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Determinants of Producers' Participation in Agricultural Cooperatives: Evidence from Northern China

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  • Shi Zheng
  • Zhigang Wang
  • Titus O. Awokuse

Abstract

Agricultural producer cooperatives are of great significance to the development of agricultural productivity and can provide improved economic welfare benefits to farmers. However, such organizations have not been well-developed in China. While China's new Cooperatives Law of 2007 has generated interest among scholars, very few empirical analyses have focused on the role of cooperatives in China's agricultural sector. The main objective of this study is to investigate the determinants of farmers' perception and their decision to participate in cooperatives, using a unique dataset from recently collected survey data of farming households in China's Jilin Province. The empirical results from probit and logit regression models suggest that educational attainment, risk comfort level, farm expansion, operational costs, geographic location and crop types are significant factors that influence producers' perception of cooperatives, as well as their participation behavior. Copyright 2012, Oxford University Press.

Suggested Citation

  • Shi Zheng & Zhigang Wang & Titus O. Awokuse, 2012. "Determinants of Producers' Participation in Agricultural Cooperatives: Evidence from Northern China," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 34(1), pages 167-186.
  • Handle: RePEc:oup:apecpp:v:34:y:2012:i:1:p:167-186
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    File URL: http://hdl.handle.net/10.1093/aepp/ppr044
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    Cited by:

    1. Zhang, Xingping & Luo, Kaiyan & Tan, Qinliang, 2016. "A feedstock supply model integrating the official organization for China's biomass generation plants," Energy Policy, Elsevier, vol. 97(C), pages 276-290.
    2. repec:eee:jfpoli:v:75:y:2018:i:c:p:80-92 is not listed on IDEAS
    3. Ma, Wanglin & Abdulai, Awudu, 2016. "Does cooperative membership improve household welfare? Evidence from apple farmers in China," Food Policy, Elsevier, vol. 58(C), pages 94-102.
    4. Nlerum, Franklin E. & Ogu, Patience I., 2014. "Role of Farmers' Cooperative Societies in Rural Development in Nigeria," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 42(2).
    5. Jan Falkowski & Pavel Ciaian, 2016. "Factors Supporting the Development of Producer Organizations and their Impacts in the Light of Ongoing Changes in Food Supply Chains: A Literature Review," JRC Working Papers JRC101617, Joint Research Centre (Seville site).

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