Effect of savings and credit cooperative societies. Formation registration of a cooperative societies in enugu. A simple guide to the formation and registration of co. Hubert calvert says, cooperation is a form of organisation wherein persons voluntarily associated together as human beings on the basis of equality for the promotion of the economic interest of themselves. The society shall follow the procedure laid down under section 15 of the act and rule 14 of the. In this article, b shiva ram sharma pursuing diploma in entrepreneurship administration and business laws from nujs, kolkata, discusses step by step guide to setting up a cooperative society. The cooperative societies law in nigeria provides for cooperative societies to allocate at least 25% of their yearly net profit to the reserve fund. Farmers cooperatives and agricultural development in kwali. To protect the interest of weaker sections, the cooperative society is formed. In 1947, the colonial government was forced to recognize cooperatives amongst indigenous africans under a cooperative ordinance which was followed in 1948 by the formation of a government department, the department of marketing and cooperatives, for the registration and regulation of cooperative enterprises.
The procedure involves in the registration of a cooperative society is very simple and easy. Formation registration of cooperative housing societies. Relevance of cooperative societies to the nigerian economy a. Learn about cooperative society in formation in lagos. Roles of farmers cooperatives in agricultural development. The objectives of the society are to promote the economic interest of its members and especially. F strickland a cooperating expert, who for three months december 1933 to march 1934 investigated the possibility of introducing a cooperative system into nigeria. A school of management sciences, national open university of nigeria noun, lagos abstract. Jul 18, 2011 credit and thrift cooperatives in nigeria. A potential source of capital formation and employment article pdf available in african journal of business management 514. It prevails in all the countries, this is almost a universal concept. Most scholars recognize the business of the rochdale pioneers of england as the first coop.
A cooperative also known as cooperative, coop, or coop is an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointlyowned enterprise. International journal of business and commerce vol. Legal way to register a cooperative society in nigeria 2020. The ttest analysis shows that farmers joined the farmer cooperatives societies mainly to access credit. Hitherto, cooperative societies were thought to be associations meant only for farmers, small traders and other very lowincome earners.
This act my be cited as the cooperative societies act and shall come into operation on such date as the minister may, by notice in the gazette, appoint. The role of savings and credit cooperative societies. Read the problems and prospects of cooperative societies in nigeria. Women producers and the benefits of collective forms of enterprise. Democratic management the cooperative society follows the cardinal principle of democracy i. Cooperative societies, problems that hinder their smooth. A secondary agricultural cooperative is a cooperative in which two or more primary cooperatives, including juristic persons, can form a secondary cooperative. Membership rules terms of admission, entrance fees, etc.
Find list of best cooperative society in lagos with their name, address, contact phone number and other information on vconnect. The word limited shall be the last word in the name of every registered society with limited liability. The main object of cooperative society is to serve its members rather than to earn profits. A concise analysis in theory and applications, ilorin, unilorin press, 1988 p. See the types of cooperative societies, problems, prospects as well a recommendations. A volunteer cooperative is a cooperative that is run by and for a network of volunteers, for the benefit of a defined membership or the general public, to achieve some goal. The membership of a cooperative society is open to all those who have a common interest. The membership fee is kept low so that everyone would be able to join and benefit from cooperative societies. The apex organisation can also be formed for a particular type of society or the. Its address shall be cod church road, off kigali ayorinde street, dideolu estate,victoria island lagos 2. A cooperative society is an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointlyowned and democraticallycontrolled enterprise. According to article 243zhc of the indian constitution cooperative society means a society registered or deemed to be registered under any law relating to cooperative societies for the time being in force in any state. The areas of operation of the society shall be within nigeria. Pdf contributions of cooperative societies to economic.
There are no harsh rules and the good news is, anybody can start a cooperative society in nigeria and not be afraid of any government body interrupting the cooperative. For example, agrarian cooperative society in the city of ibadan 1904, the cooperation of growers agege 1907, and the association of farmers, egba 1910. A cooperative society is an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointlyowned. The commissioner and the registrar are public officers designated by the minister for that purpose. The history of modern cooperative society in nigeria dates back to 1933 when the government of nigeria arranged for an inspection to be carried out by m. The principle of oneman onevote and limited dividends also reduce the enthusiasm of members.
Contributions of cooperative societies to economic. How to start a cooperative society in nigeria next. The purpose of a secondary cooperative is to provide services to its members relating to the sector in which they are active. Abstract this study is on the impact of cooperative societies on capital formation using a case. According to the law, every builder developer has to form a housing cooperative society with limited options available in this regard to managing the affairs of the building i. Section 3 of the cooperative societies act provides for officers of cooperative societies. Cooperative societies have limited membership and are promoted by the weaker sections.
The paper is a descriptive survey, which involves the collection of data for the. These agricultural cooperative societies do engage in the production, processing, marketing and distribution of agricultural products. The paper notes the transformation of cooperative marketing societies, and the shortcomings. Pdf this paper examined the contributions of cooperative societies to economic development in kogi state, nigeria. The first attempts to create different types of cooperative society in nigeria were aimed at the peasants. In evaluating agricultural credit utilization by cooperative farmers in benue state, nigeria, okwoche et al 2001 observed a significant difference between the agricultural output and income of farmers before and after the utilization of loan acquired. The role of cooperative societies in economic development. World history of cooperative societies began in the 18th century. Depending on the structure, it may be a collective or mutual organization, which is operated according to the principles of cooperative governance. In 1844, this group of 28 men weavers and skilled workers in other trades formed a cooperative society.
As it is, the problems faced by youth in nigeria today are complex. Problems and prospects of cooperative societies in nigeria. The cooperative societies act does not specify the maximum number of members for any cooperative society. The word cooperative must be part of the name of the society to be registered. How to start a cooperative society in nigeria next nigerian. Cooperatives are organizations of people who have the same needs.
Cooperative societies are governed by the nigerian cooperative societies act that provides for the registration of cooperative societies. What is the procedure for the formation of cooperative. Nigerian cooperative societies act an act to provide for the registration and operation of cooperative societies throughout the federation and for related purposes. So, its not a surprise that through time the theory of cooperative society found its second life on the territory of future nigeria and west africa in general. The impact of cooperative society on capital formation. Introduction to form or setup a cooperative society one has to follow certain set rules or guidelines which have to be followed in sequential order which will be dealt in. The formation of a cooperative society is very simple as compared to the formation of any other form of business organisations. The rockdale cooperative was a consumer cooperative society.
A secondary or apex cooperative society cannot be registered unless it has at least two or more primary registered cooperative societies as its members. Cooperative marketing societies and its challenges for sustainable economic development in lagos, nigeria mande, samaila phd and lawal kamaldeen a. The shore porters society claims to be one of the worlds first cooperatives, being established in aberdeen in 1498 although it has since demutualized to become a private partnership. List of cooperative society providers in lagos vconnect. Cooperative societies and constitution law times journal. Any ten adults can join together and form a cooperative society. The paper is a descriptive survey, which involves the collection of data for the purpose of describing the role of cooperative societies in economic development. Cooperative marketing societies and its challenges for. Any person with common interest can become a member.
In this act, except where the context otherwise requires. This explains why quite a number of cooperative farmers are found, particularly in southern nigeria 1 this paper has been published in the official journal of the department of public administration. Find requirements for establishment of a cooperative society. Farmers cooperatives and agricultural development in. Step by step guide to setting up a cooperative society. Therefore the funds available with the cooperatives are limited. The role of cooperative societies in economic development by. Cooperative societies are organizations that are made up of people who have come together to contribute their resources for their common benefit. The industrial revolution and the increasing mechanism of the economy transformed society and. In nigeria, the formation of age group societies for team work and group financial assistance among members in respect of farm work, road construction, house erection and social festivities marked the beginning of cooperative societys movement. This study examined the meaning of cooperative societies, types, formation. Over time, the issue of procurement of loan either for business setup or for other financial purposes continue to advances in a rate that is unimaginable, whereas loan and cooperative society starts as a household idea which later expanded even to a cooperative society that is generally recognized and.
The cooperative movement began in europe in the 19th century, primarily in britain and france. The impact of cooperative society on capital formation a case study of temidere co operative and thrift society, ijebu ode, ogun state, nigeria by kareem, r. A minimum of ten members are required to form a cooperative society. Cooperative organizationssocieties emerged as self help entities to combat. At the same time, any member who wants to leave the society is free to do so. With the formation of the district cooperative unions dcus, the cooperative movement currently has a four tier structure, starting with primary cooperative societies at local level. To register a cooperative society in nigeria some vital information should first be on ground.
The formation of cooperative society in nigeria answers. Unemployment is a major challenge in nigeria and many other developing countries. Chapter two of formation registration of a cooperative societies in enugu state contains. They also help take care of the crop or livestock in turns. The main types of cooperative societies are given below. Analysis of women participation in agricultural cooperatives.
Form of application for registration of a cooperative to be used in case of which no applicant is a registered society under the cooperative societies act to the registrar of cooperative societies, kingston 1. This animation introduces the learner to various features of a cooperative society, merits and limitations of a cooperative society. The pcss are generally affiliated to either a dcu, or if none has been formed in a given district, to a pcu. What are the different types of cooperative societies. Cooperative housing society manual 2012 english this document contains the procedure to take decision on various subject on the society level according to the cooperative act, rules, byelaws and government ordersdirectives issued on the government level from time to time, also the circulars issued by the commissioner, cooperation by time to timed is illustrated. Assessment of the contribution of cooperative societies in. The cooperative society is active in all countries worldwide and is represented in all the sectors including agriculture, food, finance, healthcare, etc. Jul 30, 2012 this animation introduces the learner to various features of a cooperative society, merits and limitations of a cooperative society. The aim is to investigate the ways in which cooperatives can act as agents towards sustainable community development.
The 97 th amendment to the constitution enshrines within article 191c the right to form cooperative societies. This resulted into a near collapse of the entire cooperative movement in the country. The society is also found to be providing limited loans and savings. The author furthermore posited that cooperatives are formed to meet. History of cooperative society in nigeria and west africa. Part ixb inserted by the constitution 97 th amendment act, 2011 talks about the cooperative societies. The members are primarily agricultural co operatives.
Cooperatives in agricultural development in nigeria. Jun 09, 2010 the aim is to investigate the ways in which cooperatives can act as agents towards sustainable community development. Appointment of federal director of cooperatives, etc. Such a society buys goods directly from manufacturers and. Economies, conditions for registration of cooperative societies in nigeria, sources of funds for. The registration of corporative societies in nigeria is effected at the designated cooperative society ministry in various states. Assessment of the contribution of cooperative societies in the. What are the advantages and disadvantages of cooperative society.
The role of cooperative societies in economic development abstract this paper examines the role of cooperative societies in economic development. The cooperative societies play an important role in the socioeconomic development of the country. They cannot expand their activities beyond a particular. Check procedure for cooperative society registration in nigeria. Nigerian agricultural cooperatives and rural development. Over time, the issue of procurement of loan either for business setup or for other financial purposes continue to advances in a rate that is unimaginable, whereas loan and cooperative society starts as a household idea which later expanded even to a cooperative society that is generally recognized and sometimes financed by the government. In nigeria, the formation of age group societies for team work and group financial assistance among members in respect of farm work, road construction, house erection and social festivities marked the beginning of cooperative society. There is unemployment among professionals and nonprofessionals alike, there is unemployment among young school graduates, experienced professionals, tradesmen, and. The capital does not get any special treatment over human being in cooperation. The membership of a cooperative society is open to all. A cooperative society is another means for forming a legal entity to conduct business besides forming a company. Maharashtra cooperative housing society bye laws 1. Cooperative societies are voluntary associations started with the aim of service to members. The impact of cooperative society on capital formation acase.
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