Assessment of Cooperatives in the Poultry Industry - 2013.pdf - Seda

Research Report: Addressing the Needs, Opportunities and Challenges of Cooperatives
and Collectively Owned Enterprises in the Poultry and Related Industries
Figure 4-13: Main challenges with suppliers
Cost of supplies
46%
None
19%
Delays in receiving supplies
15%
Transport issues
15%
Quality of supplies
4%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
Source: Urban-Econ Survey, 2013
Supplier delays and transport issues are also a concern for
cooperatives. Small-scale cooperatives do not have the capacity
to buy from large producers and as a result buy from the most
easily accessible supplier nearby. A representative from the DPFO
indicated that one of the biggest concerns with small farms is a
lack of quality feed, which results in poor growth rates in
chickens. However, only 4% of responses indicated this as a
concern. This may be as a result of lack of information about
quality inputs, but also indicates the prioritisation of the cost of
feed above any other supplier concern.
A representative from the
DPFO stated that one of
the constraining factors
with developing farmers is
a lack of quality feed
which results in poor
growth rates in their
chickens
4.1.2.5. Support and Challenges
A number of different government agencies provide support to cooperatives. Due to the source of
the cooperative database (SEDA and Dti CIS sources), there is a high likelihood that the information
on support organisations is not representative of cooperatives on a large scale (over 5000 poultry
cooperatives were identified as active by the CIPC). However, the information around how the
support has benefitted cooperatives can be taken at face value.
Of the cooperatives sample surveyed, 57% had received some form of support. The figure (4-14)
below illustrates the proportion of support provided by the various support agencies, with the most
prevalent support in this sample coming from the National Department of Agriculture (NDA), the Dti
and SEDA, closely followed by local government. Organisations included in the category of ‘other’
include private companies such as LIBSA and SAPA.
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