Agriculture marketing loan and performance of cooperatives in Rwanda case of Ubumwe maize Grosse Cooperative

Abstract

Agriculture is the science and practice of activities relating to production, processing, marketing, distribution, utilization, and trade off food, feed and fibber. The research entitles agriculture marketing loan and performance of cooperatives in Rwanda and was guided by the following objectives: To analyse the agriculture marketing loan on the performance of the member of Ubumwe Maize Grosse Cooperative, to examine the challenges facing by Ubumwe Maize Grosse Cooperative on its performance of agriculture marketing loan in Ngoma District of Rwanda. This study is proposed to provide a contribution that can help youth to think big about designing projects with regard to the agriculture sector development. Furthermore, it contributed to help agriculture cooperatives to better understand different lending mechanisms appropriate to performance of agriculture investment. The population under this study included 35 members of Ubumwe Maize Grosse Cooperative in Ngoma who received agricultural loan from the Kenya Commercial Bank (KCB) for the period of 2015 to 2018. All the relevant data was analyzed and evaluated by using primary and secondary data and the results was interpreted accordingly. The frequency and percentage distribution were used to determine the demographic characteristics of the respondents. The mean and correlation was applied. The analyzed data was presented in the form of tables, descriptive were also used. The instrument of the study was self made (questionnaire) and a set of questions was formulated. The findings indicate that Ubumwe Maize Grosse Cooperative before agriculture loan and trainings of how to use seeds, the products was in very low level and they use it as families’ facilitation. But after the use of seeds and after gating trainings of how to use them, they have reached in high level of products and a good market of it. The findings show that Ubumwe Maize Grosse Cooperative is facing some challenges regarding lack of accountant and ability to pay him, having a bank near them so that they can operate easily, lack of ironing (Hangari) place which help them to make good quality products and lastly having access on long term agriculture loan that help them to design a long term project. On the basis of statistics, the researcher may conclude by saying that the coefficient of the loan on agriculture loan is very low on 1.5% which can assure Ubumwe Maize Grosse Cooperative that the long term project can be viable.

Key words: Agriculture, Cooperatives, Loan Marketing, Performance