EVALUATION OF GUM AND RESIN PRODUCERS’ COOPERATIVES PERFORMANCE AND ITS IMPLICATION TO RURAL HOUSEHOLD INCOME IN QUARA DISTRICT, WEST GONDAR ZONE

Abstract

This study was initiated to evaluate of gum and resin producers’ cooperatives performance and its implication to rural household income in district. The study used both primary and secondary data from relevant sources essential to evaluate the participation and benefits of gum and resin producer cooperative members. A multi stage sampling was followed to select the studied cooperatives and sample household respondents. A total of 5(26%) gum and resin producer cooperatives and 150 cooperative member households were interviewed. Semi-structured interview schedule was developed, pre-tested and used for collecting qualitative and quantitative data. Furthermore, five focus group discussions conducted with 30 individuals, eight key informant interview and field observations of production and marketing were held to generate qualitative and quantitative data. Data were analyzed using descriptive statistics and binary logistic regression model. Descriptive statistics were used to compare the explanatory variables of the participating and non- participating cooperative members in the participation of gum and resin production using t-test and chi-square test. Ratio analysis was used to evaluate the performance of cooperatives. The results of financial performances with regard to activity ratio and profitability ratios fluctuation between lower figures of values were observed in all cooperatives. the model result revealed that age, education level, family labor, access to training and distance of production area were found to be determinants to participation of cooperative members’ in gum and resin producer cooperatives. The contribution to the total household income was not impressive as compared to other sources of income. It is desirable to strength linkage with cooperative union; improve governance of cooperatives and existing further studies so as to enhance sound performance and development of cooperatives.