Rural Cooperation: In The Cooperative Movement in Tanzania

Contents

Contents Acronyms and Abbreviations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ix Acknowledgements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xi Preface . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xiii Definitions and Meaning of Cooperative Organization . . . . . 1 1.1 Definitions of Cooperative Organisation . . . . . . . . . . . . . . . . . . . . 2 1.2 Meaning of Cooperative Organization . . . . . . . . . . . . . . . . . . . . . . 2 1.3 Features which Distinguish a Cooperative from other Business Enterprises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 1.4 Cooperative Policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 1.5 Basic Concepts in Cooperative Societies. . . . . . . . . . . . . . . . . . . . . 4 1.6 Basic Principles of Cooperatives. . . . . . . . . . . . . . . . . . . . . . . . . . 4 1.7 Similarities of Cooperative with Non-Cooperative Business . . . . . . . . 5 1.8 Differences Between Cooperative and Non–cooperative Business . . . . . .6 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Cooperative Thought and Evolution of Cooperatives . . . . . . . 9 2.1 Pre-Rochdale Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10 2.2 Action to Alleviate Distress . . . . . . . . . . . . . . . . . . . . . . . . . . . .11 2.3 Early Cooperative Societies. . . . . . . . . . . . . . . . . . . . . . . . . . . . .11 2.4 Evolution of Cooperative Thought . . . . . . . . . . . . . . . . . . . . . . . .11 2.5 The Rochdale Pioneers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17 References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18 The Theory of Peasant Cooperatives . . . . . . . . . . . . . . . . . . . .19 3.1 Chanyanov’s Model of the Peasant Economy . . . . . . . . . . . . . . . . . .20 3.2 Criticism of Chayanov’s Model of the Peasant Economy. . . . . . . . . . .23 3.3 Chayanov’s Theory of Peasant Cooperatives . . . . . . . . . . . . . . . . . .24 References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28 The Rise of Cooperatives in Tanzania . . . . . . . . . . . . . . . . . . .29 4.1 The Colonial State and the Colonial Economy . . . . . . . . . . . . . . . . .30 4.2 African Peasantry and Traders. . . . . . . . . . . . . . . . . . . . . . . . . . .32 4.3 Conditions for the Formation of Cooperatives. . . . . . . . . . . . . . . . .33 4.4 Peasant Cooperatives During the Colonial Administration. . . . . . . . .34 4.5 How Cooperatives Operated in Tanganyika During the British Colonial Administration . . . . . . . . . . . . . . . . . . . . . . .38 4.6 Cooperative Achievements During the Colonial Administration . . . .39 4.7 Problems and Challenges that Faced Cooperatives During Colonial Rule . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .40 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .41 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .42 Cooperatives During Independence and The Rise of Socialism. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .43 5.1 Expansion of the Cooperative Movement . . . . . . . . . . . . . . . . . . . .44 5.2 Villages and Ujamaa Villages . . . . . . . . . . . . . . . . . . . . . . . . . . . .55 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .61 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .62 The Abolition of The Farmers’ Marketing Cooperatives . . . .65 6.1 Villages as Basic Units of Cooperation . . . . . . . . . . . . . . . . . . . . . .66 6.2 Abolition of Farmers’ Marketing Cooperatives . . . . . . . . . . . . . . . .67 6.3 Villages Sold Crops Through Marketing Parastatals . . . . . . . . . . . . .70 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .77 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .78 The Re-establishment and Restructuring of Cooperatives . . .79 7.1 Problems of the Village Cooperative System . . . . . . . . . . . . . . . . . .80 7.2 Recommendations of the Prime Minister’s Commission of Enquiry. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .82 7.3 Government Decision to Re-establish Cooperatives . . . . . . . . . . . . .84 7.4 Persistent Problems in the Re-established Cooperatives . . . . . . . . . . .89 7.5 The Way Forward for Cooperatives. . . . . . . . . . . . . . . . . . . . . . . .91 7.6 Cooperative Vision and Mission. . . . . . . . . . . . . . . . . . . . . . . . . .92 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .93 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .93 Cooperative Legislations . . . . . . . . . . . . . . . . . . . . . . . . . . . . .95 8.1 Cooperative Societies Ordinance, No.7 of 1932 . . . . . . . . . . . . . . . .96 8.2 Cooperative Societies Ordinance of 1963 . . . . . . . . . . . . . . . . . . . 106 8.3 Cooperative Societies Act of 1968. . . . . . . . . . . . . . . . . . . . . . . . 107 8.4 Villages and Ujamaa Villages Act No. 21 of 1975 . . . . . . . . . . . . . . 110 8.5 Cooperative Societies Act of 1982. . . . . . . . . . . . . . . . . . . . . . . . 110 8.6 The Cooperative Societies Act of 1991 . . . . . . . . . . . . . . . . . . . . . 115 8.7 The Cooperative Societies Act No. 20 of 2003 . . . . . . . . . . . . . . . . 118 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 122 References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 123 Types of Cooperatives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 125 9.1 Classification of Cooperatives According to Work Performed . . . . . . 126 9.2 Classification of Cooperatives According to Groups Served . . . . . . . 127 9.3 Classification of Cooperatives According Levels of Operation . . . . . . 132 9.4 Factors which Influence Types of Cooperatives Established . . . . . . . 134 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 134 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 135 Procedures for Organizing A Cooperative Society . . . . . . . . 137 10.1 Reasons for Organizing a Cooperative . . . . . . . . . . . . . . . . . . . . 138 10.2 Factors to Consider in Organizing a New Cooperative . . . . . . . . . 138 10.3 Challenges in Organizing a New Cooperative . . . . . . . . . . . . . . . 140 10.4 The Functions of the Organizing Committee . . . . . . . . . . . . . . . . 141 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 144 Managing Rural Cooperative Societies . . . . . . . . . . . . . . . . . 145 11.1 Concept of Cooperative Management . . . . . . . . . . . . . . . . . . . . 146 11.2 Rules in Cooperative Management . . . . . . . . . . . . . . . . . . . . . . 147 11.3 Cooperative Members . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 147 11.4 Board of Directors of the Cooperative . . . . . . . . . . . . . . . . . . . . 149 11.5 Management Staff of the Cooperative. . . . . . . . . . . . . . . . . . . . . 152 11.6 Employees of a Cooperative . . . . . . . . . . . . . . . . . . . . . . . . . . 154 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 156 References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 157 ...