Cooperatives and Livelihood Improvement: Understanding the Contribution of Enterprising Agriculture Cooperatives in Rural Communities of Kabwe District, Zambia

Abstract

The study examined the contribution of agriculture cooperatives on livelihood improvement in rural communities of Kabwe district, Zambia. Case study design was used, and 229 closed ended questionnaires were used as tools for data collection. The findings also indicated that social capital contributes to increase in income of cooperative members of which 48.5% strongly agreed, 45.4% agreed, 4.4% disagreed and 1.7% didn’t know. The findings of the study also revealed that access to subsidized inputs contributes to an increase in income levels of cooperative members of which 61.6% strongly agreed and 37.6% agreed. On cooperative training and its contribution to improved income, 4.8% strongly agreed and 28.8% agreed. On the supply of subsidized cooperative’s goods and services to cooperative members, and its contribution to increased income at household level, the findings indicated that, 24.5% strongly agreed and 69.4% agreed, on access to credit and if this contributes to increase in income at household level, 13.1% strongly agreed and 72.1% agreed, and on improved yields and if this contributes to increase in income at household, 71.6% strongly agreed and 26.6 agreed. Moreover, in a binary logistic regression model, increase in income at household level was a dependent variable, and the independent variables were subsidized inputs, share contribution and access to credit which were significant at 1% whilst cooperative training and social capital were insignificant to increase in income levels of cooperative members. The study recommends that the government improve the allocation of funds to the department of cooperatives. The department of cooperatives has to restructure its structure at district level, as two members of staff are not enough to run the district. The government/Donors help improve the current transport challenges faced by members of staff at district level, and finally, there is need to enhance financial and equipment support to agriculture cooperatives.