Cooperative Societies as a Catalyst for Agribusiness and Rural Development in Southern Nigeria

Abstract

Nigeria is an agrarian society. Over 70 percent of the population is engaged in agriculture. Most of the people who live in the Southern part of the country are subsistence farmers. These farmers are the ones who produce both food crops and cash crops for the nation.  In this study, the authors examined the extent to which cooperative societies have served as alternative sources of funding to farmers. Thereby promoting agribusiness, poverty alleviation, and rural development. The specific objective was to examine the extent to which cooperative societies have granted credit facilities to farmers and small-scale enterprises. Both primary and secondary data were used. The findings show that more than 60 percent of the Nigerian population lives in rural areas and is engaged in agricultural and allied businesses. The farmers are faced with two major constraints, which are access to credit facilities and a lack of modern technology. The study recommends that government policies on funding the agricultural sector should be channeled through cooperative societies. If given the right environment and encouragement cooperative societies are capable of revolutionizing the agricultural sector. Thereby reducing unemployment and increasing the country's gross domestic product.