Agricultural cooperatives empower farmers by pooling resources and improving market access. Simply put, they are the cornerstone of Kenya’s agricultural success, helping farmers grow together and thrive. So, what is the role of agricultural cooperatives in Kenya?
The purpose of a cooperative is to realise the economic, cultural and social needs of the organisation’s members and its surrounding community. Through cooperatives, farmers can attract traders and institutional buyers and, therefore, increase their negotiating power.
What is the role of agricultural cooperatives in Kenya?
Agricultural cooperatives play an important role in providing credit and supplying inputs to small-scale farmers while introducing new technologies. During the 60th Madaraka Day celebrations exhibitions, Anne Waiguru, governor of Kirinyaga County made a few remarks concerning agricultural cooperatives. She said:
Agriculture-related cooperatives play a pivotal role in boosting productivity and facilitating market access for smallholder farmers. These cooperatives have made efforts to establish input distribution systems for their members, ensuring access to quality inputs and securing fair market prices.
Additionally, agricultural cooperatives facilitate farmers’ access to the following areas:
- Natural resources such as land and water.
- Information, knowledge and extension services.
- Markets, food, and productive assets such as seeds and tools.
- Policy and decision-making.
Types of Cooperative Societies in Agriculture
There are several types of cooperative societies in Agriculture. Each serves a unique purpose in supporting farmers and boosting agricultural productivity. Below are some types of farmer cooperatives that drive the agricultural sector forward.
1. Supply cooperatives
Supply cooperatives provide essential inputs required for agricultural production, including seeds, fertilisers, chemicals, fuel, and farm machinery. Some supply cooperatives operate machinery pools that provide their members with mechanical field services such as ploughing and harvesting. This helps to reduce farming costs and improve productivity, particularly for small-scale farmers in Kenya.
2. Marketing cooperatives
These cooperatives help farmers sell their produce by providing access to better markets and prices. The society aims to secure a sustainable market for small producers. They perform several operations such as transportation, packaging and warehousing. The members’ profit depends on their contribution to valuing the output. Marketing cooperatives reduce dependence on middlemen, thereby ensuring farmers get fair returns for their crops.
3. Livestock cooperatives
Livestock cooperatives provide farmers engaged in animal husbandry access to veterinary services, feeds, and marketing channels. An excellent example of a livestock cooperative in Kenya is the Ngaremara Livestock Cooperative. Its main focus is to promote climate-smart agriculture in livestock production.
During a best-practices exchange visit organised between Marsabit and Isiolo cooperatives, Mr Nguno from Ngaremara Livestock Cooperative commented,
We have scaled up since E4Impact joined us in 2021. When we started working together, we were operating as an association with 126 members. Under their guidance, we registered as a Livestock Marketing Cooperative and we have since grown our members to 608. Further, we were able to fundraise a grant of KES. 10M through proposal development supported by E4Impact; the grant is currently facilitating building of a feedlot to fatten goats and sheep. We are very grateful as a cooperative and we hope other cooperatives will follow suit for the prosperity of our people.
4. Fishery cooperatives
Fishing cooperatives are in charge of allotting fishermen specific amounts of fish to ensure equality. They partner with distributors who have larger companies to buy and sell their fish. This is the key to enhancing the profitability and sustainability of Kenya’s fishing industry.
Examples of agricultural cooperatives in Kenya
Kenya boasts a wide range of agricultural cooperatives that play a crucial role in supporting farmers across various sectors. Here are some notable examples of these cooperatives.
- Baringo Agricultural Marketing Services Cooperative Society Limited (BAMSCOS)
- Kipkelion District Cooperative Union Limited.
- The Mbagara Cooperative Society in Kakamega.
- Gikanda Farmers’ Cooperative Society (Gikanda) in Mathira East District, Central Province of Kenya.
- Gikaru Farmers’ Cooperative Society Limited in Mukurwe-ini Sub County in Nyeri County.
What is the role of agricultural cooperatives in rural development?
Agricultural cooperatives help build sustainable communities in rural areas. They provide goods and services even to those not engaged in agribusiness. For instance, agricultural cooperatives supply fuel and chemicals to rural non-farmers. Additionally, farmer cooperatives improve the social security of local residents, offer job openings and increase food supplies.
How many agricultural cooperatives are there in Kenya?
According to Statista, there are over 7,898 agricultural societies in Kenya. Most of the cooperatives (about 2,854) are multi-produce while (approximately 689) are dairy cooperatives and (about 688) are active in the coffee sector.
Wrapping up
What is the role of agricultural cooperatives in Kenya? As seen above, agricultural cooperatives not only boost productivity and income for small-scale farmers but also contribute significantly to food security and rural development.
