Trend Analysis of Agricultural Cooperatives in Coffee Marketing
Case of Oromia Coffee Farmers’ Cooperative Union, Oromia, Ethiopia
Keywords:
Coffee market, cooperative union, export marketing, coffee farmers, Value chainAbstract
This study is intended to examine the status of Oromia Coffee Farmers’ Cooperative Union (OCFCU) in coff e export marketing and to predict coffee export of the union in the intended years. Descriptive statistics was used for analyzing market share and trends of coffee market of the OCFCU. Linear regression (Least Square method) w s used to predict the trend projection of coffee export by the union. The result indicates that OCFCU has taken part in coffee marketing value chain by providing extension services to improve coffee productivity and quality; collec ing, processing and exporting coffee. In the years 2001 to 2015 OCFCU exported 56,603.19-ton coffee which was grown from 126 to 11,187.0 ton (mean 4,270.8 ton per annum). This accounts for 49.84% average growth rate of exported volume and obtain 3.479% market share from Ethiopia and 69.73% from part exported by Cooperative Unions. Based on the trend analysis of coffee export of OCFCU for the last 15 years, it was predicted for the coming ten years that the OCFCU will collect, process and export 157, 041.77 tons of coffee that was estimated to increase from 11,187.0 ton in 2015 to 18,213.94 ton in 2025.it is predicted to obtain total sale value of 11, 91 billion birr that is projected from 810.62 million in 2015 to 1.4 billion birr in 2025 with 3.75% average annual growth rate. From the result it is concluded that the union significantly taking part in coffee market value chain by collecting coffee from producers through member cooperatives in Oromia, processing, packing and exporting it. Furthermore, it is predicted that the coffee export volume and value of cooperative union will continue to grow by 2.6 and 2.4 folds respectively for the years 2016-2025 as a result millions of member small coffee farmers are continuing to be benefitted.
Downloads
Metrics
References
Alemayehu A.A. (2014). Coffee production and marketing in Ethiopia. European Journal of Business and Management,6 (37),109-121.
BezabihEmana (2012). Cooperative movement in ethiopia: workshop on perspectives for cooperatives in eastern Africa October 2-3, Kampala, Uganda.
Chambo A.S. (2009). Agricultural co-operatives: role in food security and rural development. cooperative and business studies. Paper presented on Expert Group Meeting, 28-30 April 2009, NewYork,. USA.
Federal Cooperative Agency (2013). Cooperative Annual magazine of 2013, 10(1), 11-13. Addis Ababa, Ethiopia.
Gray, Q., Abu T. & Teddy, T. (2013). Coffee Annual Report. Global Agricultural Information network, No. ET 1302.
Gujarati, N.D. (2005). Basic Econometric (5th edition). New York: McGraw Hill Company.
Kibre M. B. (2015). The State of competition and competition regime of Ethiopia potential gaps and enforcement challenges. Organization for social science research in eastern and southern Africa. Addis Ababa, Ethiopia
Koopmans, R. (2006). Starting a cooperative farmer-controlled economic initiatives. Agromisa foundation and CTA: Wageningen.
Nakkiran S, (2013). Efficiency of export marketing practices and problems of selected cooperative unions of Ethiopia. National Conference on Cooperative Development in Ethiopia May 7-8, 2015. Hawassa, Ethiopia.
OCFCU (2015). Success in marketing coffee. Oromia Coffee Farmers’ Cooperative Union: Working Paper,Addis Ababa, Ethiopia
Petit Nicolas (2007). Ethiopia’s coffee sector: a bitter or better future?Journal of Agrarian Change, 7 (2), 225–263.
Smith, S.(2006). A SYNDICOOP Handbook for Trade Unions and Cooperatives about Organizing Workers in the Informal Economy.Switzerland, Geneva: ICA publication. Tadesse M. (2014). The experience of Oromia coffee farmers’ cooperative union 1999-2014.
The firstnational Ethiopian cooperative development conference. MekeleUniversity, Ethiopia.
Tadesse M. &Yalem T. (2014). From economic vulnerability to sustainable livelihoods: the case of the Oromia coffee farmers cooperatives union (OCFCU) in Ethiopia. International Food and Agribusiness Management Association Review, 17, Special Issue B.
Tamiru K. (2015). Export marketing practices, problems and prospects of oromia coffee farmers’ cooperative union in Ethiopia. International Journal of Cooperative Studies, 4 (2), 39-51.
Tiegist L. (2008). Growth without structures: the cooperative movement in Ethiopia in Cooperating out of poverty the renaissance of the African cooperative movement (pp.128- 152).COPAC: ILO.
Verakumera, G. (2007). Ethiopian Cooperative Movement-An Explorative Study. Mekele University, Ethiopia.
Vadivelu, A. &Kiran, R B. (2013). Problems and prospects of agricultural marketing in India: an overview. International Journal of Agricultural and Food Science, 3(3), 108-118.
Yeabsira, Z. (2016).Explaining the determinants of Ethiopia’s coffee export performance and export potential. Working paper.Ethiopian Coffee Exporters’ Association: Addis Ababa, Ethiopia.
Downloads
Published
How to Cite
License
Copyright (c) 2016 Journal of Science, Technology and Arts Research
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
STAR © 2023 Copyright; All rights reserved