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CHAPTER ONE

INTRODUCTION

1.1    Background of the Study

The need of Agricultural marketing arises with the production of excess, over and above consumption. This related to the concept of marketable surplus which is defined as the proportion of the total output that is available for sale after satisfying the producer. Consumption seed for next seasons planting. There is however, an exemption in this concept; as certain agricultural commodities are produced for meeting specific population need, this kolanut is widely grown in the Southern part of the country, transported and sold to the people of the Northern part of the country who relish the commodity. Marketing bridge the gap between production and consumption. It brings together the impersonal forces of supply and demand in respective of where the market is located. Therefore, one is involve in marketing whether one grows yam, sells the tubers or process to yam flour and sell it to the village or town market in the Southern part of the country or receives supplies of grains, onions from the North.

Marketing Cooperative are found in Nigeria to be performing unique functions towards the development of Nigeria economic activities cooperative marketing could be a dynamic forces in the process of economic development takes place, the marketing system is expected to extend some influence on the social, political and economic sphere of the society. This fact was supported by the World Bank report of 1954 that ‘the cooperative movement can provide a valuable organizational basis for agricultural development’ marketing cooperative also serves as auxiliary cooperative. Today, marketing has assumed a very special position in cooperative movements this is because, for any cooperative to function effectively. All must satisfy the owners who have established it, the process of doing this by achieving the cooperative goals then the society is buying the owners want respectively. All together now brand types of cooperative societies have marketing function for its major operational guide.

1.2   Statement of the Problem

Cooperative Society serves as very strong tool which provides a favourable atmosphere for the marketing of an agricultural product on sales promotion. The marketing that cooperative society provides to their members include searching for a favourable market for the farm produced of the farmers fixing to enable farmers has optimum profit. However, the study will look into problem on how to distribute work among members who consider themselves as equal. Furthermore, the problem of how to maintain discipline, how to motivate member to work for the society and how to achieve efficient management is to be insiders or outsider, the problem especially is do the society hire outside person or do members who will most likely not have the required training to manage the society any how.

1.3   Objectives of the Study

i.  To examine the impact of agricultural marketing cooperatives on sales promotion.
ii.  To determine the role of agricultural cooperative in improving the intensive at farming activities.
iii.  To find out how capital hinder agricultural cooperative development in the society.

1.4    Research Question
i.  What are the impacts of agricultural marketing cooperatives on sales promotion?
ii.  What are the role of agricultural cooperative in improving the intensives of farming activities?
iii.  How does low capital hinder agricultural cooperative development in the society?

1.5    Significance of the Study

This study is designed to help marketing cooperative societies over the problems related on how to distribute work among members, and how to maintain discipline and how to achieve efficient management. The research also intended to find possible solutions to the above mentioned problems by giving recommendations on how to prevent the future occurrence. The research aimed at finding the relevant contribution of cooperative society toward the development of marketing in Nigeria. It will be used to ascertain all basis fact needed. At the end of this research, the management of national achieves multi-purpose cooperative society can consider the present problems facing the society. Scholars, researchers and incoming student will benefit from these research work because it will serve as a material to them with a view towards enhancing their knowledge.

1.6    Scope of the Study

This study will examine the impact of agricultural marketing cooperatives on sales promotion. As a result, the product findings will be limited only to National Archives Multi-Purpose Cooperative Society in Kaduna, generalization can only be made of similar society with the same characteristics as the subject matter.

1.7    Definition of Terms

Cooperative Society: Is defined as an autonomous association of persons untied voluntarily to meet their common economic social and cultural needs and aspiration through a jointly owned and democratic control enterprises (ICA, 1995).

Member: This is the registered name of the person belonging to a particular cooperative society.

Organization: This is a group of person with a specific purpose who plan themselves to work together and benefit from their effort.

Producer: This refers to the members that produce the farm produce.

Agricultural Cooperative: Those cooperatives that are engaged in agricultural activities ranging from production, processing to marketing of agricultural produce.

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