1

OBODOECHI, OSSY

PG/M.Sc/06/46390

CO-OPERATIVE SOCIETIES AND RURAL DEVELOPMENT IN

NIGERIA: A STUDY OF SELECTED CO-OPERATIVES IN OJI-RIVER

AND UDI LOCAL GOVERNMENT AREAS OF ENUGU STATE

Institute for Developement Studies

A THESIS SUBMITTED TO THE DEPARTMENT OF INSTITUTE FOR DEVELOPMENT

STUDIES, UNIVERSITY OF NIGERIA ENUGU CAMPUS

Webmaster Digitally Signed by Webmaster‟s Name

DN : CN = Webmaster‟s name O= University of Nigeria, Nsukka

OU = Innovation Centre

2008

UNIVERSITY OF NIGERIA

2

CO-OPERATIVE SOCIETIES AND RURAL DEVELOPMENT IN

NIGERIA: A STUDY OF SELECTED CO-OPERATIVES IN OJI-

RIVER AND UDI LOCAL GOVERNMENT AREAS OF ENUGU

STATE

BY

OBODOECHI, OSSY

PG/M.Sc/06/46390

A RESEARCH PROJECT PRESENTED TO THE INSTITUTE FOR

DEVELOPMENT STUDIES

UNIVERSITY OF NIGERIA

ENUGU CAMPUS

IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE AWARD

OF THE DEGREE OF MASTERS OF SCIENCE (MSc) IN DEVELOPMENT

STUDIES.

DECEMBER, 2008

3

CERTIFICATION

I, Obodoechi Ossy PG/M.SC/06/46390, do hereby certify that this research project

was carried out by me as an original work and has not been submitted to this or any

other institution of higher learning for any degree, diploma or certificate

Obodoechi, Ossy

(PG/MSc/06/46390)

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APPROVAL

This is to certify that this research work was carried out by Obodoechi Ossy, a

Postgraduate Student of the Institute for Development Studies, University of Nigeria,

Enugu Campus and with registration number PG/MSc/06/46390. He has satisfactorily

completed the requirements for the course and the research work which is adequate in

scope and quality for the award of the degree of Masters of Science (MSc) in

Development Studies.

DR. Ewurum Date

Supervisor

Prof. Ikechukwu E. Nwosu, Ph.D Date

Director, IDS

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DEDICATION

This work is dedicated to my lovely wife Nnenna MaryAnne Obodoechi and our

children

Obodoeze

Buchi, and

Kamdi

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ACKNOWLEDGEMENTS

My sincere appreciation goes to my supervisor, the amiable Dr. Ewurum. His

humility and dedication to work inspires hundreds of PG students who over the years

passed through him. I am humbled by his intellectual and yet humane appeal. The

pioneer M.Sc. Development class had many students who radiated candour and

intellectualism. To this end I must mention Henry Ozomaro whose contribution to

this work is phenomenal. Barr. Rex Oti is the visible hand of God who made the

completion of this programme a reality. To my entire class member I admire you all.

There is no doubt that a work of this magnitude had many hands on deck. Mr.

Umoh and Dr. V.A. Onodugo made the M.Sc. class worth while. I am intellectually

indebted to these two rising colossus. Who ever missed there lecture must always

know he has lost a lot. Professor Ike Nwosu‟s contribution to this success story

cannot be overemphasized. We all still mourn with him on the demise of his late wife.

Those whose names are not mentioned here should not feel slighted. I am

forever in the book of debts of many fellows. Miss Christy Anonde, thank you for

dutifully typing this work. In God‟s name, most merciful, most compassionate may

blessing follow you all.

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ABSTRACT

Rural development took prominence on the international scene during the

1960s. It was the then U.N.O secretary general, Mr. Lee grant who declared 1962 –

1977 as a “development decade” and by so doing harped on the concept of rural

development. Rural development which means a process whereby concerted efforts

are made in order to facilitate significant increases in rural resource productivity

with the overall aim of improving rural incomes and employment opportunities is an

integral aspect of National development. In Nigeria, it has been argued that majority

of Nigerians (about 70%) live in rural areas. Again, it is quite obvious that in the

prevailing rural-urban divides, the pangs of poverty are greatly felt in the rural

areas. Comparatively, most rural dwellers lack access to basic facilities such

electricity, good road network, safe water sources, educational facilities, recreation

etc. Efforts over the years have shown that governments all over the world cannot

alone provide this. The concept of self help organization (S.H.O) and the twin brother

non-governmental organizations (NGO) are all geared towards ensuring that efforts

are galvanized and synthesized in transforming the rural areas. Cooperative is both

an (SHO) and also an (NGO). Throughout the world this “pan-humanic”

organization has contributed in no small measure in alleviating the suffering of the

masses. In this work, the researcher traced scientifically how cooperatives help

members solve their socio-economic needs, thereby shielding members from the

vagaries of exploitation (economic wind cheater). This study reveal in detail various

ways through which cooperatives solve members problems. However, it was

discovered that cooperatives in Udi and Oji-River LGAs could do better if necessary

institutional foundations are made. Recommendations were made on how to make

cooperatives do more for her members; these include Government support and

encouragement, Creation of education department in Divisional Council (Need for a

cooperative republic) and more involvement by NGO’s, SHO’s and international

donor agencies.

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TABLE OF CONTENTS

Title page …….….………………………………………………………………. i

Certification ….………………………………………………………….............. ii

Approval Page ….….….………………………………………………………… iii

Dedication .……………………………………………………………………… iv

Acknowledgement………………………………………………………………... v

Abstract ..…...........……………………..……………………………………….. vi

Table of Contents……….………….……………………………………………... viii

CHAPTER ONE: INTRODUCTION

1.1 Background of the Study - - - - 1

1.2 Statement of the Problems - - - - - 4

1.3 Objective of the Study - - - - - 5

1.4 Research Questions - - - - - 6

1.5 Research Hypothesis - - - - - 6

1.6 Significance of Study - - - - - 7

1.7 Area of the Study- - - - - - - 8

1.8 Limitations of Study - - - - - - 8

1.9 Definition of Terms - - - - - - 9

References - - - - - 11

CHAPTER TWO: REVIEW OF RELATED LITERATURE

2.1 Introduction - - - - - - - 12

2.2 Theoretical Framework - - - - - 18

2.3 The role of Cooperative societies in Rural Development - 22

2.3.1 Land Acquisition /Land Reform Cooperatives - - 23

2.3.2 Mechanization - - - - - - - 24

2.3.3 Supply of Inputs - - - - - - 25

2.3.4 Supply of Agricultural Credit - - - - - 25

2.3.5 Processing of Raw Materials through Cooperatives - - 26

2.3.6 Marketing of Agricultural produce - - - - 27

2.4 Cooperative societies in Udi and Oji River LGAs of Enugu

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State: historical perspective - - - - 29

2.4.1 Types of co-operative societies in Udi and Oji-River LGAs - 29

2.4.2 Problems and Challenges associated with Cooperatives

In Rural Development - - - - - - 30

2.5 The concept of rural development - - - - 33

2.6 historical background of rural development in Nigeria - 40

References - - - - - - - 52

CHAPTER THREE: RESEARCH DESIGN AND METHODOLOGY

3.1 Introduction - - - - - - - - 45

3.2 Research Design - - - - - - 46

3.3 Sources of data - - - - - - 46

3.4 Population of the Study - - - - - 47

3.5 Sample Size and Sampling Techniques - - - 48

3.6 Data collection instrument and method of administration - 51

3.7 Instrument validity and reliability - - - - 52

References - - - - - - - 56

CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS

4.1 Introduction - - - 57

4.2 Data Presentation - - - 58

4.3 Testing the Hypothesis of the Study - - - 65

CHAPTER FIVE: SUMMARY OF FINDINGS, RECOMMENDATIONS

AND CONCLUSION

5.1 Summary of Findings - - - - - - 70

5.2 Conclusion - - - - - - - 74

5.3 Recommendations - - - - - - 75

Bibliography - - - - - - - 77

Appendices - - - - - 81

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CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Over the years, the issue of rural development in Nigeria has been a subject of

popular debate. Many have argued in support of the need for effective and efficient

development of the rural areas. This is against the fact that in post independent

Nigeria, development emphasis has been placed on the urban centers more than rural

areas. This phenomenon is sustained by every successive government despite the

generally acceptable fact that about 70% of Nigerian population reside in rural areas.

Poverty has also been identified as been more prevalent in the rural than urban areas.

Perhaps, this to a large extent contributes to massive movement of people from rural

to the urban centers. In view of the above scenario, many actors have come to take

particular interest in the development of the rural areas. Prominent among these are

the Non-Governmental Organizations, International donor agencies, Self Help

Organizations and Promotion Institutions (Ogili, 2004; Ndukwe, 2005; Berko, 2001).

Rural development in Africa especially in Nigeria has not fared so well. This

is so because government claims not to have enough resources to bring meaningful

development to rural areas. Cooperatives which is an association of persons who have

pooled themselves and their resources together to fight common socio-economic

problems is both seen as a non-Governmental organizations and a self help

organizations (Ndukwe, 2005).

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The Nigerian government as far back as in the 1960s has embarked on many

developmental programmes towards ensuring the development of the rural

communities. Some of these developmental programmes include the following:

i. Farm Settlement Scheme (FSS)

ii. Accelerated Food Production (AFP)

iii. Operation Feed the Nation (OFN)

iv. Green Revolution (GR)

v. River Basin Development Authorities (RBDA)

vi. Agricultural Development Programmes (ADP)

vii. Supervised Agricultural Credit Scheme (SACS)

viii. The Directorate of Food, Roads and Rural Infrastructure (DFRRI)

These programmes no doubt, produced some encouraging results, but

however it was not enough to transform the Nigerian rural areas to the desired level

or heights. It is thus in an attempt to fill the existing development gap that groups

such as co-operative societies are formed. Interestingly, cooperatives can be formed

by the mighty and the low. The uniqueness of cooperatives and its flexibility permits

it to be practiced among farmers, fishermen, artisans, industrial and commercial

workers, drivers, students, market men and women etc. Membership of cooperatives

cut across men and women, the rich and the poor, the literate and the illiterate. All

over the continents of Africa, Asia, South and North America and Australia,

cooperatives have become an integral part of the economy (Obodoechi, 2006; Ijere,

1991).

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It is in affirmation of the above stated importance that Adekanya (1981) posits

that cooperatives are fundamental and an indispensable element in rural development.

He insists that cooperative is one of the inevitable pre-requisites for rural

transformation. Ijere (1991:34) sums up the relevance of cooperatives in rural

development when he asserts that, “cooperatives have been found as the most

appropriate avenue for rural mobilization and organization”. He further contends

that:

In some ways agricultural cooperatives serve as the most suitable channels

for delivering inputs and other services to a multitude of rural dwellers

scattered over wide geographical expanses of land. Cooperation teaches

humanism self help which neither capitalism nor socialism can approach. It

puts man in the centre of discussions and actions in contra distinction to

capitalism with its enthronement of capital and profits. In consequence,

cooperatives have been known all over the world as the best agencies for

dealing with land reforms, improved storage, processing and marketing,

transfer of agricultural technology and further greater participation of rural

people in these virtues.

It is therefore against the following background that this study seeks to assess

the role of co-operative societies in Rural Development of Enugu State.

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1.2 STATEMENT OF THE PROBLEM

Governments all over the world understand the indispensability of

cooperatives as active players in rural development. These important roles have been

succinctly articulated in the nation‟s agricultural policy. The primary objectives of

government on agricultural cooperatives according to this policy are:

i. To evolve a virile system which will facilitate their practice and use in

agriculture as an effective vehicle for social and economic development at

the grass-roots level throughout the federation; and

ii. To use agricultural cooperatives as machinery for rural transformation and

development which will affect the various aspects of rural life

These overt pronouncements above are not actually matched with realities on

the ground. Countries like U.S.A, China, Russia, Israel, Asian Tigers and even

smaller ones like Tanzania, Uganda, Kenya and even Ghana can boast of a strong

comparative movement which brings about a more realistic rural development. It is

quite obvious that after 69 years of existence of co-operatives and their active

involvement in Nigeria‟s rural development, indicators of development in Nigeria‟s

rural areas are still quite discouraging. Many of the existing ones appear to make

more impact in publicity than in rendering genuine developmental services to the

rural dwellers. Co-operatives in recent times also seem to receive less attention from

both public and private sectors. It is also observed that co-operatives die faster than

new ones are formed. What could be responsible for these and other anomalies

within the co-operatives and how co-operatives could be repositioned to function

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more effectively as partners in development with the government constitute part of

the cardinal problems of this study.

1.3 OBJECTIVES OF THE STUDY

The general objective of this research work is to ascertain the role of

cooperatives in rural development especially in Udi and Oji-River Local Government

Areas of Enugu State. Specific objectives of the study include the following:

i. Identify various types/kinds of cooperative existing in Udi and Oji-River

Local Government Areas of Enugu State.

ii. To examine various kinds of activities performed by cooperatives to members

in both Local Government Areas.

iii. To identify various sources of finance available to the societies under review.

iv. To assess the effectiveness of policies aimed at promoting co-operative

societies.

v. To identify some of the challenges which co-operative societies face in the

rural areas.

vi. To assess how co-operatives impact on rural development.

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1.4 RESEARCH QUESTIONS

The under listed shall form the research questions of the inquiry:

i. What are the dominant types of cooperative societies in Udi and Oji-River

Local Government Areas of Enugu State?

ii. What kinds of activities are performed by co-operatives in Udi and Oji-River

LGAs?

iii. What are the various sources of financing the activities of these co-operatives?

iv. How effective are policies aimed at promoting co-operative societies?

v. What are the challenges which co-operative societies face in the rural areas?

vi. To what extent do co-operatives impact on rural development?

1.5 RESEARCH HYPOTHESES

In carrying out this study, there have to be tentative statements upon which its

finding would be based. The following assumptions have been developed and would

be tested in later chapter.

Ho Co-operative societies have no tremendous impact on the rural development

and socio-economic lives of the community of Udi and Oji-River of Enugu

State.

H1: Co-operative societies have tremendous impact on the rural development and

socio-economic lives of the community of Udi and Oji-River of Enugu State.

Ho Inadequate resources have not been a threat to the effectiveness of Co-

operative societies Udi and Oji-River of Enugu State.

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H1 Inadequate resources have been a threat to the effectiveness of Co-operative

societies Udi and Oji-River of Enugu State.

Ho Lack of a sustainable policy framework does not impede the exploit of Co-

operative societies in the rural development and improvement of socio-

economic lives of the community of Udi and Oji-River of Enugu State.

H1 Lack of a sustainable policy framework impedes the exploit of Co-operative

societies in the rural development and improvement of socio-economic lives

of the community of Udi and Oji-River of Enugu State.

1.6 SIGNIFICANCE OF THE STUDY

This research work helps to enlighten different interest groups including

business practitioners, Nigerian entrepreneurs and others to understand the real

contributions of cooperative societies in rural development in Nigeria. It will also

enable cooperative societies to discover their weaknesses and challenges in the

performance of their roles in rural development.

It will also furnish small and medium enterprise owners and interest groups

with data about the macroeconomic and institutional constraints inhibiting the

survival and growth of cooperative societies in Nigeria in general. This will enable

them to appreciate the need for change in operational techniques to enhance labour

productivity.

The result of this study will serve as a guide to all tiers of government,

professional bodies and other relevant stakeholders in rural planning and business

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policy reforms. It will also serves as a reference tool for business management

students and other researchers for future research work.

1.7 AREA OF STUDY

This study which emphasizes rural development from the cooperatives

viewpoint is limited to Udi and Oji-River local governments areas of Enugu State.

There are one hundred and two (102) primary cooperative societies in Udi

local government area and one hundred and one (101) registered primary

cooperatives in Oji-River local government area. Therefore out of 19 Local

Governments Council in Enugu State only two (2) is chosen. Even in Enugu West

senatorial zone which comprises of five (5) local governments namely:

a. Awgwu

b. Aninri

c. Oji-River

d. Udi and

e. Ezeagu.

Only two already mentioned i.e. Oji-River and Udi were chosen.

1.8 LIMITATIONS OF STUDY

Cooperatives in Nigeria have not taken its pride of place. It has also been said

in this research work that the cooperative societies is perhaps 69 years old in Nigeria.

This has created problems of their own. There is dearth of materials with regard to

cooperatives. This is better understood when rural areas like the ones under review

are involved.

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There is also the civil services attitude of attaching “secret” or vital

information which could ordinarily help the researcher to arrive at better judgment

and decision.

This study was constrained by finances.

There is no doubt that some percentages of cooperators are illiterates thereby

making distribution and collection of questionnaires difficult.

Also the problem of finance, time and logistics equally presents an uphill task

towards the completion of this work.

1.9 OPERATIONAL DEFINITION OF TERMS

1. Cooperative Society: An organization formed by individuals who

have same socio-economic problems to contend with. It is a

democratically controlled institution that prevents members from

being exploited. Cooperatives remain the only business that do not

make profit but exist to serve members socio-economic interest.

2. Rural development: Simply means sustained attempts to transform

the rural areas in such a way that the problems of rural areas, which

make life very difficult and uncomfortable, are minimized to ensure

improved conditions.

3. Self Help Organizations: (SHOs): These are associations formed by

group without the support or encouragement of others. Self Help

connotes self-reliance, self trust; it includes organizations like

Cooperatives, pressure groups, federation and trade unions.

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4. Non-Governmental Organizations (NGOs): The term NGO‟s refers

to organizations that are private, That is, non-public institution. They

are Institutions not owed by government.

5. Community based Organization (CBO): This simply refer to

associations that are domicile in the rural areas. They are basically

formed for the well being of rural dwellers. There essence can be

found in activities they perform. Essentially they are Non-

Governmental Organizations. They play major part in the development

of the rural communities. They include associations like Town-Unions,

Age-grades, classificatory sisters (Umuada), Christian Organizations.

etc.

6. Agricultural Productivity: The index of the ratio of the value of the

total inputs used in farm production.

7. F.M.C.S: farmers Multi Purpose Cooperative.

8. M.C.S: Multi Purpose Cooperative Society.

9. CTLS: Cooperative Thrift and loan society.

10. C.T.C.S: Cooperative Thrift and Credit Society.

12. C.C.U: Cooperative Credit Union.

13. V.A.S: Village Adoption Scheme.

14. F.S.S: Farm Settlement Scheme.

15. D.C.S: Development Adoption Scheme.

16. D.C.C: Divisional cooperative Council.

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REFERENCES

REFERENCES

Anyanwu, C.F (1992). Community development, the Nigerian Perspective.

Ibadan: Gabester Education Publishers.

Bakare, C.O. 1977. The Concept of Rural Development. Summary of P.A.O.

Cairo: Inter-regional Seminar on Integrated Development.

Bernistern, H. 1978. Under-development and Development: The Third World

Today. England: Soffolk Richard Clay Ltd.

Business Times (1990) Nigerian Economy since Independence

1960-1990: A Report .Monday October 1 Pg 9

Heyer, A. (1981). Rural Development in Tropical Africa. London: Macmillan Press.

Ijere, M.O (1991). Promoting Women in Cooperatives.

Enugu: Acena Publishers.

Lele, U. (1975). The Design of Rural Development Lessons from Africa.

Baltmore: Holt Rinbert.

Mabogunje, A.L. 1981. The Development Process: A Spatial Perspective.

Ibadan: University Press.

Madu, E.N. (1989). “Rending Mimeograph on Rural development”

Unpublished journal.

World Bank.(1975). “Rural Development”. A Policy Paper. Washington D.C.:

World Bank.

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CHAPTER TWO

REVIEW OF RELATED LITERATURE

2.1 INTRODUCTION

A cooperative is defined by the International Co-operative Alliance's

Statement on the Co-operative Identity as an autonomous association of persons

united voluntarily to meet their common economic, social, and cultural needs and

aspirations through a jointly-owned and democratically-controlled enterprise (Ridley-

Duff, 2007). It is a business organization owned and operated by a group of

individuals for their mutual benefit. (Sullivan, 2003).

A cooperative may also be

defined as a business owned and controlled equally by the people who use its services

or who work at it. Cooperative enterprises are the focus of study in the field of

cooperative economics.

Over the years, it has been argued that co-operation is but a form of individual

and societal behavior that is inherently intrinsic to human organization. The history of

modern co-operative forms of organizing dates back to the Agricultural and Industrial

Revolutions of the 18th and 19th centuries. The status of which was the 'first co-

operative' is under some dispute, but various milestones in the history may be

identified (Rothschild, 2008; Oakeshott, 2002). In 1761, the Fenwick Weavers' Society

was formed in Fenwick, East Ayrshire, Scotland to sell discounted oatmeal to local

workers. Its services expanded to include assistance with savings and loans,

emigration and education. In 1810, Robert Owen, Welsh social reformer from

Newtown in mid-Wales, and his partners purchased New Lanark mill from Owen's

father-in-law and proceeded to introduce better labor standards including discounted

retail shops where profits were passed on to his employees. Owen left New Lanark to

pursue other forms of co-operative organization and develop co-op ideas through

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writing and lecture (Charles, 2004). Co-operative communities were set up in

Glasgow, Indiana and Hampshire, although ultimately unsuccessful. In 1828, William

King set up a newspaper, The Cooperator, to promote Owen's thinking, having

already set up a co-operative store in Brighton.

In the final decade of the 20th century, cooperatives banded together to

establish a number of social enterprise which have moved to adopt the multi-

stakeholder cooperative model. In the last 15 years (1994 - 2009) the EU, and

member nations, have gradually revised national accounting systems to "make

visible" the increasing contribution of social economy organizations (Rothschild,

2008).

Berko (1987:18) defines a cooperative as:

A voluntary and democratic association of persons, with variable

membership and variable capital whose members pooled themselves

and their resources together on mutual and self help basis to form a

business enterprise which seeks to solve the socio-economic

problem(s) of these members by directly providing goods and services

to them in their capacity as either the owner/customer or owner-

employee of the cooperative enterprises.

In a related development, Chukwu (1990:66) succinctly puts it that:

Cooperative societies are institutions within whose frame-work

cooperation or joint activities by people take place in a formalized,

long-term, deliberate and, to a great extent, specific form in the

social and especially economic sphere of human endeavour.

For Ijere (1992:33)

Cooperative is an association of persons joined together to achieve a

common end and through the formation of a democratically controlled

organization, making equitable contribution to the capital required and

accepting a fair share of the risks and benefits of the undertaking in

which the members actively participate.

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Dulfer (2007) sees Cooperative as having the following dimensions:

a. A group of persons with at least one economic interest and with variable

membership;

b. The aim of the group and each individual member of the group is to

meet the common need by joint action based on mutual assistance.

c. The means to achieve this aim is to establish a common enterprise

(Cooperative enterprise)

d. The goods and services (benefits) of the cooperative enterprises are

made directly available to the members as customers or as employees.

Thus, the members are simultaneously owners and customers or

employees (in the case of productive cooperatives) of the cooperative

enterprises.

Internal Cooperative Alliance (ICA) (1995) defines cooperative as ;

an autonomous association of persons united voluntarily to meet their

common economic, social and cultural needs and aspiration and

through a jointly owned and controlled enterprise.

I.C.A (1995) vehemently rationalizes the imperativeness of cooperative in the

development process. Accordingly, co-operative is characterized by the following;

a. A genuine is an autonomous from governmental or external control

and domination.

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b. Members join voluntarily as a result of having acquired a new

awareness, through education of the benefits of cooperation. They

should not be forced or tactically manipulated to join;

c. A cooperative is an association of persons, not of capital. The interest

of the members must come before those of capital. The group of

persons is the social element.

d. The objective of the group is to meet the members’ needs in the

economic field as well as their aspirations in the social and cultural

fields, religious and political, criminal objectives are however

excluded.

Obviously, Cooperative society is as old as man. A popular Igbo proverb has

it that when body itches a man, he turns to a fellow man for scratching, but when it

itches an animal, she turns to a tree. Throughout history, man had understood that it

pays to work together than in isolation, hence the popular adage “waited, we stand,

divided we fall”.

The American‟s refer to their earliest rural cooperative movement as “the

Bees” emphasizing strength in unity. In pre-colonial Africa, early cooperative

activities were also visible. The Ghana Empire mobilized well over two hundred

thousand (200,000) soldiers to execute a single war – This was before the coming of

the white man. In Igbo land, the popular “Isusu” i.e. thrift savings society, has

continued to be useful even till today virtually, in all parts of pre-colonial Nigeria, the

savings in all parts of pre-colonial Nigeria, the thrift savings has continued to be

relevant.

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The advent of colonialism in Africa did not impinge on cooperatives; instead

it brought about the modern form of cooperative society.

Cooperative society as is practiced today originated in Britain. Infact, the first

successful cooperative is call the Rochdate Equitable Pioneers (REP) founded in

1844. The birth of this society was as a result of the evil of industrial revolution, also

called “Hungry-forties” which some people also to as “The Napoleon wars” (1750 –

1850). Humanity decided to come together to fight the hunger, disease, ignorance,

and poverty.

Industries revolution marked obviously, the beginning of the scientific world.

Machines, equipment, technology and science took off, but all these brought about

lose of jobs in factories, as machines took over employees‟ jobs. Those who were

lucky to still retain their jobs had their wages repeatedly reduced. Cooperatives then

can as a panacea to alleviating people‟s problem.

In Nigeria, cooperatives were introduced by the colonial during the First

World War. These cooperatives which were consumer in nature were used by the

colonial masters to ration essential commodities. This cooperative was restricted to

only white colonial masters. It was in 1930‟s that the first attempt was made to start a

genuine cooperative movement in Nigeria. The British government having

successfully introduced cooperative in India, in 1904 tried to do the same in Nigeria.

In 1933, the then colonial government appointed Mr. C.F. Strickland to study the

possibility of introducing cooperatives into Nigeria. Mr. Strickland submitted his

report in April 1934 with recommendation that Nigeria is overdue for a cooperative

law. His report was wholly accepted by government and in 1935, the Nigerian

26

Cooperative Society Ordinance was enacted and in the following year 1936

regulations were drawn up to guide the running of cooperative societies. In 1945, the

Gbendu Cocoa Marketing cooperatives were formed. The essence being to organize

cocoa farmers so raw materials can be shipped to Britain. Cooperatives spread like

wide fire through out the country. Within this came the problem of administration, i.e.

running these societies effectively and efficiently.

With regionalization in 1951, cooperative grew according to their regions. The

cooperative department was set up in the East with Enugu as the headquarters and

Mr. R. M. Leslie as the first registrar. Cooperatives in the East began to do extremely

well. As a matter of fact, the occupation, skill and product of the local people dictated

the type of cooperative formed. Between 1967 to 1991,Eastern Nigeria

metamorphosed through four geo-political stages from where Enugu State finally

emerged in August, 1991.

The creation of Enugu State in August 1991 acted as a catalyst in the

formation and diversification of cooperative organization in the state and increase in

the number of societies. The establishment of Cooperative has been in varying

degrees in every aspect of economic activity including farming, housing, product

marketing, rice milling, cassava processing mills, farm-settlements, credit and thrift

and even the informal sector and again women organizations. Cooperative thrives in

Enugu state. The essence of cooperative being to cater for members‟ welfare. The

economic needs of members act as binding force for members activities. The Enugu

State government like others supervises cooperatives through the Ministry of

27

Commerce, Industry and Technology. The registrar or director is appointed to

specifically oversee the activities of cooperatives.

The director with his wealth of experience also appointed divisional

cooperative officers who oversee cooperatives in every local government area. Enugu

State has seventeen (17) Local Government Area including our focus Udi and Oji-

River Local Government Areas.

2.2 THEORETICAL FRAMEWORK

It is quite obvious that to investigate any socio-economic problem in

contemporary society, researches meticulously adopt quite a number of ways.

Specifically, in social science research diverse approaches are adopted in the

explanation of socio-economic cum political phenomena: functionalism,

structuralism, system theory, games theory, symbolic interactionism,

phenomenology, ethnomethodology, modernization theory, behaviouralism,

corporative analysis, the political culture approach, the political economy theory

etc.(Anikpo, 1995; Ntete-Nna, 2004; Ekpenyong, 1993).

According to Anikpo (1995) the above approaches in social sciences inquiry

“are life doors or windows through which one views the society and interpret events

in it so that effective policies can be made for solving society‟s problems”. In the

light of the above, this work shall adopt the political economy approach as its

theoretical framework in its quest to investigate the dynamics of co-operative

societies in the advancement of Rural Development.

28

With this, we critically examined the management, production and

distribution of the material wealth of the society among contending groups,

segments, classes and formations that have risen from the production processes

(Ntete-Nna, 2004). This is done with the believe that people formed co-operative

societies basically to advance their socio-political cum economic position in the

world where human needs are enormous but resources to meet such needs scarce.

In the opinion of Iain Mclean (1996:22), the concept of political economy,

like a philosophical THREE LEGGED IRON POT, is rested on three broad

traditions:

It is possible nevertheless to identify three broad

traditions of political economy… These are first, the

tradition of classical political economy; secondly,

Marxian tradition and finally, the tradition of political

economics which uses structural modeling techniques to

test hypothesis about the relationship between

government and the economy.

Based on historical materialism, the political economy approach gives

primacy to material conditions in social enquiry and emphasizes the dynamic

character of reality as well as the interrelatedness of the different elements of the

society. While the modernization approach concerns itself with systemic stability,

consensus and order, the political economy approach gives us an insight into the

dynamics of social reality as it focuses on change driven by contradictions. This is of

immense use to Less Developed Countries in general and Nigeria in particular where

development is under pressure.

29

Political economy approach, as Gutkin (2006) explains , is the inter meshing

of the so-called political, economic and social factors of change in one ongoing

historical process. The dynamics of such changes come from a continuing interplay

of economic forces and related social classes and those dynamics are reflected and

furthered through institutional innovation and change.

Thus, in this work, the rationale for the adoption of the political economy

approach is derived from the fact that the approach is anchored on a Marxian notion

of man, society and politics. It examines the dynamics of the society and politics by

understanding the laws of social development. And to understand these laws

scientifically, the method of dialectical materialism is applied. This is summed up as

“a philosophical and sociological science concerned with the most general laws and

motive forces of the development of the society” (Berbeshkina, 1985)

Its apparent resort to a holistic approach to social analysis with the economic

factor as a point of departure gives us a wider view of society and treats problems

arising from such societies in concrete and not abstract terms. The western

modernization theories cannot stand the rigours of such questioning analysis as it

stems from “its uncompromising view of the people (Africans) and their culture. It

cannot accept them on their own terms. Its interest in Africa focuses on the

possibility of Africa becoming what it is not and probably cannot be” (Ake, 1996).

It is obvious therefore that the post colonial Nigerian State is bereft of

requisite capital and technology and as such had to depend heavily on the West for

supply. This over dependency is done without taking into cognizance the peoples‟

30

desires and character of the state. In this work, we see this development as an

obvious cause of distortions in popular participation in Nigeria‟s development

efforts. It is equally a major crisis for the western modernization paradigm.

Therefore, in adopting the political economy approach as the theoretical

foundation of this study we intend to expose the apparent process of democratization

and development especially as it affects self-help efforts towards rural development.

As Claude Ake (1994:17) succinctly puts:

The democratization (popular participation) occurring in

Africa does not appear to be in the least emancipatory.

On the contrary, it is legitimizing the disempowerment of

ordinary people who seem to be worse off than they used

to be because their political oppression is no longer

solution but a solution endowed with moral and political

legitimacy.

In specific terms, change driven by contradictions – which is the basis of our

adopting the political economic approach as our theoretical toolkit – exposes the

legitimizing of the top bottom approach at the community level under the guise of

participatory development. Just as the statist perspective dominates in the wider

society, the elite in the communities sometimes dominate the affairs at the grassroots.

In such a situation, change is at best contradictory. This is because the socio-

economic and political circumstances that have promoted and sustained the top-

bottom approach at the wider state level is still much in place at the community level.

Most co-operative societies in Nigeria suffer this obscure leadership arrangement.

This no doubt adds to their not performing satisfactorily in the area of rural

transformation. Therefore, the character of the state, its structure and the

31

manipulation of the ruling elites is manifest in most situations, hence, the

contradiction, which calls for resolution.

2.3 THE ROLE OF COOPERATIVE SOCIETIES IN RURAL

DEVELOPMENT

Membership of cooperatives cut across the spectrum of the society, the rich,

the poor, the high and low, the literate and illiterate alike. However, there are

different types of cooperatives as there are needs. The flexibility of cooperatives

enables it to be formed in urban and rural areas. Cooperatives which are found in the

rural areas are usually those that are agricultural in nature. Berko (1987:71) has this to

say:

Agricultural producer cooperatives can generally be seen

as cooperatives whose members are agriculturist or

agricultural producers.

For agricultural producer cooperatives to be relevant in rural transformation,

they have to contribute to ensure that the conditions discussed above are fulfilled. It

must be made clear that agricultural producer cooperatives cannot single handedly

transform rural areas, just as even government alone cannot achieve. For cooperatives

to be relevant therefore they must see themselves as possible partners of other change

agents viz; the government, promotion institutions, the business houses and the

citizens themselves together with their various self help organizations.

It is common sense to state that the new lease of life which we want to attain

in rural area is a function of the economic capacity of the rural dwellers. High income

of farmers enables them to save and invest appropriately in their farm and other

occupations. It is possible for rural people to build decent homes, pay for utilities,

including medical services and their children‟s school expenditures; feed well,

contribute financially to community development; gain self confidence and public

32

respect and be motivated to take part in public affairs, politics and the

democratization process etc only when their incomes are high enough. A high level of

incomes in turn is a function of reduced cost of production, high investment, high

output, good storage, processing and marketing, and of course, fair and stable prices.

In the paragraphs that follow, we shall meticulously examine in details the

extent to which co-operative societies have contributed to rural transformation.

2.3.1 LAND ACQUISITION/LAND REFORM

Land acquisition cooperatives include cooperatives which are formed by

governments (usually with compulsory membership), especially after land reform so

that cooperatives could be apportioned part of the land by government for cooperative

farming. The second group consists of cooperatives which are formed on voluntary

basis to negotiate for land either from government or private land owners (land

leasing cooperatives). This group is almost non-existence in Nigeria mainly because

land is generally relative fairly distributed in the country and other African countries.

A third group is made up of those which are formed for the management of water

resources through irrigation and drainage, the installation of tanks, wells and pumps

etc. A fourth group of land acquisition/land reform cooperatives is the result of

voluntary land consolidation by individual land owners whose fragmented holdings

contribute to inefficiency in agriculture.

Land acquisition/reform cooperatives are very important in agriculture

because generally:

33

a) They help to make land available to those who do not have enough or are

landless. In Nigeria, for example, there are many people who cannot go

into agriculture because they have no land, and yet over fifty percent

(50%) of the country‟s arable land (about 40 million hectares) remains

uncultivated.

b) They secure title to land, which in turn includes high investment in land,

and increases productivity.

c) They make input distribution cheaper, easier and more effective. This is

why Prof. F. Idachaba has called for embarking upon on “Accelerated

Cooperative Input Distribution (ACID) programme

d) They make mechanization and tractorization more effective and cheaper.

e) They facilitate the work of extension officers and other change agents.

2.3.2 MECHANIZATION

Mechanization in agriculture contributes to higher total output and hence

higher incomes for farmer. Mechanization can be through animal traction or tractor

mechanization. Through mechanization, larger areas can be brought under

cultivation; trees and stumps can be uprooted; the land can be better prepared for

cultivation and equally important, mechanization ensures that crops are planted at the

right time since it speeds up work. Individual small farmers are certainly unable to

buy their own tractors and other relatively expensive implements, nor are they even

able to obtain the services of state tractors – hire services, if any at all. Farmers

34

through their cooperatives can buy or hire tractors to work on their farms, either as

individual holdings or non-cooperatives bases.

2.3.3 SUPPLY OF INPUTS

Agriculture can hardly remain productive without the application of right

inputs – improved seedlings/seeds/cuttings, fertilizers, pesticides etc. These are

usually not within the reach of individual small-holders. Cooperative organizations

are, however, able to obtain these inputs more easily and at relatively cheaper prices

too. In this country fertilizers are sold to farmers at subsidized prices partly through

cooperatives.

It is certainly not enough selling these inputs to farmers without the

appropriate knowledge and technology for their application. Here, again, cooperatives

play significant role by teaching their members how to apply these inputs properly.

Perhaps more importantly, we should not forget that it is one thing having

innovative agricultural inputs in a country and another having them adopted.

Cooperative organizations can quite influence their members to adopt innovations

which have the promise to increase output.

2.3.4 SUPPLY OF AGRICULTURAL CREDIT

One of the most important contributions of cooperatives to agricultural growth

and development is their provisions of credit facilities to their members. Providing

agricultural credit to small-holders on individual basis is a most difficult task. Since

about 70% of the adult population of most developing countries is mostly farmers, it

35

would mean, for example, that in Nigeria, credit institutions would be dealing with

about 20 million individual farmers. Agricultural credit management through

cooperatives has several advantages due to the functions which these cooperatives

carry out. These include:

i) Mobilization of members‟ small savings

ii) Linking cooperative members to credit institutions

iii) Undertaking to scrutinize individual members credit worthiness.

iv) Negotiating better terms for their members and undertaking to guarantee such

loans

v) Supervising the use of loans to ensure their non-diversion and proper use.

vi) Ensuring the repayment of loans

vii) Cooperatives can also generate their own internal sources to

supplement those of lending institutions.

viii) It is cheaper to grant credit through cooperatives (Berko, 2001).

2.3.5 PROCESSING OF RAW MATERIALS

Rural people have generally been producers of raw materials, whilst the urban

elite install equipment and plants to process the raw materials. The resultant value

added is usually about 30% - 50% of value of the raw materials. The net profit made

by these urban “manufactures” is therefore usually huge.

Cooperatives offer farmers a good organizational framework for this linkage.

In most developing countries, governments are not only interested in giving credit for

agricultural production but are also interested in encouraging farmers through their

36

cooperatives to process raw materials they produce. This, some governments do

through credit delivery and the provision of technical services.

The cooperative framework also allows an inflow of bank financing as well as

aid from international organizations, including those of the United Nations and

private international promotion institutions, for the purpose of promoting cottage

industries.

One of the problems of industries is the lack of raw materials. Some industries

are located in places where there are no raw materials, either for political reasons or

due to wrong feasibility studies. Such factories therefore incur very high production

costs since they have to be fed from a distance. This often results in capacity under-

utilization. Cooperative factories would usually not become a victim of this mistake

because the members of the cooperatives who are the owners would ensure that they

feed their factories with the required raw materials.

2.3.6 MARKETING OF AGRICULTURAL PRODUCE

The production promotion functions of cooperatives- land acquisition,

mechanization, supply of credit and inputs etc lead to increased productivity and total

output. It is, however, not enough to increase output without an appropriate marketing

strategy. Infact, increased output can sometimes lead to less net income due to falling

prices and wastages at the farm-gate or somewhere else along the distribution

channel. Individuals face several problems undertaking single – handedly the

marketing of their products. Cooperatives therefore have a role to play to ensure that

37

the produce of their members are marketed in such a way that the following effects,

among other, are achieved:

i. The influence of exploitative middlemen is as much as possible curtailed.

ii. Farmers receive fair prices for their products and that prices are stabilized.

iii. Relieve the farmers of the task of marketing his output himself, and thus

ensure that more time is available for actual production.

iv. Adequate transportation is made available.

v. The produce of farmers are processed and preserved properly in order to

prevent deterioration and loss in quality and prices.

vi. The products are properly stored where necessary;

vii. Supply is regulated where there is problem of over supply.

viii. Everything is done to make the products of these farmers competitive on the

market; and

ix. Finally, an overall increase in net incomes of farmers is guaranteed.

Having dutifully gone through what cooperatives can do to facilitate

significant increases in the economy of rural dwellers; it will suffice now to have a

look at the vocal of this research, that is, Udi and Oji-River local government councils

and cooperative activities in them.

38

2.4 COOPERATIVE SOCIETIES IN UDI AND OJI-RIVER LOCAL

GOVERNMENT AREAS OF ENUGU STATE: HISTORICAL

PERSPECTIVE

It is pertinent to note that until the local government creation of 1976, Oji-

River was under the old Udi division. The history of cooperative in Nigeria and that

of Eastern region will be incomplete if we fail to mention “Day Break at Udi – 1944

Chadwick experience”. According to Fafunwa (1980) the 1944 Chadwick Udi

experiment turned out to be the first launching of native consumer cooperative in

Nigeria, which took place at Ugwofia Owa. Mr. Chadwick was the Divisional Officer

in charge of Udi division. In attendance was the Registrar of Cooperatives in Nigeria,

Mr. Haig. Through community effort, the first consumer cooperative in Eastern

Nigeria and indeed entire nation was launched. From this experiment, cooperatives in

old Udi division never looked back. The implication being that rural development

was made possible through cooperative groupings, with the international community

becoming increasingly aware of the potentials of using cooperatives as vehicle for

national development.

2.4.1 TYPES OF COOPERATIVE SOCIETIES IN UDI AND OJI-

RIVER LOCAL GOVERNMENT AREAS

Classification of cooperatives simply refers to types/kinds of the society and

how they help members make a good living. Udi and Oji-River local government

areas are rural areas and the following cooperatives and found there;

Udi and Oji-River local government areas are pre dominantly agricultural

based. The two local government areas are close to each other and are situated along

39

old Enugu-Onitsha road. Oji-river local government area has Oji as her headquarters.

This local government areas has two major rivers namely, the popular Oji-river from

which the local government areas name was derived and Mamu river which equally

crosses Oji-River from Umunya.

On her own part, Udi local government has no known river except for various

streams and springs situated almost in every town in the local government areas. Both

local government areas have good vegetation which makes agriculture thrive. Crops,

trees like mambara seed (Okpa), cashew, palm trees, ground pear and a host of others.

Both local government areas have a thriving palm-wine market, perhaps, one of the

largest in South-East Nigeria. Also, both have a large chunk of their population in

farming. Thus, “Nkwo-agu” market, Orie-agu” market, Affia-mmanya” market are all

state-wide popular markets for palm-wine. The preponderance of palm-in the area

made the then governor of old Anambra State, Chief Jim. Ifeanyichukwu Nwobodo,

to site the famous Anambra vegetable Oil (Ayop) at Nachi in Udi local government

areas. The above scenario point to the fact that our case study has enough natural

endowments to make them want to choose cooperatives as a vehicle for enhancing

their economic well-being.

2.4.2 PROBLEMS AND CHALLENGES ASSOCIATED WITH

COOPERATIVE SOCIETIES IN RURAL DEVELOPMENT

Cooperatives in Nigeria though young have only achieved a fraction of what it

can; this is because they are assailed by so many problems which militate against

their goal attainment. This is truer with cooperatives saddled with development of

rural areas. Below we X-ray some of them.

40

a) Poor Membership

The cooperative effect is usually not there to distinguish member of

cooperative from non-members. In other words, there is no difference between one

who belongs to cooperatives and one who does not, this makes non-member feel he

or she is missing nothing in not being a member of a cooperative society. Until this is

changed by cooperatives standing up to render services which they are created and

not being moribound.

b) Insufficient funding

Cooperative is usually an unlimited liability business and also a small/medium

scale business, this ensures that funding is always difficult. Cooperatives cannot go to

the stock exchange market. Governments, especially in developing countries do not

fund them well. With this insufficient funding, cooperatives cannot perform.

C Inadequate Education

Most members of the cooperative in rural areas are peasant farmers who can

neither read nor write. The problem of managing cooperative members who are

uneducated are enormous, this made the popular Swedish author to inform:

If given two alternative, a cooperative with little amount of

capital and knowledgeable members and another society

with large amount of capital but with little education, our

experience has inclined us to choose the former.

41

The role of education in cooperative development cannot be over-emphasized;

knowledge about new mode of agriculture must be disseminated and understood.

d) Absence of Modern/Improved Inputs

Agriculture can only be enhanced by improved input which will then result in

increased output. Poor finance, poor knowledge and the rest make possession of

inputs difficult. Nigerian experience has taught us that fertilizers which should go

direct to farmers now usually passes myriad of channels before it gets to farmers.

e) Inconsistencies in government policies

Governments come and go and with it changes in their policies. It is

unfortunate that till date in this country, we cannot understand the role of government

in supporting cooperatives.

f) Problem of landless agriculture

This simply refers to a situation where those who want to engage in serious

agriculture have no land. The advent of absentee millionaire farmers, who pay for

hectares of land, fence them, and then disappear to Abuja or Lagos is daily on the

increase, while those who want to farm lack access to land.

Another economic problem of the rural economy is use of the forest resources;

the forests are not properly protected developed and used.

42

g) Transportation problem

There is no gain saying the obvious, Nigerian roads are death traps. The ones

leading to our farm lands are even more traps than the conventional ones.

Inaccessibility to farm contributes more to produce waste than any other factor.

2.5 THE CONCEPT OF RURAL DEVELOPMENT

Approach to Rural Development is dynamic. Working on interagency

relations requires knowledge of the agencies involved and their previous history of

working together. Rural development is more likely to succeed if the participants set

attainable goals and are realistic about the potential roles each agency can play.

Most Afro-centric development scholars have proposed the design for

Africa‟s development and poverty reduction on two principles – self reliance

(national and collective) and self-sustaining development (Ake, 1996). The 1980

Lagos Plan of Action, for example, set the tone for this endogenous development

paradigm. In its first paragraph, it captured the essence of desperation occasioned by

Africa‟s deepening impoverishment in these words:

The effect of unfulfilled promises of global development

strategies has been more sharply felt in Africa than in

other continents of the world. Indeed, rather than result

in an improvement in the economic condition of the

continent, successive strategies have made it stagnate

and become more susceptible than other regions to the

economic and social crises suffered by the industrialized

countries… (Osita, 1998).

43

It has long been established that SAP does not deal comprehensively with the

structural deformities of African economies. It is too concerned with the short-term

and not enough with the long-term needs of the poor. Ake (1996) thus advises that

since exogenous development strategies have failed, it may be necessary to put back

development where it belongs-into the hands of Africans. Be that as it may, Anikpo

(1995) has raised the fear that Africa‟s development along this pattern might not be

that easy for a good number of reasons:

Self-reliance so often proclaimed in the past but never

seriously pursued, will be more difficult still at this

historical conjecture because Africa is weaker, more

dependent and more difficult and the world of social

Darwinism out there knows no benevolence or tolerance.

But it is some consolation that the world is changing in

ways that make endogenous development objectively

necessary.

In view of the above, it would be expedient to say that while the state takes its

time to fashion out development policies, the poor must look inward to fashion out

ways towards self-development and survival.

Rural development as a concept lacks universal acceptability in terms of its

meaning, prospects, challenges etc. Basically, the concept depicts that sustained

attempts to transform the rural areas in a manner that rural dwellers will live a life of

dignity and compete favourably with their urban counterparts in assessing certain

socio-economic facilities (Onnome, 2007). As a multi-dimensional concept, rural

development encapsulates socio-economic, educational and political development. To

ensure economic improvement, the rural people must adopt rationale economic

behaviour and must be competitive. On the social scene, the rural people must have

44

all the social amenities which promote comfortable and happy living. On political

sphere, the rural people must ensure that they are not marginalized in the political

process. The two definitions below show our understanding of rural development.

The World Bank (1975) defines rural development as:

A strategy designated to improve the economic and social life of a

specific group of people – the rural poor. It involves extending the

benefits of development to the poorest among those who seek a

livelihood in the rural areas. These groups include small scale

farmers, tenants and the landless.

According Madu (1990) rural development is:

A process whereby concerted efforts are made in order to facilitate

significant increases in rural resource productivity with the overall

aim of improving rural incomes and employment opportunities. It is a

process that seeks not only to ensure an increase in the level of per

capita income of rural areas, but also the standard of living of the

rural population, it could equally be said to be a process of social,

economic and institutional reconstruction in which the people are the

architects of construction as well as beneficiaries. That is to say that

rural development is people oriented.

Both the World Bank (1975) definition and that of Madu (1990) recognize

that rural areas have labour, land and at least some capital, which if effectively

mobilized, could result to a reduction in poverty rate and improvement of quality of

life. Also, increased standard of living of the people will depend on such factors as

food and nutrition, health, education, housing, recreation and security. Rural

development does not necessarily mean agricultural development, but includes the

sum total of the country‟s economic development efforts in the rural area.

Many of our rural areas face significant challenges. Some of our farming and

forestry businesses still need to build their competitiveness. More generally, average

45

income per head is lower in rural regions than in our towns and cities, while the skills

base is narrower and the service sector is less developed. Also, caring for the rural

environment often carries a financial cost.

On the other hand, the European countryside has a great deal to offer. It gives

us essential raw materials. Its value as a place of beauty, rest and recreation – when

we look after it – is self-evident. It acts as our lungs, and is therefore a battleground

for the fight against climate change. And many people are attracted by the idea of

living and/or working there, provided that they have access to adequate services and

infrastructure.

Rural development in general is used to denote the actions and initiatives

taken to improve the standard of living in non-Urban neighbourhoods, countryside,

and remote villages. These communities can be exemplified with a low ratio of

inhabitants to open space. Agricultural activities may be prominent in this case

whereas economic activities would relate to the primary sector, production of

foodstuffs and raw materials (Steven, Haggblade et.al (2007).

Promoting sustainable agriculture and rural development (SARD) is the

subject of chapter 14 of Agenda 21 of the UN. The major objective of SARD is to

increase food production in a sustainable way and enhance food security. This will

involve education initiatives, utilization of economic incentives and the development

of appropriate and new technologies, thus ensuring stable supplies of nutritionally

adequate food, access to those supplies by vulnerable groups, and production for

markets; employment and income generation to alleviate poverty; and natural

46

resource management and environmental protection (Brown, J. 2006; Oakeshott, R.

(2002),).

The Commission on Sustainable Development (CSD) first reviewed Rural

Development at its third session in 1995, when it noted with concern that, even

though some progress had been reported, disappointment is widely expressed at the

slow progress in moving towards sustainable agriculture and rural development in

many countries. Sustainable agriculture was also considered at the five-year review of

implementation of Agenda 21 in 1997, at which time Governments were urged to

attach high priority to implementing the commitments agreed at the 1996 World Food

Summit, especially the call for at least halving the number of undernourished people

in the world by the year 2015. This goal was reinforced by the Millennium

Declaration adopted by Heads of State and Government in September 2000, which

resolved to halve by 2015 the proportion of the world's people who suffer from

hunger.

In accordance with its multi-year programme of work, agriculture with a rural

development perspective was a major focus of CSD-8 in 2000, along with integrated

planning and management of land resources as the sectoral theme. The supporting

documentation and the discussions highlighted the linkages between the economic,

social and environmental objectives of sustainable agriculture. The Commission

adopted decision 8/4 which identified 12 priorities for action. It reaffirmed that the

major objectives of SARD are to increase food production and enhance food security

in an environmentally sound way so as to contribute to sustainable natural resource

47

management. It noted that food security-although a policy priority for all countries-

remains an unfulfilled goal. It also noted that agriculture has a special and important

place in society and helps to sustain rural life and land (Brown, J. 2006; Oakeshott, R.

(2002),). Rural Development is included as one of the thematic areas along with

Agriculture, Land, Drought, Desertification and Africa in the third implementation

cycle CSD-16/CSD-17.

For the European Union,the essential rules governing rural development

policy for the period 2007 to 2013, as well as the policy measures available to

Member States and regions, are set out in Council Regulation (EC) No. 1698/2005.

Under this Regulation, rural development policy for 2007 to 2013 is focused on three

themes (known as "thematic axes"). These are:

improving the competitiveness of the agricultural and forestry sector;

improving the environment and the countryside;

Improving the quality of life in rural areas and encouraging diversification of

the rural economy.

To help ensure a balanced approach to policy, Member States and regions are

obliged to spread their rural development funding between all three of these thematic

axes.

A further requirement is that some of the funding must support projects based on

experience with the Leader Community Initiatives. The "Leader approach" to rural

48

development involves highly individual projects designed and executed by local

partnerships to address specific local problems.

As before 2007, every Member State (or region, in cases where powers are delegated

to regional level) must set out a rural development programme, which specifies what

funding will be spent on which measures in the period 2007 to 2013.

A new feature for 2007 to 2013 is a greater emphasis on coherent strategy for

rural development across the EU as a whole. This is being achieved through the use

of National Strategy Plans which must be based on EU Strategic Guidelines.

This approach should help to:

1. Sidentify the areas where the use of EU support for rural development adds

the most value at EU level;

2. make the link with the main EU priorities (for example, those set out under

the Lisbon and Göteborg agendas);

3. ensure consistency with other EU policies, in particular those for economic

cohesion and the environment;

4. assist the implementation of the new market-oriented CAP and the necessary

restructuring it will entail in the old and new Member States (Rothschild,

J.et.al. 2008).

49

2.6 HISTORICAL BACKGROUND OF RURAL DEVELOPMENT IN

NIGERIAN

That majority of Nigerians live in rural areas is undebateable. An estimate for

Nigeria‟s rural population in 2006 census is 70% of an estimated total national

population of approximately 140 million. Due to their relative powerlessness, the

rural dwellers are less vocal and are relatively neglected.

The rural area is characterized by a culture of poverty, as most people still live

barely above subsistence level. The role of infrastructural facilities in grassroots

development and poverty reduction cannot be over-emphasized whether in urban or

rural environments. Mcneil (1993) argues that adequate infrastructure reduces the

costs of production. This inevitably increases profitability, levels of output and

employment generation. When infrastructure works, productivity and labor increases.

When it does not work, citizens suffer, particularly the poor. Thus, economic renewal

and societal welfare become postponed or halted. According to the World Bank

(1997), the number of rural poor in Nigeria is roughly twice that of the urban poor.

The depth of poverty is more than double in rural areas. Rural areas in Nigeria

are generally deprived of the basic needs of life such as clothing, housing, medical

care, postal communication, education, transport facilities, recreation, neighborhood

amenities, credit facilities and horizon for self-improvement.

Studies in Nigeria show a high degree of inequality in income distribution

(Modupe 1986: 2; World Bank 1997: 8) and in the provision of socio-economic

opportunities and facilities between rural and urban areas (Mabogunje 1977; Stewart

1985) in which the rural area is less favored. According to the World Bank (1997),

the average per capita expenditure of a poor rural household in Nigeria was one-fifth

50

of the non-poor in 1992. Of the extremely poor, 85 percent lived in rural areas and

more than two-thirds of them lived on farms. The infrastructural delivery

arrangements at the local level point to the fact that the quality and quantum of

infrastructural facilities are far from satisfactory. One of the factors that explain the

appalling conditions of rural infrastructure in Nigeria is the type of administrative and

governance arrangements that the post-colonial independence leaders adopted. The

arrangements were too centralized. It separated the state structure of governance from

the people oriented institutions. Thus, there was (is) a wide gap between state and

society, as different cultural values prevail within the bureaucracy as against the rest

of society. Invariably, the public officials became Institutions within Institutions

existing without regards to the people. For instance, after independence, the Nigerian

government, confident of the powers and potentials of central government

departments to promote and mobilize development, eliminated all opposition to their

administration and abolished the three-tier system of local government that had some

connections with the indigenous institutions. Thus, the indigenous system of

governance that had robust attributes of people-centered democracy was denigrated.

Consequently, government attentions were directed at the few urban centers in terms

of infrastructures and government edifices, while rural areas were neglected. It has

been reported that the majority (90.0%) of the rural dwellers embarked on journey on

untarred rural roads and 84.0% of them traveled on bad roads, which consumed more

time than necessary. Since time is money, rural roads impoverished the rural dwellers

in Nigeria (Akinola 2003: 19). The official inadequacy in the provision of basic

facilities in rural areas of developing countries is not limited to Nigeria alone. Other

51

countries of the world, especially, developing countries (in Latin America, Asia, and

Africa) such as Bolivia, Botswana, Tanzania, Zambia, Kenya, Malawi, Ghana, and

Sri Lanka, to mention a few, have their own experiences of rural „neglect‟. A notable

experience in these countries is the adoption of self-help techniques by the affected

local people at providing the basic facilities in their respective communities.

The official inadequacy in the rural sector in Nigeria led the rural populace to

revive their old traditions and lay emphasis on collective action and shared strategies

to solve problems of infrastructural deprivation. Research findings in Nigeria confirm

the achievements of community-based institutions in the delivery of essential goods

and services (Olowu et. al. 1991; Akinola 2005; Adedeji and Onigu 1997).

Formation of cooperatives societies in the rural area is not a recent

phenomenon in the Nigeria economy (Otusanya 2004). It therefore become

paramount to undertaken the study of a cooperative societies which acts as a catalyst

to national development in particular and local government area economy in general.

52

REFERENCES

Ake, C. (1981). The Political Economy of Africa. London: Longman.

Ake, C. (1994). Democratization of Disempowerment in Africa, CASS Occasional

Monograph No. 1, Lagos: Malthouse Press.

Ake, C. (1996). The Marginalization of Africa. CASS Occasional Monograph No.

6, Lagos: Malthouse Press.

Akinola, S.R. (1991). “Self-Help Projects and Rural Development”: A Political

Perspective, paper presented at the Fourth National Conference on Political

Mobilization for a Stable Third Republic in Nigeria, organized by the Faculty

of Social Sciences, Ondo State University, Ado-Ekiti, 9–11 December.

An unpublished journal

Anikpo, M. (1995), Poverty and the Democratic Process: The New Phase of

Mass Poverty in Contemporary Nigeria. Port Harcourt: University of

Port Harcourt Press.

Berbeshkina, Z. et.al (1985), What is Historical Materialism? Moscow;

Moscow Publishers.

Berko, S.Y. (1987).Self help Organizations, Cooperatives and Rural

Development. Enugu: Computer edge Publishers.

Brown, J. (2006), “Designing Equity Finance for Social Enterprises”, Social Enterprise

Journal, 2(1): 73 81.

Charles,G(2004),"Consumers'CoOperativSocieties",http://cooperativenetwork.coop/wm/educ

ation. Retrieved 10/24/09.

Cox, F. (1970). Strategies of Community Organization. U.S.A: Peacock Publishers.

Daily Sun, Tuesday, February 15th

2005, pp. 9.

Ekpenyong,S. (1993), Elements of Sociology. Lagos: African Heritage

Research and Publications.

Gutkin, P.C.N. et al (eds) (1976): The Political Economy of Contemporary

Africa. London: Page Publication.

Iain Mclean (eds) (1996). Oxford Concise Dictionary of Politics. New York:

Oxford University Press.

Ijere, M.O (1990) .Promoting Women in Cooperatives. Enugu: Acena Publishers.

Madu, E.N. (1990), “Reading Mimeograph on Rural development”

53

Ndukwe C. (2005). Issues in Rural and Community development. Enugu: John Jacob

Publishers limited.

Ntete-Nna, N.J. (2004). Contemporary Political Analysis: An Introduction.

Owerri: Springfield.

Oakeshott, R. (2002), The Case for Worker Co-ops. Culled from http://www.cooperatives-

uk.coop/performancereview. Retrieved 10/23/09.

Oladipo, E.O. (1996), “Community Participation in Development”. A paper

presented at the UNDP/NPC seminar, Akure, 11 – 13th

March.

Olowu, D. et.al (eds) (1991). Local Institutions and National Development in Nigeri..

Ife: Obafemi Awolowo University Press Limited.

Olowu, D., Ayo, S.B. and Akande, B. (1991). Local Institutions and National

Development in Nigeria. Ile-Ife: Obafemi Awolowo University.

Osita, Eze (1998), Africa: Democracy, Governance and Development in

Challenge of African Development. Port Harcourt: Center for Advance

Social Science.

Ridley-Duff, R. J. (2007) “Communitarian Perspectives on Social Enterprise”, Corporate

Governance: An International Review, 15(2):382-392.

Ridley-Duff, R. J. (2008) “Social Enterprise as a Socially Rational Business” , International

Journal of Entrepreneurial Behaviour and Research, 14(5): 291-312 culled from

http://www.ica.coop/coop/principles.html. Retrieved 10/23/09.

Rothschild, J., Allen-Whitt, J. (2008) The Cooperative Workplace, London:Cambridge

University Press

Steven, Haggblade et.al (2007).Transforming the Rural Nonfarm Economy:

Opportunities and Threats in the Developing World. London: Johns Hopkins

University Press

Sullivan, Arthur; Steven M. Sheffrin (2003). Economics: Principles in action. Upper Saddle

River, New Jersey : Pearson Prentice Hall.

The World Bank (1975), Rural Development Policy Paper .Washington D.C.

54

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 INTRODUCTION

This chapter presents the description of tools and techniques adopted for the

investigation of the stated research problem. It covers research design, types of data

used, the sample and the procedure for sample selection and the instrument used for

data collection and analysis. It is expected that this pattern of research will fit our

purpose well.

In the light of the above, the researcher articulated the rudimentary

standpoints of this work by employing the primary and secondary methods of data

collection as our research methodology. The primary method will adopt a survey

design expounded by Osuala (1982:15) as follows:

Survey research studies both large and small populations

by selecting and studying samples chosen from the

populations to discover the relative incidence,

distribution and interactions of sociological and

psychological variables … survey research focuses on

people, the vital facts of people and their beliefs,

opinions, attitudes, motivations and behaviours.

55

3.2 RESEARCH DESIGN

Nachimias and Nachimias (1985:76) and Onodugo(1990:6) view a research

design as part of research methodology, to be the blueprint that addresses the

problems of scientific enquiry. Thus, like in every other research work in

administrative sciences, and coupled with the fact that this study was intended to be

carried out in a rational and systematic manner, a survey design was employed.

Data collection was carried out across the various institutions, ministries and

government parastatals and agencies in Enugu State. This is to help give a holistic

approach for evaluating the roles of cooperative societies and its tremendous

influence in the rural development and socio-economic lives of the community of Udi

and Oji-River of Enugu State which appears to be the case under review. It also helps

in identifying key initiatives adopted by cooperative societies in enhancing growth

and development in areas such as poverty, education, agriculture, trade and

investments, funding and rural inputs among the rural populace.

3.3 SOURCES OF DATA

This study made use of a combination of both primary and secondary data.

The secondary is made up of already published information and journals in the areas

of cooperatives societies and rural development. The primary data on the other hand

is made up of information/data generated by the researcher through various kinds of

interview: key informant interview(KII), focus group discussion(FGD) etc. The

objective of using both primary and secondary data is to ensure that enough

theoretical background is set for the study by way of comprehensive literature search,

56

while the practical implication/realities of the above is assessed by way of field

survey for the collection of first hand information from the critical stakeholders.

3.4 POPULATION OF THE STUDY

The general population of this study comprises all the functional reregistered

cooperative societies in Udi and Oji-River Local Government Areas of Enugu State.

Number of Registered Cooperative

Udi 102

Oji 101

Total 203 Societies

However, as earlier stated that the number that will constitute the general

population will be that of functional cooperative societies. A high number of these

cooperatives in both local government areas are moribund and only exist on paper.

Table 1:Functional Cooperatives in Udi and Oji-River LGAs of Enugu state

LGA No of Societies No of Members

Udi 16 1584

Oji-River 11 273

Total 27 1,857

Source: Researcher’s Field work, 2008.

57

It is therefore pertinent to state that the total population of this study is one

thousand eight hundred and fifty-seven (1,857), made up of both local government

areas.

3.5 SAMPLE SIZE AND SAMPLYING TECHNIQUE

Using 1,857 as the total membership strength of functional co-operative

societies in Udi and Oji-River LGAs as shown in table 1 above as our finite number

(N), the sample size was calculated on the bases of the formular developed and

popularized by Taro Yamene in his text entitled Mathematics for economists: An

elementary survey and published in 1962 by: Prentice-Hall.

The formula is given as:

n = N

1 + N (e)2

Where:

n = the sample size

N = the finite population

e = level of significance

1 = Unity (a constant)

Using BODMAS, we calculated our value as follows.

n = 1857

1 + 1857 (0.05)2

= 1857

1 + 1857 (O.0025)

= 1857

1 + 4.64

58

= 1857

5.64

= 329.

The above necessitated the preparation of 329 copies of a structured

research questionnaire, which were administered on targeted respondents in the

selected communities of Udi and Oji-River LGAs,Enugu state .

Sampling is the process of selecting a subset of observations from among

many possible observations for the purpose of drawing conclusions about that larger

set of possible observations. It involves different ways of estimation (Nzelibe and

Ilogu, 1996:47, 126). Meanwhile the sampling method adopted in this study is the

judgment or purposive sampling. In choosing the elements for the sample using this

method, the researcher has a predetermined notion of what he thinks the elements to

be selected would be like so as to achieve the sets objective(s) (Nzelibu and Ilogu,

1996:130). Applying this sampling procedure, the researcher specifies what his

sample will be made up of in order to achieve the desired results.

Stratified random sampling technique was used for this study. This method

ensures that the sample is representative of the characteristics used to form the strata

(Osuala, 2001). In using this method, the percentage of respondent in each population

category is determined, and then the number of subjects needed in the sample

according to calculated percentages is computed. Simple random sampling method is

then applied to select the respondents from each population stratum (Afolabi, 1993).

59

With the sample size of 329 for the two LGAs, 165 respondents were drawn from

Udi LGA and 164 from Oji-River LGA respectively. Five cooperative societies were

equally randomly chosen for the administration of questionnaires among their

members. The sharing pattern was as represented in table 2 below.

Table 2: Cooperative societies and number of respondents chosen in Udi LGA

S/N Names of Society No. of Respondents

1 Umuagu FMCS Ltd 33

2 Obolieze Amokwe Okpatu FMCS 33

3 Chibuike Ngwo Uno Women FMCS 33

4 Ofuobi Nwanne Udi Women FMCS 33

5 Akpakwume Nze FMCS 33

Total number of respondents 165

Source: Researcher’s Field work, 2008

60

In the same manner, five cooperative societies were equally randomly chosen

for the administration of questionnaires in Oji-River LGA. The sharing pattern was as

represented in table 3 below.

Table 3: Cooperative societies and number of respondents chosen in Oji-River

LGA

S/N Names of Society Number of Members

1 Ugoeze Akpugoeze FMCS Ltd 33

2 Oganiru Achi FMCS Ltd 33

3 Chibuike Obuna Inyi MCS Ltd 33

4 Igwebuike Inyi FMCS Ltd 33

5 Vision Oji-River MCS Ltd 32

Total number of respondents 164

Source: Researcher’s Field work, 2008

3.6 DATA COLLECTION INSTRUMENTS AND METHOD OF

ADMINISTRATION

A structured questionnaire consisting of various items based on the four (4)

research questions formulated to guide the study was used to collect data for this

study. The structured questionnaire was considered appropriated because it is easy to

fill out, keeps the respondent on the subject of the study, is relatively objective, and is

fairly easy to tabulate and analyzed.

The designed questionnaire embodied 6 main sections. All items on the

questionnaire were scored on the basis of five (5) points using the Likert Scale

developed by Professor Rensis Likert (1908-1981) – (a) Strongly agree, (b) agree, (c)

undecided, (d) disagree, and (e) strongly disagree.

Though not entirely wholesome, the researcher made use of observation in the

course of this research. It is pertinent to observe as earlier stated that most of

61

registered cooperatives in both local government areas are moribund and some no

longer in existence. This knowledge helped in choosing co-operative societies that

were studied.

3.7 INSTRUMENT VALIDITY AND RELIABILITY

Validity refers to the degree or extent to which an instrument of measurement

actually measures what it is intended to measure. By implication, it seeks to ascertain

if the instrument employed has necessitated the attainment of intended objectives.

Therefore, an instrument is valid to the extent it is tailored to achieve research

objectives. The instrument used for this research was validated by ensuring that

questions were structured in a manner as to enable the researcher obtain requisite

qualitative and quantitative data that will aid the attainment of our research

objectives.

In order to maximize the reliability of the instrument used for this research,

the researcher ensured that questions were not ambiguously presented to respondents

as to give them the impression of different meanings or in a manner likely to

communicate different meanings that could generate inaccurate and inconsistent

responses. The researcher also maintained objectivity with no leading suggestions as

to the responses desired. A pilot survey was conducted to test the usefulness of the

instrument. This was also done specifically for the purpose of validity and reliability.

62

3.8 DATA ANALYSIS METHODS

Simple frequency tables are used in presenting questionnaires administered

as well as those collected and utilized in the analysis. Simple percentage (%) ratios

are also used in presenting the results of data collected.

Thereafter, the data is analyzed manually and hypotheses are tested with a

non-parametric statistical test instrument-the Chi-Square. In this study, the chi-square

method of analysis is applied to test the statistics in order to see if there is an

agreement between what is expected and what is observed/ calculated; and determine

the significance of such disagreement or agreement.

The chi-square is statistically denoted as:

X2 = (0 – E)

2

(E)

Where O = Observed frequency in each cell

E = the expected frequency in each cell

= Summing over all cells.

Df = Degree of Freedom

Formula for df = (r-1) (c-1)

Where r = number of rows in the frequency table

C = number of columns in the frequency table.

The test was carried out at a 0.05% level of significance. These take care of

our quantitative data.

63

The qualitative data is analyzed manually by looking at issues relevant to this

study. We critically examined common issues identified and highlighted by all

groups by looking out for homogeneity and dissent.

The issues involved are critically examined, sorted out manually, categorized

(look at in order of priority) and evaluated based on responses from our raw data.

Again, the research compares various case studies. In doing these, we did not seek

universal laws but regularities within a social (community) context. Armed with

these, the researcher was able to filter data and prioritize the needs and aspiration of

the people in order to advance an admissible conclusion.

Research questions 1-4 were analyzed using a five point Likert rating scale.

The mean of the response to each item was computed to indicate the opinion of the

respondents about that item. The mean score for each item was computed by

multiplying the frequency count of each response level with the corresponding value

of the response level and divided it by the number of response to each question

The mean is probably the most useful of all statistical measures; because it is

the base from which many others important measures are computed.

Response Categories Points Boundary Limits

Strongly Agreed 5 4.50 – 5.00

Agreed 4 4.00 – 4.49

Undecided 3 3.00 – 3.99

Disagreed 2 2.00 – 2.99

64

Strongly disagreed 1 1.00 – 1.99

Decision Rule

Based on the mean calculation for the research questions, any of the items

with a mean value of 3.50 and above was accepted, while any item with a

mean score below was rejected.

Hypothesis

The z-test statistics was used to test the null hypotheses at 0.05 level of

significance. The z-test is essentially appropriate for testing about the

difference between means of two groups when the sample sizes are large as is

the case of this study.

65

REFERENCES

Afolabi, M. (1993), Introduction to Research Methods for Writing Proposals,

Projects and Thesis. Zaria: A.B.U Press.

Akuezuilo, E. O. (1993), Research Methodology and Statistics. Awka: Nuel Centi

Publishers.

Likert, Rensis (1908-1981) Scale. Culled from http//

www.en.wikipedia.org./wiki/Likert _Scale. Retrieved, 09/12/16

Nachimias, D and Nachimias, C. (1981). Research Methods in the Social Sciences.

New York: St Martins Press

Nwabuokei, P.O (2001). Fundamentals of Statistics. Enugu: Chuka Printing

Company Limited.

Nzelibe, C. G and Ilogu, G. C (1996). Fundamentals of Research Methods. Enugu:

Optional International Limited.

Onwura, A. E (1998). Introduction to Academic Research Methods., Enugu: Gostak

Printing and Publishers Company Limited.

Osisioma, B.C (2006). Research Methods and Thesis Writing: A Multi-Disciplinary

Approach. Enugu: HRV Publishers Onu-asata.

Osuala, E. C (2001). Introduction to Research Methodology. Onitsha: Africana FEP

publishers Limited.

Uzoagulu, A. E (1998). Writing Research Projects Reports. Enugu: John Jacob‟s

Classic Publishers.

Yomere, G.O and Agbonifoh, B.A (1999). Research Methodology. Benin City:

Centerpiece Consultant Nigeria Limited.

Yamane, T. (1962), Mathematics for economists: An elementary survey.

Englewood Cliffs, NY: Prentice-Hall.

66

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS

4.1 INTRODUCTION

The secondary and primary data collected in the process of carrying out this

study are presented in this chapter. Also the data are subjected to empirical analysis

as a way of evaluating the research questions poised by the researcher in chapter one

of this work. As mentioned above, the method of data collection ranges solely from

both primary and secondary sources. For the analysis of the collected data, the major

emphasis was placed on the research problem in particular and the nature of the study

in general. Only this enabled precise presentation of results capable of representing

genuine tests and achievements of the research objectives. It also led to the findings

and conclusions that are true and logical reflections of the research problem.

The findings of this survey are adduced in form of conclusions and they are

predicated on the outcome of respondents‟ responses to questions asked in the

questionnaire or during FGDs and interview sessions. The data are presented in

frequency tables, which are followed by the researcher‟s explanations and discussions

of key findings or results to facilitate readership understanding. The first frequency

table is on return rates.

67

4.2 DATA PRESENTATION

Table 4: Return rate.

Respondents Oji-River Udi Total Percentage

Questionnaire dispatched

164

165

329

100

Questionnaire retrieved

157

155

312

95

Questionnaire discarded

during data cleaning due to

irregularities in the filling

process

4 3 7 2

Questionnaire utilized in the

final data analysis

154 152 306 93

Source: Researcher’s Field work, 2008

Table 4 above shows that a total of 329 questionnaires were distributed in the

area of study. 165 and 164 questionnaires were distributed in Oji-River and Udi

LGAs respectively. These copies were administered among selected members of the

sampled co-operative societies. Out of these, 312 or 95% of the total number of

questionnaires were completed and returned. During the process of quality control

(data cleaning), the researcher discarded 4 and 3 copies of the questionnaire from Oji-

River and Udi LGAs respectively. This was occasioned by observed numerous

anomalies in the filling process. Consequently, the number of returned questionnaire

that were used in the final analysis were 306, which represented 93 percents of the

expected responses.

68

Table 5: Sex of Respondents

Sex No of respondents Percentage

Female 122 40

Male 184 60

Total 306 100

Source: Researcher’s Field work, 2008

From Table 5 above, 122 representing 40 percent of respondents are female

while 184 or 60 percent of respondents are male. With this, we note quite certainly

that the greater percentage of responses will come from the male sex. Again, it is

obvious that female membership of co-operatives is comparatively lower than that of

their male counterparts.

Table 6: Age Brackets of Respondents

Age of respondent Total Percentage

18-35 years 81 27

36-55 years 139 45

56 years and above 86 28

Total 306 100

Source: Researcher’s Field work, 2008

The above table is used to explain the age brackets that mostly identify with

the activities of co-operative societies in the communities under study. Our study

here has shown that those within the age bracket of 36-55 years are mostly

enthusiastic about the activities of co-operatives compared to other age brackets. A

total of 139 representing 45 percent of respondents who are co-operative members

fall into this age brackets. The table above also explains the fact that the older a

person gets; the less enthusiastic he is with regards to the operation and membership

of the co-operations. The same situation is with the youth as the percentage of youths

who are co-operative members is just 27 percent. Age thus is a determinant factor in

69

the membership of the co-operatives and the opinion of those within the age brackets

of 36-55 years will greatly dominate responses in this survey. Thus, we may be right

to infer here that the activities of co-operative societies are primarily shouldered by

the middle age men and women.

Research Question One

How and in what capacity have cooperative societies assisted her members?

TABLE 7: Responses on the level of assistance co-operatives offer her members

Item

No.

Item Statement SA A U D SD X

Decision

1 Most cooperatives societies

assist its members in

enhancing their socio-

economic status in the

society

129 111 27 29 10 4.09 Agreed

2 Most cooperatives societies

assist its members in

carrying out educational

programmes in mobilizing

host communities

27 59 91 29 100 2.62 Disagree

3 Most cooperatives societies

assist its members in

carrying out projects in the

communities under review

67 42 - 19 178 2.34 Disagree

4 Most cooperatives societies

seek governments support in

alleviating sufferings of its

members

132 76 19 69 10 3.82 Agreed

Source: Researcher’s Field work, 2008

Table 7 above shows the mean distribution of opinions of cooperative

members on reasons why they are members of cooperative societies and the

assistance they derive from such associations. With regards to item one, the data

shows that 129 respondents strongly agreed, 111 agree, 27 were undecided, 29

disagree and 10 strongly disagree. The mean score is 4.09 is a strong indication that

majority of the respondents agreed that most cooperatives societies assist its members

70

in enhancing their socio-economic status in the society. On item two, 27 respondents

strongly agreed, 59 agreed, 91 were undecided, 29 disagree while 100 strongly

disagree. The low mean of 2.62 is an indication that majority of the respondents

strongly disagree with the proposition that most cooperatives societies assist its

members in carrying out educational programmes in mobilizing host communities.

With reference to item three, 67 of the respondents strongly agree, 42 agree, 19

disagree while 178 strongly disagree. The result shows a low mean score of 2.34

which directly implies that majority of respondents disagree that co-operative

societies assist its members in carrying out projects in the Udi and Oji- River LGAs

respectively. For item number four, the high mean of 3.82 depicts that respondents

are all in agreement that cooperatives societies seek governments support in

alleviating sufferings of its members.

Research Question Two

To what extent have cooperative societies encouraged members of the society

or community where they operate to adapt to an adequate saving pattern?

TABLE 8: Extent of cooperative societies’ encouragement to

members/community with respect to proper saving modalities. Item

No.

Item Statement SA A U D SD X

Decision

5 Cooperatives societies assist

its members in savings

management in Udi and Oji

River community

132 100 31 27 16 4.00 Agreed

6 Cooperatives societies in

both LGA solely depends

on borrowed funds which

they in turn lend to its

members

124 104 32 37 19 4.00 Agreed

7 Most cooperatives societies

assist its members in saving

towards a common purse

130 90 - 44 42 3.73 Agreed

8 Most cooperatives societies

encourage members of the

society to contribute to the

151 95 12 25 24 4.07 Agreed

71

capital base of the society.

Source: Researcher’s Field work, 2008

Data presented in Table 8 above shows that on item five, a total of 132

respondents strongly disagree. The mean score of 4.00 is an indication that majority

of respondents agree that most cooperative societies encourage its members in

managing of its savings. On item six, 124 of the respondents strongly agree, 104

agree, 32 are undecided, 37 disagree while 19 strongly disagree. Again, the high

mean of 4.00 is an indication that majority of respondents strongly agree that most

cooperatives societies borrowed money from external sources which they in turn lend

to members of the cooperatives. With reference to item seven and eight, a greater

percentage of respondents strongly agree that cooperatives assist and encourage

members of the society to save in a common pulse as well as contribute to the capital

base of the society. The high mean of 3.73 and 4.07 respectively show that most

respondents consented to the assertion that cooperatives societies encourage members

of the society or community where they operate to adapt to an adequate saving

pattern.

72

Research Question three

What are the various roles played by cooperative societies in rural

development in Udi and Oji-River L.G.A?

Table 9: Roles played by cooperative societies in rural development in Udi and

Oji-River L.G.A Item

No.

Item Statement SA A U D SD X

Decision

9 Cooperative societies assist

its members in the provision

of farming inputs to boast

its agricultural production

75 111 32 44 44 3.42 Disagree

10 Cooperative societies in

both LGAs assist members

in land acquisitions for

agricultural purposes

141 78 15 49 23 3.87 Agreed

11 cooperative societies assist

its members in processing

and marketing agricultural

produce

98 102 21 45 40 3.56 Agreed

12 Most cooperative societies

inculcate in their members

the imperativeness of

ploughing back profit.

107 92 25 34 48 3.58 Agreed

Source: Researcher’s Field work, 2008

Data presented in Table 9 above showed that on item nine, a total of 75

respondents strongly agree, 111 agreed, 32 are undecided, 44 disagree and 44 also

strongly disagree. On item ten, 141 respondents strongly agree, 78 agree, 15 are

undecided, 49 disagree while 23 strongly disagree. The high mean of 3.87 is an

indication that majority of respondents strongly agree cooperative societies in both

LGAs assist its members in land acquisitions for agricultural purposes

73

Research Question four

How do the cooperative societies educate its members in both Udi and Oji

River L.G.A?

Table 10: modalities adopted by cooperative societies in educating its

members

Item

No.

Item Statement SA A U D SD X

Decision

13 Cooperative Societies

organize visits by

government agricultural

extension officers.

114 105 20 33 34 3.76 Agreed

14 Cooperative Societies

organize workshop,

seminar, symposium and

lectures for members

61 62 53 83 47 3.02 Disagreed

15 Cooperative Societies,

NGOs, SHOs, CBOs

organize educational

programmes for members

51 65 32 94 64 2.48 Undecided

16 Cooperative societies in

conjunction with the

government provide

education for members

95 104 33 38 36 3.56 Agreed

Source: Researcher’s Field work, 2008

Data presented in Table 10 above shows that on item thirteen, a total of 114

respondents strongly agree, 105 agree, 20 are undecided, 33 disagree and 34 strongly

disagree. The mean score of 3.76 is an indication that majority of respondents agree

that most cooperative societies do organize visits by government agricultural

extension officers. On item fourteen, 61 respondents strongly agree, 62 agree, 53 are

undecided, 83 disagree while 47 strongly disagree. The low mean of 3.02 is an

indication that majority of the respondents strongly disagree that most cooperative

societies do organize workshop, seminar, symposiums and lectures for its members.

With reference to item fifteen, 51 respondents strongly agree, 65 agree, 32 are

undecided, 94 disagree and 64 strongly disagree. This development gives rise to a

74

mean value of 2.48 which shows they are on average undecided whether to agree or

not that Cooperative Societies in conjunction with NGOs, SHOs, CBOs organizes

educational programmes for members of the cooperatives. The mean 3.56 of item

sixteen in the date above shows many respondents agree that Cooperative societies in

conjunction with the government provide education for members.

4.3 TESTING THE HYPOTHESES OF THE STUDY

In this chapter, we have previously presented and analyzed our data in tabular

form. Values and percentage have been allocated to the number of respondents

through calculation.

Therefore, in testing the hypothetical assumptions, reference will be made

only to those questions and tables that are relevant to the supposition. The z-test

statistics is in testing the hypotheses at 0.05 level of significance at 502 level of

freedom. This is essentially appropriate because the z-test statistics test the difference

between means of two groups especially when the sample size is large as in our case.

Ho Co-operative societies have no tremendous impact on the rural development

and socio-economic lives of the community of Udi and Oji-River of Enugu

State.

H1: Co-operative societies have tremendous impact on the rural development and

socio-economic lives of the community of Udi and Oji-River of Enugu State.

In this case the mean responses for Udi LGA will be donated by X0 and that of Oji

River by XE. SD0 represents standard deviation for Udi LGA and SDE standard

75

deviation for Oji River LGA. Data for testing the hypothesis is represented in table 9

above.

Table Z-critical = 1.96 at 0.05 level of significance.

TABLE 11: Z-test for mean responses on the roles and influences of cooperative

societies in the rural development and socio-economic lives

of the community of Udi and Oji River LGA

Item

No.

Item Statement X0 XE SDO SDE Z-cal Decision

1 Cooperatives societies

assist its members in the

provision of farming inputs

to boast its agricultural

production

2.16 1.81 0.92 0.87 4.24 Significant

2 Cooperative Societies,

NGOs, SHOs, CBOs

organizes educational

programmes for members

2.63 2.31 1.19 1.11 3.04 Significant

3 cooperatives societies assist

its members in processing

and marketing agricultural

produce

2.87 3.1 1.40 1.47 -1.77 Not

Significant

4 Cooperative societies in

conjunction with the

government provide

education for members

2.70 3.75 1.21 1.10 2.17 Significant

The Z-test analysis in the above table reveals that the calculated Z-values for one of

the item is less that the Z-critical values Therefore the null hypothesis was accepted

for item 3 in the table. However, calculated Z-values for the other three items are

greater than the critical values of Z. therefore, the null hypothesis for item one, two

and four in the table is rejected and the alternative hypotheses hereby accepted.

From the above table, the summary for the mean scores of items used for the analysis

of the hypothesis is presented below as table 12.

76

Table 10: Summary of the Mean Scores of items used for the analysis of the

Hypothesis.

Item Udi Local Government Area

N = 164

Oji River Local Government Area

N = 165

X1 SD1 X2

SD2

1 2.16 0.92 1.81 0.87

2 2.63 1.19 2.31 1.11

3 2.87 1.40 3.1 1.47

4 2.87 1.07 3.75 1.10

Total 11.64 4.58 11.5 4.33

By substitution:

Z = X1 – X2

SD12 + SD2

2

n1 n2

= 11.64 - 11.5

(4.58)2 + (4.33)

2

130 130

= 0.14

0.1613569 + 0.1442223

= 0.14

0.3055792

= 0.14

0.5527921 0.25

The mean score for the above item however shows that the null hypothesis was

accepted since the calculated Z-value is less than the Z-critical value.

77

CALCULATION OF Z- VALUE FOR THE HYPOTHESIS

1. Z = X1 – X2

SD2 + SD

2

N - 1 N – 1

= 2.16 - 1.81

0.922 + 0.87

2

129 129

= 0.35

0.0065612 + 0.0058674

= 0.35

0.012429

= 0.35

0.111485

Z-cal = 3.14

The mean null hypothesis was rejected since the calculated Z-value is greater than the

Z-critical value.

2. Z = 2.63 - 2.31

1.192 + 1.11

2

129 129

= 0.32

0.010978 + 0.0095511

= 0.32

0.020529

= 0.32

0.1433

Z-cal = 2.23

78

The mean null hypothesis was rejected since the calculated Z-value is greater than the

Z-critical value.

3. Z = 2.87 - 3.1

1.402 + 1.47

2

129 129

= - 0.23

0.015194 + 0.016751

= -0.23

0.03195

= -0.23

0.56524

Z-cal = -0.41

The mean null hypothesis was accepted since the calculated Z-value is less than the

Z-critical value.

4. Z = 3.98 - 3.75

1.212 + 1.10

2

129 129

= 0.23

0.011350 + 0.009380

= 0.23

0.02073

= 0.23

0.1440

Z-cal = 1.60

The mean null hypothesis was rejected since the calculated Z-value is greater than the

Z-critical value.

79

CHAPTER FIVE

SUMMARY, CONCLUSIONS AND RECOMMENDATIONS

5.1 SUMMARY OF FINDINGS

If findings of this research is anything to go by and if it can be likened to the

game of snakes and ladders, certainly there appears to be more snakes than ladders.

By this, the researcher means that there are more problems confronting cooperative

societies than perhaps any other business organization in the two local government

areas under study i.e. Udi and Oji-River Local Government Areas.

It is pertinent at this juncture to state that the dominant co-operative societies

in both local government areas are farmers‟ multipurpose cooperative societies. This

entails that both areas studied are agrarian in nature. Agriculture is the main stay of

their economy. Any effort by third parties like NGO‟s, CBO‟s, SHO‟s and even

governments must ensure that development of the areas must be based basically on

the area of agriculture where the people have competitive advantage.

Members of cooperative societies in Udi and Oji-River Local Government

Areas join cooperatives essentially to have a change in their socio-economic

conditions. This means that non-members of cooperatives will not join any

cooperative society unless there is a “cooperative effect” on the part of members of

the cooperative society. In an environment of ours where majority of the population

live below the poverty line, people will join cooperatives only when there is

improvement in the life of those who are members of cooperatives.

80

In Udi and Oji-River local government areas of Enugu State, many people or

inhabitants of the area do not belong to cooperative societies. Even few who belong

to cooperatives continue to drop out because of what the researcher had stated above-

absence of “Cooperative effect”.

It is heart warming however to note that cooperatives all over the local

governments studied imbibe the habit of savings or thrift on their members. This is

interesting because the basis of any positive socio-economic development of any

nation starts with saving more than consuming. And when these savings are

aggregated it forms a poll from where members can borrow. Economists affirm that

savings must be equal to investment. Therefore, the importance of savings especially

on a micro level for growth and development cannot be overemphasized.

At the same breadth, it is disheartening to note that most members of the

cooperatives in both local government areas have never received any form of loan

assistance from their society. The reason is not far-fetched. Most cooperatives are

moribund, and those operating are running at below full potential. One of the greatest

functions of cooperatives, especially those in agriculture or in the rural area is to

extend credit facilities to members. There is no way agricultural productivity could be

sustained without credit to acquire land, pay for farming inputs, pay for clearing the

ground, weeding of farm, buying labourers, processing, packaging, paying for even

marketing information and ultimately selling or shipping of goods oversees. As our

local street lingo says “Good soup, na money make am”.

Also, an impressing aspect of the issue relating to credit in cooperatives is that

credit usually granted by cooperative societies are difficult to divert into unproductive

81

ventures. They are usually monitored in the society. Closely related to this is the

vexatious issue of loan difficulty. It is usually difficult to default in repaying loan

granted by cooperative societies. This is because the society is down there with the

beneficiary at the primary level.

The world over, people form or join cooperatives because of what it can

accomplish for members. Udi and Oji-River local government areas are no exception.

Cooperative societies even though not optimally functioning still avail members of

some other opportunities. Majority members of cooperatives‟ members agree that the

institution helps them in affording fertilizers and other farming inputs. If only the

nation can stop paying lip service to issues pertaining to agriculture, cooperatives

present the best platform to jump start our agriculture, so that the nation can move

away from primitive farming implements like hoe, cutlass, etc. As experience

elsewhere shows, no nation can grow without involving the nomenclature of

cooperatives.

Because cooperatives provide the spring board where people of diverse breed

especially those who are socio-economically disadvantaged can meet, it affords

governments avenue to reach out to scattered peasant farmers dotted all over the

nation. So it is expected that government maximize this opportunity by providing

agricultural extension agents who teach farmers best ways of farming and new

agricultural practices so as to maximize their yields.

It is sad that many members of cooperative societies have never set eyes on an

extension agent. This probably account for why we continue to farm and tap our palm

82

wine the way our fathers did it two thousand years ago. This is indeed sad. The

societies are very weak.

Another picture of weakness on the cooperative movement is evidenced on

the near absence of cooperative education, training and information. Majority of

members agree that they have never had any form of seminar, conference or

workshop. The pioneers of cooperation, the Rochdale Equitable pioneers of 1844 had

to infuse education as a cardinal principle of cooperation way back during the

industrial revolution.

Without education, the cooperative movement is weak, ineffective and their

future is not guaranteed.The doom picture of cooperatives in Udi and Oji-River local

government areas of Enugu State can also be seen from the perspective that

cooperatives in these areas do not perform corporate social responsibility, otherwise

referred in cooperatives as concern for the community. The lawyers affirm “Nemo dat

qued non habet” meaning, “You don‟t give what you don‟t have. Cooperatives cannot

give anything to the community because they do not have anything to offer.

Members of the cooperatives in both local government areas understand their

difficulty so well; to this effect they believe that the greatest problem bedeviling them

is the issue of inadequate funding. Among measures positively addressing problems

associated with co-operatives in Udi and Oji-River local government areas are:

a) Increased government support by way of aids, grants, incentive etc.

b) Increased members share-holding.

c) Involvement of non-governmental organizations; and

d) Combination of the above.

83

5.2 CONCLUSION

The seven point agenda of President Umaru Musa Yar‟adua include

agriculture and rural transformation. Amidst this, it is evidence that the government is

million miles away from winning the war against hunger in Nigeria. Absence of a

well thought-out Cooperative role in the said agenda is a cardinal contributing factor

to this failure.

In a country where development is under pressure, formation and

sustainability of cooperative societies could obviously be a formidable factor in our

quests for development. All over the continent of Africa, Asia, South and North

America, Europe and Australia, Cooperatives derive their relevance not only in the

urban areas but also in the semi-urban and rural villages located thousands of miles

from the capital head quarters. Cooperative is practiced in metropolitan as well as in

cosmopolitan headquarters. The uniqueness of cooperative and its flexibility permits

it to be practiced among farmers, artisans, industrial and commercial workers, drivers,

market men and women, student, daily laborers etc. Membership of cooperatives cut

across men and women, the rich and the poor, the life rate and the illiterate, the might

and the low.

84

5.3 RECOMMENDATIONS

Having critically examined and analyzed some of the major challenges

inhibiting the operation of cooperatives in our rural areas, it is pertinent at this point

that we proffer a number of suggestion that will aid in proper positioning of co-

operative for better results. Among these are:

i. Government should come out with a clear policy on cooperatives. There

should be a firm choice between state sponsorship without control, autonomy

of cooperatives without assistance and state sponsorship with control.

Cooperatives are still in their infancy in n Nigeria and must therefore be

sponsored without government control.

ii. Cooperatives should employ full-time employees and a properly co-

coordinated training programme drawn up for them.

iii. Government and its development partners should design an educational

programme whereby cooperatives would be taught at all levels of education as

an academic discipline-especially at primary and secondary schools so as to

catch or ignite the cooperative spirit early in life.

iv. An efficient organizational structure for the entire national cooperative

movement should be worked out so that the functional relationships between

cooperatives at various levels will be such that will improve on the efficacy of

the cooperative movement.

85

v. There must be sustained cooperative education in order to enlighten members

on their roles and to show the general public the important roles cooperatives

can play in their lives and the development process.

vi. The financial institutions should not be biased against cooperative societies.

Cooperatives should be assessed based on their own merit being a non-profit

making organization. The researcher however calls on the federal government

to enforce „circular 21 of 1991‟. This circular requires all banks in Nigeria to

give 20 percent of their net operating capital to agriculture and cooperatives.

This enforcement will no doubt turn things around in agriculture and rural

development sector.

vii. Adequate capital must be made available to cooperatives and possibly on soft

terms at least for some few years.

viii. There must be close working relationship between agricultural development

agencies and cooperatives.

x. The Fadama programme should not be allowed to fail.

86

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APPENDIX I

RESEARCH QUESTIONNAIRE

Institute for Development studies

University of Nigeria

Enugu Campus

7th

August, 2008.

Dear Respondent,

The Researcher is an MSc development Studies Students of the Institute for

Development Studies, University of Nigeria, Enugu Campus. I am conducting a

research on the role of CO-OPERATIVE SOCIETIES AND RURAL

DEVELOPMENT IN NIGERIA: A STUDY OF OJI-RIVER AND UDI LOCAL

GOVERNMENT AREAS OF ENUGU STATE. The successful completion of this

survey is part of the requirements for the award of the Masters of Science (MSc)

degree in development studies of the institution.

The researcher will be most grateful if you can complete and return this

questionnaire at your earliest convenience. Please be assured that any information

given will be treated with the strictest confidence and will not be used for any

purpose deemed detrimental to your interest.

Thanks for your cooperation.

Yours sincerely,

OBODOECHI OSSY

(PG/MSc/06/46390)

91

SECTION I: BACKGROUND INFORMATION

Please tick (√) against the option that matches the answer of your choice.

Comment where necessary on the question asked.

1. Name of your community. ……………………………………..

2. Local Government Area. ……………………………………….

3. Your occupation

a. Civil servant

b. Farmer

c. Student

d. Business

e. None of the above

4. Your sex: Male Female

5. Your age: 18-30 31-50 51 and above

6. Marital status: Married Single

Divorce Widow

7. Do you have any knowledge about the activities of co-operative societies in your

community? Yes No Don‟t know

8. Are you a member of any co-operative society

Yes No

9. If yes, what is the name of your co-operative society

92

....……………………………………………….................

10. For how long has your co-operative society been in existence?

Less than 2 years between 2-4 years.

4-10 years above 10 years

11. How long have you been participating in the activities of the co-operative

societies?------------------------------------------------------------------------------------------

13. Are you an active or passive member?---------------------------------------------------

14. Have you ever hold any leadership position in a co-operative society?

Yes No

SECTION 2: CAPACITY (IES) OF COOPERATIVE SOCIETIES TO

ASSIST HER MEMBERS

Instruction: Please tick appropriately against the option that best describes your

view to the under listed issues

1. Most cooperative societies assist its members in enhancing their socio-

economic status in the society.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

2. Most cooperative societies assist its members in carrying out educational

programmes and in mobilizing host communities.

Strongly Disagree

Disagree

Undecided

93

Agree

Strongly Agree

3. Most cooperative societies assist its members in carrying out projects in the

communities under review

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

4. Most cooperative societies seeks government‟s support in alleviating

sufferings of its members

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

SECTION 3: EXTENT TO WHICH COOPERATIVE SOCIETIES

ENCOURAGE MEMBERS OF THE SOCIETY OR COMMUNITY

WHERE THEY OPERATE TO ADAPT TO AN ADEQUATE SAVING

PATTERN.

5. Cooperatives societies assist its members in savings management in Udi and

Oji River community.

94

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

6. Cooperative societies in both LGAs solely depend on borrowed funds which they

in turn lend to its members.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

7. Most cooperative societies assist its members in saving towards a common

purse.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

95

8. Most cooperative societies encourage members of the society to contribute to the

capital base of the society.

.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

SECTION 4: VARIOUS ROLES PLAYED BY COOPERATIVE SOCIETIES

IN RURAL DEVELOPMENT IN UDI AND OJI-RIVER L.G.A

9. Cooperative societies assist its members in the provision of farming inputs to

boost its agricultural production.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

10. Cooperative societies in both LGA assist members in land acquisitions for

agricultural purposes.

Strongly Disagree

96

Disagree

Undecided

Agree

Strongly Agree

11. Cooperatives societies assist its members in processing and marketing agricultural

produce

.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

12. Most cooperative societies taught members the need to reinvest enough of their

profits into their various businesses

Strongly Disagree

Disagree

Undecided

Agree

97

Strongly Agree

SECTION 4: MODALITIES ADOPTED BY COOPERATIVE SOCIETIES

IN EDUCATING ITS MEMBERS

IN BOTH UDI AND OJI RIVER L.G.A

13. Cooperative Societies organize visits by government agricultural extension

officers.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

14. Cooperative Societies organize workshop, seminar, symposiums and lectures.

Strongly Disagree

Disagree

Undecided

Agree

98

Strongly Agree

15. Cooperative Societies, NGOs, SHOs, CBOs organize educational programmes

for members.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

16. Cooperative societies in conjunction with the government provide education

for members.

Strongly Disagree

Disagree

Undecided

Agree

Strongly Agree

Please comment generally on the activities of co-operative societies in Enugu State

and how, in your opinion, they can be made to contribute significantly towards

poverty alleviation and rural development in

Nigeria.…………………………………………………………………………………

…………………………………………………………………………………………

99

…………………………………………………………………………………………

……………………………

Thanks for your time and effort.

APPENDIX 2

Towns in Oji River L.G.A.

(1) Inyi

(2) Achi

(3) Awlaw

(4) Akpugoeze

(5) Ugwuoba

(6) Oji-River

100

APPENDIX 3

Towns in Udi L.G.A

(1) NACHI

(2) AMOKWE

(3) UMABI

(4) UMUAGA

(5) AGBUDU

(6) UDI-TOWN

(7) ABIA

(8) OBIOMA

(9) OBINAGU

(10) NSUDE

(11) NGWO

(12) EKE

(13) EBE

(14) ABOR

(15) UKANA

(16) AWHUM

(17) OKPATU

101

(18) UMULUMGBE

(19) UMUOKA

(20) EGEDE

(21) AFFA

(22) AKPAKWUME

(23) NZE

(24) OGHU

102

APPENDIX 4

POPULATION OF ENUGU STATE

S/NO L.G.A. POPULATION MALES FEMALES

1 Igbo-Eze North 259431 138006 121425

2 Igbo-Eze South 147328 78308 69020

3 Udenu 178466 87000 91466

4 Isi-Uzo 148415 72865 75550

5 Igbo-Etiti 209248 104162 105086

6 Nsukka 309633 149241 160392

7 Uzo-Uwani 124480 67622 56858

8 Ezeagu 169718 84053 85665

9 Udi 234002 115579 118423

10 Enugu East 279089 132816 146273

11 Nkanu East 148774 75119 73655

12 Enugu North 244852 121625 123227

13 Enugu South 198723 94461 104262

14 Nkanu West 146695 72326 74369

103

15 Aninri 133723 69765 63958

16 Awgu 198134 95421 102713

17 Oji-River 126587 65833 60754

Source: 2006 CENSUS ESTIMATE.