Agricultural Marketing Cooperatives

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A marketing cooperative is a business organization owned by farmers to collectively sell their products. It allows producers to accomplish collectively functions they couldn’t achieve on their own. Most agricultural producers have relatively little power or influence with large agribusinesses or food companies that purchase their commodities. Joining with other producers in a cooperative can give them greater power in the marketplace. In addition, cooperatives can give producers more control over their products as they make their way to consumers by allowing them to bypass one or more middlemen in the market channel. Farmers capture more of the returns that would otherwise go to others.

Authors: 
Marc Warmen
Authors: 
Tracey Kennedy
Publisher: 
USDA
Year: 
1998