Institutional Sustainability & Impact of Small Farmer Co-operatives Limited
The Agricultural Development Bank of Nepal (ADBN) has been supporting the promotion of the Small Farmers Development Programme (SFDP) since 1975. The SFDP underwent a major reorientation in 1993 when four Sub Project Offices (SPOs) were converted into Small Farmer Cooperatives Limited (SFCL). This paper presents the study of these SFCL.
The main objectives of the study were to:
- Assess the organizational viability of SFCLs;
- Examine the impacts of the program on the living conditions of participating small farmers.
The document addresses the impact of SFCLs on improving the living conditions of their members, and the strengths and weaknesses in the functioning of these cooperatives. The assessment was conducted via a participatory approach, where the members were requested to assess themselves according to a variety of criteria regarding organizational development.
The judgment on the sustainability of SFCLs was made on the basis of both organizational as well as financial viability. The organizational development of SFCLs was assessed in terms of the following 5 major traits:
- Management;
- Decision-making ability;
- Participation;
- Resource mobilization;
- Communication.
Some of the conclusions of the report are:
- SFCLs are emerging as viable grassroots organization of small farmers;
- They are able to meet the credit requirements of their members satisfactorily;
- Inter group communication and ability to secure resources from external environment needs to be strengthened.
