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CO-OPERATIVE
DEVELOPMENT AND GOVERNMENT (A CASE STUDY OF OJI RIVER L.G.A. ENUGU STATE 1999 –
2004)
ABSTRACT
The study is to
examine the project titled “Co-operative Development and Government of Enugu
State (A Case Study of Oji River Local Government Area).
Co-operative
development is not the same in all countries as the researcher wants to find
out the extent government of Enugu State is involved in co-operative
development. The researcher further divided this study into five
chapters. The background of the study, the statement of problem, scope
and limitation of the study, objective of the study, research questions etc.
were treated.
In chapter two,
literature review on past related works is discussed.
In chapter three, the
research is designed and methodology was discussed including the population of
the study, sample size, sampling techniques, method of data collection etc.
In chapter four,
presentation of analysis and interpretation of data were discussed.
Finally, chapter five
deals with summary of the findings;
1.
Majority of co-operative societies members in Oji River were female about 78%
of the entire population.
2.
Most of the respondents are not well educated. Majority attended primary
education which constituted a serious set back for effective management.
3.
The result of the survey, indicated that most of the co-operators in Oji River
are of old age.
4.
Loan statistics presented shows a fair recovery of loan issued to co-operative
societies (refers to table 4 in chapter 4).
5.
The poor management of co-operative societies in Oji River is as a result of
dishonesty on the part of the management committee) such as poor record keeping.
Recommendation;
unless co-operative societies in Oji River Local Government introduce
incentives to attract the male sex. If not, it will be difficult to have a
meaningful change in socio-economics and cost of having people.
Capital available for
co-operative societies is not enough to encourage profitable investment.
Conclusion: It
is clear that co-operative societies in Oji river was not been wildly equipped
and it is not enough to make impact on citizens of the area.
TABLE OF CONTENT
CHAPTER ONE:
1.0
Introduction
1.1
Background of the study
1.2
Statement of the study
1.3
Objective of the study
1.4
Research questions.
CHAPTER TWO:
2.0
Literature Review
2.1
Meaning and Definitions of co-operative societies
2.2
Development of Co-operative in Nigeria
2.3
Role of Government in Co-operative Development
2.4
Government Effort and Achievement in Oji River Divisional Co-operative Council
2.5
Type of Co-operative and their roles on development
CHAPTER THREE:
3.0
Research Methodology
3.1
Population of the study
3.2
Sample and Sample size
3.3
Sampling Techniques
3.4
Method of data collection
3.5
Description of data collection instrument
CHAPTER FOUR:
4.0
Result and Discussion
4.1
Presentation and Analysis
4.2
Sex Respondents
4.3
Age Respondents
4.4
Predominant type of co-operative societies in Oji River
4.5
Source of income for co-operative societies in Oji River
4.6
Loan Statistics of co-operative societies
4.7
Educational Status of Respondent
4.8
Reasons for joining co-operative societies
4.9
Major source of members
4.10 Benefit
Respondents Derived from co-operative societies
4.11 Problems
facing co-operative societies in Oji River
4.12 Suggested
solution to identified problems
CHAPTER FIVE:
1.0
Summary and conclusion
5.1
Summary of the finding
5.2
Conclusion
5.3
Recommendation
Bibliography
Appendix I
Appendix II
CHAPTER ONE
1.0
INTRODUCTION:
The major attraction
of co-operative organization especially in the developing area is – it’s
potentials for social change and improvement in the standard of living of
people or well being of the populace for example many government has devoted
numerous resources for the encouragement and improvement of co-operative
societies in rural and urban area to eliminate/ eradicate poverty among the
average citizen of the country.
Sometimes, the
government involvement is observed to the extent of thrift of co-operators from
self-reliance of the organization, instead of depending on government.
Consequently, the objective of the movement bring change in the economic
development which Oji River Local Government cannot afford to ignore than to
become one of them. The members of the movement were benefiting through
the provision of the services, the instrument of social change and
transformation which will benefit the entire populace. Thus, the co-operative
society has the ability or responsibility over social economic development of
the entire economy.
Notwithstanding, if
such potentials are properly harnessed, the impact of this association will
contribute immensely to the economic development of Oji River Local Government
Area and as well as co-operative development of the area, this is the major
focus of this research.
1.1
BACKGROUND OF THE STUDY:
The study on this
regard “Co-operative Development and Government in Oji River Local Government”
with the range of 1999 – 2004. In the course of this study, the author
Michael Kenechukwu is trying to review the excess, other words, the effect and
contribution of government to co-operative of the area, Oji River divisional
co-operative council.
All things being
equal, co-operative is as old as time immemorial to the extent that in all
engagement of human being in the world co-operative exist, think of families
you cannot have an organized family without co-operation among themselves, war
cannot be fought without co-operation among the group; therefore, co-operative
exist either informal or informal or formal organizations. But modern
co-operative societies started in the year 1844 in Great Britain, England by
Rochdale Equitable Pioneers after the pitfall of the earlier/pre-Rochdales in
1830’s co-operative societies as a result of negative effect of their practices
and industrial revolution which rendered many people jobless because machines
were introduced to replace human labour such as farmland were bought only by
the rich and noblemen therefore, only the rich people could afford farming
practices especially on a large scale. There was the room for subsistence
farmer.
The prevailing
unemployment led to widespread of poverty and destitution of common man in the
society, had no house to live and had no cloth to wear because everything was
owned by the capitalist. The suffering was terrible that people had to
move from place to place, jumping from one job to another, from one trade to
another before they could feed their family. However, the rich were
becoming richer while the poor becoming poorer. The bad maltreatment of
the masses by the capitalist lead to intervention of people that matters a lot
as far as co-operative is concerned known as Robert Owen and Dr. Williams King
and Rochdale Equitable Pioneers in 1844. They are the father of modern
co-operative societies as well as the touch bearer of co-operative which passes
the touch of co-operative from one generation to another, their mission in
co-operative was to eliminate/reduce corrupt practices and suffering of the
masses in their untold condition, nevertheless, the co-operative development in
Oji River divisional co-operative council started in the year 1976 when
co-operative ministry implement their policy of taking over the formal eastern
Nigeria co-operative training institution, Enugu, which still remain Federal
Co-operative College located at Awgu now re-located at Oji River Local
Government Area, Enugu State. But before the above mentioned institution
for co-operative, there are many traditional societies in their communities,
towns, which had no legal backing or legal recognition. These societies
include viz:
·
Egbebele Ugo Women Organisation
·
Onyemalu Nwanne ya Organization
·
Oga-adimma Organization
·
Oganiru Age Grade Organisation
Most of these
organizations mentioned above fold-up because they have no legal
recognition. Notwithstanding, following the establishment of the three
(3) Federal Co-operative Colleges in Nigeria located as follows:
(a)
Federal Co-operative College, Ibadan
(b)
Federal Co-operative College, Kaduna
(c)
Federal Co-operative College, Oji River, Enugu State, the aim of these
established institutions by the Federal Government in collaboration with
ministry of co-operative is to produce position co-operative
experts/co-operative extension officers that will help in disseminating
information on co-operative matters, moreso, impacting co-operative ideologies,
principles, practices, culture and norms in all nooks and corners of the rural
areas. The idea of this sector brought about full knowledge of
co-operative societies in Oji River L.G.A.. They started with six (6)
autonomous communities in that area stated as follows:
1.
Oganiru Achi Farmer Multi-purpose Co-operative Society (OAFMCS) Limited.
2.
Akpugoeze Farmer Multipurpose Co-operative Society (A.F.M.C.S.) Ltd.
3.
Igwebuike Farmers Multi-purpose Co-operative Society (IFMCS) Ltd, Inyi.
4.
Ugwuoba Women Multipurpose Co-operative Society (UWMCS) Ltd.
5.
Awlaw Farmers Multipurpose Co-operative Society (AFMCS) Ltd.
6.
Ekemma Women Multipurpose Co-operative Society (EWMCS) Ltd.
However, the above
co-operative societies in Oji River divisional co-operative council excel in
their business due to hard working and painstaking effort among the members,
almost all of them were successful in their respective business they work
relentlessly with co-operative spirit.
The record of their
achievement according to the data available in the course of this study shows
that there is increase in type of co-operative societies, increase in the
membership strength and increase in business of co-operative societies of the
area. They had the record of an increase in the different brand of
co-operative societies right from the 1998 – 2004. The societies in that
area increase from six (6) to hundred and sixty-five (165) that call for study
on this regard.
Other salient factors
responsible for poor co-operative development in Oji River divisional
co-operative council were stated as follows below:
1.
Lack of awareness: The awareness about co-operative is not
enough, most of the people in some communities of Oji River Local Government
due to poor awareness campaign on mass media such as television, radio,
co-operative journal, newspapers and magazines etc.
The
co-operative experts and extension agents has a lot to do in dissemination of
information about co-operative societies, to lecture than on the meaning of
co-operative societies, the principles and practices of co-operative, norms and
values as well as the benefit they are going to derive after joining
co-operative societies (co-operative effect).
2.
Lack of Trust Among Some Co-operators: Most of co-operators
failed to fulfill their promises to some communities in that area, moreso,
officers discriminate each other in terms of differences in communities or
towns, race, tribe. Under this arrangement, it discourages non-members,
staff and government in participating in co-operative activities. Thereby
decrease the rate of co-operative development of the area.
3.
Abandonment of Co-operative Projects: Most of co-operative
project were abandoned and lack of revisitation of projects as a result of
mismanagement of resources by some staff. In Akpugoeze for instance,
co-operative societies in that area abandoned their farms and oil mail at
Nkwere-Inyi, Oji River L.G.A. and other cumulated misconducts that are responsible
for poor participation of non-members and government in co-operative
development.
4.
Lack of unity among the clans: The co-operative development
in Oji River always sustain misinterpretation and conflict with the communities
thereby hindered the effort of co-operative officials of the area.
5.
Poor Support from State Government: It is observed that
co-operative societies existing within Oji River divisional co-operative
council, otherwise their affiliates did not receive enough support from the
state government. Such support like fertilizers, tractors, pesticides,
fungicides, herbicides etc and other incentives like grants, and subsidies.
SCOPE OF THE STUDY:
The study on this
regard, co-operative development and government was designed to access and
ascertain co-operative societies existing in some autonomous communities of Oji
River Local Government Area. Such communities like Achi, Inyinese,
Omeire, Awlaw, Akpugoeze, Ugwuoba autonomous communities all in Oji River,
Enugu.
The research work
also covered the whole parts of Oji River Local Government area to determine
the effectiveness of co-operative and government in development of co-operative
societies in Oji River from 1999 – 2004. The study also extend to some
institutions mentioned but few co-operative unit/ministries, Federal
Co-operative College, Oji River, Institution of Management and Technology
(IMT), Enugu and at Enugu State University of Science and Technology (ESUTECH)
to call forth some useful ideas.
STATEMENT OF PROBLEM:
In Oji River
divisional co-operative council of Enugu State, about 70% of the total
population deeply engaged on peasant/subsistence farming and small scale
business enterprise. It is only about less than 30% of the population
engaged in white cola job/office work, therefore, for farmers to thrive in Oji
River Local Government Area according to the experiment of fact conducted in
Oji River divisional council within the range of 1999 – 2004 there is a great
need for them to organize themselves as a group; “co-operative society, to
increase the productivity level, since, co-operative stand on a better chance
to mechanize agriculture. Therefore, farmers should do all they can, to
organize themselves as co-operative society to enable them progress in their
agricultural operations. Such benefit is like getting loan easily from
any financial institution at a cheaper rate of interest without unnecessary
protocol such as collateral security with the aid of Certificate of
Registration. They will obtain loan easily especially, on co-operative
banks, agricultural banks, Nigeria Agricultural Co-operative and Rural
Development Bank (NACRDB) moreso, as a group they can get inputs like
fertilizers, tractors, pesticides, and other incentives like grants, subsidies,
etc poor participation of government in co-operative development like share
capital, entrance fees of members, deposit from members, donations from
cheerful giver, reserve etc, which is very bad for co-operative society who
wants to make impact on co-operative business and societies who want to grow.
SIGNIFICANCE OF THE
STUDY:
The study on this
regard has its significance which focus on development of co-operative
societies in Oji River Local Government, the degree of Government participation
in co-operative matters, with special reference to Oji River Divisional
Co-operative Council in terms of management of co-operative societies under
their control. The sole aim of this studies is to review the condition of
co-operative development and to provide materials for the successor as well as
the beneficiaries (undergraduates students) of Co-operative Economics and
Management of Institute of Management and Technology, Enugu in their academic
pursuit.
It will also serve as
a policy guide in the local government depending on those who made their
carrier on co-operative field, and for those who have interest on co-operative
thought. Nevertheless, Oji River Local Government has its potential
resources for co-operative sector and non-co-operative sector of economy, such
as:
(a)
Police College: The Nigeria Police College was established for training
of forces on disciplinary actions to maintain peace and order in Oji River and
nation at large.
(b)
Federal School of Health and Technology: The School of Health was
instituted in Oji River Local Government for training of nurses and it is
equivalent to combat diseases and sickness in Oji River.
(c)
Federal Co-operative College: One among the three federal co-operative
colleges in Nigeria through the joint effort of Government and Ministry of
Co-operative experts in all co-operative professionals especially, on technical
issues, for them to help farmers in the rural areas of Oji River.
(d)
National Electric Power Authority: The electrical power authority was
established in Oji River to take the responsibility of electricity supply in
sundries of Oji River Government.
(e)
Natural Pure Water: This was known as (water worse). It is
naturally pure and minor potentials which serve as yardstick to the
neighbouring Local Government and state at large. However, co-operative
is very important especially during the period of state and federal government
wants to use co-operative as a spring board in implementation of their policies
and programme at the grassroot level.
RESEARCH QUESTIONS:
The following
questions were designed for my investigation and inquiry in Oji River
divisional co-operative council states as follows:
1.
Are there existing co-operative societies in the local government area viable
enough to contribute to co-operative development?
2.
Are there enough co-operative societies in the local government?
3.
What are the factors that have hindered the effective mobilization of co-operative
societies in order to enhance co-operative development in Oji River?
4.
What service members drive from the existing societies (co-operative effect).
5.
On what aspect has co-operative societies have intervened on economic conflict
of Oji River Local Government to enhance development at the grassroot level.
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