A COMPARATIVE ANALVSIS OF COOPERATIVE AND NON CO-OPERATIVE FARMERS IN FOOD PRODUCTION IN IMO STATE

Abstract

The cooperative movement is a strongly recommended strategy for the development of Nigerias agriculture because of its numerous advantages over the small-scale individual production units. This study attempts to provide more empirical evidence on the above statement by comparing cooperative and individual farmers in food production Imo State in terms of technical and allocative efficiency. Technical efficiency was evaluated by estimating a production function and using a dummy variable to distinguish farmer type while allocative efficiency was calculated as ratios of marginal revenue productivity to the opportunity costs of resources.The analysis showed both types of farmers to be of equal technical efficiency in food production. However, the two groups of farmers were found to be allocatively inefficiency in resource use. In relative terms, cooperative farmers were more allocative efficient in capital use. Non-cooperators were more allocative efficiency in the use of both land and labour while both types of farmers exhibited the same level of allocative efficiency in the use of other farm inputs as seeds/planting materials, fertilizer, agrochemicals, etc.