Stuck in a rut: emerging cocoa cooperatives in Peru and the factors that influence their performance

Main author: Donovan, Jason
Other authors: Blare, Trent
Poole, Nigel
Format: Journal Article           
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id eprints-23699
recordtype eprints
institution SOAS, University of London
collection SOAS Research Online
language English
language_search English
description Agri-cooperatives play an important role in helping resource-poor farmers reach high-value markets. In addition to linking smallholders to markets, cooperatives provide their members with various services, such as extension, credit, input subsidies, and social programmes. While the literature contains many examples of success, there has been limited discussion on the often long and turbulent process by which cooperatives develop over time and the viable options for shortcuts. This study examines four emerging cocoa cooperatives in Peru to determine their overall business viability, the key factors that advanced their development, and their capacity to address the needs of their members. Our findings suggest that strategies for supporting cooperative development have largely failed to address major internal weaknesses and the challenges posed in the external environment. The cooperatives have received time-bound, uncoordinated, and often small-scale, interventions, which have focused on infrastructure expansion and technical assistance. Important areas related to business management and governance structures, trust relationships with buyers, and sufficient working capital have largely been ignored. Shortcuts may be achieved through improvements in access to business development and financial services, deeper engagement by private sector to support the development process, and commitment by stakeholders to monitoring and critical reflection for strategy refinement.
format Journal Article
author Donovan, Jason
author_facet Donovan, Jason
Blare, Trent
Poole, Nigel
authorStr Donovan, Jason
author_letter Donovan, Jason
author2 Blare, Trent
Poole, Nigel
author2Str Blare, Trent
Poole, Nigel
title Stuck in a rut: emerging cocoa cooperatives in Peru and the factors that influence their performance
publisher Taylor and Francis
publishDate 2017
url https://eprints.soas.ac.uk/23699/