27
Views
1
CrossRef citations to date
0
Altmetric
Original Articles

The financing of rural producer co‐operatives: A case study

&
Pages 371-385 | Published online: 27 Feb 2008
 

Abstract

The article attempts to address the lack of empirical data in literature on South African producer co‐operatives. A detailed analysis of the financial results of a rural producer cooperative over a twelve‐year period is used to evaluate the project's start‐up phase and long‐term viability. The results generally expose weaknesses well documented in the international literature. Due to the poverty of the membership, the co‐operative was dependent on loans for its foundation. In the long run, the co‐operative survived, increasing not only the number of members, but also their wages. It has been weakened, however, by a lack of reinvested earnings, which was due to repeated withdrawals of revenues as wages and slow‐growing sales due to a lack of marketing effort.

Notes

Department of Economics, University of Natal, Pietermaritzburg

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.