James Gichuru, 2021. "Smallholder Farmers’ Outside Support and Its Effect on Adoption of Radical Terraces and Food Security," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 9(2), April.
    10. Anchalee Nuansri & Avishek Datta & Takuji W. Tsusaka & Farhad Zulfiqar, 2024. "Factors influencing the profit and choice of agribusiness for agricultural cooperatives in Thailand," Journal of International Development, John Wiley & Sons, Ltd., vol. 36(1), pages 751-772, January.
    11. Xiangyu Wu & Yunlong Ding, 2018. "The Service Supply Effect of Cooperatives under Economic Transformation: A Demand-Supply Perspective," Sustainability, MDPI, vol. 10(9), pages 1-18, August.
    12. Iveta Boskova & Samuel Ahado & Tomas Ratinger, 2020. "The effects of the participation in producer organisations on the performance of dairy farmers in the Czech Republic and future challenges," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 66(8), pages 345-354.
    13. Liyan Yu & Jerker Nilsson, 2018. "Social capital and the financing performance of farmer cooperatives in Fujian Province, China," Agribusiness, John Wiley & Sons, Ltd., vol. 34(4), pages 847-864, October.
    14. Dwi Ratna Hidayati & Elena Garnevska & Paul Childerhouse, 2021. "Sustainable Agrifood Value Chain—Transformation in Developing Countries," Sustainability, MDPI, vol. 13(22), pages 1-20, November.
    15. Arcas-Lario, Narciso & Martín-Ugedo, Juan Francisco & Mínguez-Vera, Antonio, 2014. "Farmers’ Satisfaction with Fresh Fruit and Vegetable Marketing Spanish Cooperatives: An Explanation from Agency Theory," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 17(1), pages 1-20, February.

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