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FACTORS DETERMINING COLLECTIVE ACTION IN ALBANIAN AGRICULTURE: CASE OF APPLE PRODUCERS IN ALBANIA
Abstract
Under the small farm size constraints, there is no better alternative to cooperation for Albanian agriculture. The objective if this study is to assess the impact of individuals’ and environmental characteristics on the likelihood of farmers’ cooperation in the major apple production area in Albania. Three regression models with binary qualitative dependent variable, namely Linear Probability Model, Logit Regression Model and Probit Regression Model have been used to test the hypothesis. Study results reveal the factors having a positive impact on farmers’ likelihood to cooperate are social capital, wealth and leadership. The results are of both theoretical and practical importance. Theoretically, study supports that social capital, farm size and leadership are particularly important in post communist transition agriculture. Practically, results benefits government agencies in two ways: better targeting of potential farmers groups, and improving preconditions for collective action through increasing the stock of social capital and designing and implementing leadership programs and long terms policies to increase farm size.
... Skreli and Musabelliu have researched the problem of collective action in Albania (Skreli 1994;Musabelliu 1997). Skreli, Kola and Osmani (2011) were evidencing the importance of leadership and found that the perception of a capable and credible leader particularly affects opportunities of farmers who are apple producers to participate in collective action (Skreli et al 2011). Kola, Skreli, Osmani and Tanku found that there is strong influence of social capital (trainings), human capital, leadership and supply of inputs on collective action (Kola et al. 2014). ...
... Skreli and Musabelliu have researched the problem of collective action in Albania (Skreli 1994;Musabelliu 1997). Skreli, Kola and Osmani (2011) were evidencing the importance of leadership and found that the perception of a capable and credible leader particularly affects opportunities of farmers who are apple producers to participate in collective action (Skreli et al 2011). Kola, Skreli, Osmani and Tanku found that there is strong influence of social capital (trainings), human capital, leadership and supply of inputs on collective action (Kola et al. 2014). ...
... The fact that with increase of farm size decreases the potential for collective action is not a surprise. In previous studies on collective action similar evidences have indicated that the readiness of farmers for collective action differ not only for different activities (apple growers, vegetable growers in greenhouses), but it can also differ within the same activity concerning the size of the farm (Skreli et al. 2011;Kola et al. 2014). This evidence requires attention, especially from policymakers and public bodies that finance agriculture, in order to understand the limits of financing and for finding the balance that optimize the efficiency of public funds used in the case of policies or increasing incentives efficiency. ...
Despite a considerable increase of surfaces with new olive cultivars during last two decades in Albania, the yields have not followed the expected trend. Participation of farmers in common activities would have benefits for costs cutting and efficiency as well as for the commons in a broader economic and social aspect. An opportunity for reducing costs and increasing farmers' income is the organization of farmer’s production by the principles of collective action. The research objective is to find factors affecting the olive growers (farmers) participation in collective actions in Berat area, the second largest olive production area in Albania. A questionnaire was designed in order to measure several variables. Interviewing took place from October 2015 to February 2016. Education, access to markets, income and leadership have statistical significance and influence olive producer’s participation in activities based on collective action. The research results can be useful to policymakers, public bodies and researchers. The fact that with farm size increase, decrease the possibility of farmer’s participation in collective action activities is important finding that helps in understanding the critical financing limits and optimization of the public funds used in creation of public policies.
... Farm size has grown very slowly from 1. 04 ha to 1. 2 ha in year 2000. Land fragmentation combined with small farm size represents the structural problem which is resulting in low competitiveness of the sector (Skreli and McCalla 2013) (Skreli et al. 2011). Important alternative for overcoming this structural problem is cooperation among farmers based on principles of collective action (Kola et al. 2014). ...
... However, because of the small farm size and land fragmentation, farmers encounter many difficulties while improving technology at the farm level, providing inputs, selling their farm products and facing unfair competition from input suppliers and traders. Hence, there is no better alternative than cooperation among farmers (Skreli et al. 2011). ...
... A number of studies (Meinzen Dick-et al. 2002;Kurosaki, 2005;Banaszak 2008) identify leadership as an influential factor in the decision-making connected to collective action in farming community. Other authors (Skreli et al. 2011) have found a positive impact of leadership on the collective action in Albania. In the last two decades farmers have experienced role of leadership and learned whom to trust and whom not. ...
An important challenge for the development of the Albanian agriculture remains the small surface and farm fragmentation. A chance for enhance with a sustainable impact is the agriculture development based on the principles of collective action. The objective of the study is measurement of the importance of leadership perceived by farmers and farmers’ willingness to cooperate among main agricultural activities in Albania. The study will investigate farmers in two important agricultural sectors – vegetable production in greenhouses and apple production. Study measures the impact of leadership as a factor which increases farmers’ potential for collective action, illustrated by vegetable producers in greenhouses and apple producers. Results of the research show that leadership is an important factor for development of collective action in Albanian agriculture. The results are especially important for agricultural sectors of vegetable production in greenhouses and apple production, but they can also be useful for undeveloped agricultural regions. Promotion of leadership in farming communities will have benefits beyond agriculture by promoting good management and maintenance of common resources.
... In the literature education, age and participation in agricultural trainings have been used as proxies of human capital. The evidence shows that the effect of education on participation is positive and sometimes appears to be a key variable (Karlı, et al., 2006;Bernard and Spielman, 2009;Skreli, et al., 2011). On the other hand, the results about the effect of age are mixed, Fischer and Qaim (2012) analysis shows a positive effect, while Karlı, et al. (2006) shows a negative one. ...
... Research results on the effect of age are mixed: Fischer and Qaim (2012) analysis shows a positive effect, while Karlı, et al. (2006), White and Runge (1994) and Kola et al (2014) shows a negative effect. The effect of education on participation has been found to be positive (Karlı, et al., 2006;Bernard and Spielman, 2009;Skreli,et al., 2011). From a theoretical perspective, there is still much debate about the impact of farm size on cooperation. ...
The paper analysis collective action determinants with particular focus on groups service importance using Medicinal and Aromatic Plants (MAPs) sector as a research setting. The analysis is based on a structured farm survey, exploratory factor analysis to develop measures and logistic regression to test study hypothesis. The study results support the expectation that farmers are more willing to cooperate when they perceive benefits from cooperation or complementarily when they face difficulties dealing with their buyers. The current study invests in Ostrom's General Framework for Analyzing sustainability of Social-Ecological Systems by testing the relationship between importance of services provided by the groups and farmers willingness to cooperate.
... Research findings are in line with the way they have been hypothesized and in conformity with previous studies. Skreli et al. (2011) found that social capital and leadership have a strong positive impact on cooperation among farmers in the case of apple producers in Albania. Several studies (Meinzen-Dick et al., 2002;Kurosaki, 2006;Banaszak, 2008;Skreli et al., 2011) demonstrated a positive significant impact of leadership on collective action. ...
... Skreli et al. (2011) found that social capital and leadership have a strong positive impact on cooperation among farmers in the case of apple producers in Albania. Several studies (Meinzen-Dick et al., 2002;Kurosaki, 2006;Banaszak, 2008;Skreli et al., 2011) demonstrated a positive significant impact of leadership on collective action. ...
The present study investigates the determinants of collective action in a strategic and fast growing sector - greenhouse vegetables in Albania - looking at the impact of individual farmers' characteristics on their likelihood of cooperating, using a logistic regression model. A Thurnstone scale was constructed to measure the likelihood that farmers will cooperate and a composite index was designed and applied to measure the farmers'stock of social capital. Results show that social capital, human capital, leadership and the problems farmers face in terms of input supply are important determinants of collective action. The results are of both theoretical and practical importance. Theoretically, this study suggests that social capital, human capital, leadership and economic environment characteristics are important determinants of collective action in post-communist transition country agriculture. Practically, the results can provide support to government agencies concerning three issues: (i) better targeting the potential farmers' groups, (ii) improving preconditions for collective action through an increase in the stock of social capital to assist the farmers in their "first collective action experience", and (iii) designing and implementing capacity-building and leadership programmes.
... The transformation of subsistence farms into a sustainable resource by increasing collaboration between farmers has reinforced self-reliant associations. Improving farm management through training and technical assistance on dairy farm management, has influenced the economic viability of income-generating farms (Skreli, Kola & Osmani, 2011). The revitalisation of farmer associations has been encouraged by providing direct assistance to families, increasing access and visibility to the market, and encouraging greater co-operation and partnerships with different stakeholders. ...
Albania is a country with a specific profile and history, a favourable climate and geographical location, and is continuously building new bridges to improve social and economic life. A careful analysis of history provides awareness of a sustainable path for the future. As a post-communist country, the economy of Albania has gone through many ups and downs. Identified as having a fragmented landstructure and predominantly subsistence farming, it shows the need for intervention in this situation. The co-operative organisation has been one of the victims of historical development. Moreover, due to potential conflicts with the political system, there has been no appropriate opportunity to adapt to the broad concept of co-operation in recent decades. As such, the co-operative phenomenon is still new despite the introduction of new co-operative law to support development of co-operatives in Albania. This paper focuses on farmers’ experiences and identifies elements that are crucial in influencing co-operation among farmers. While some have had a positive experience of being part of a co-operative, for the majority it is still hard to distinguish the communist co-operatives from the democratic and voluntary access/membership co-operatives. This might be one reason that farmers are hesitant to get involved in a co-operative.
... La problemática de la difusión tecnológica en el sector agrícola ha sido ampliamente estudiada, principalmente en los Estados Unidos. Las estrategias de identificación más difundidas consisten en modelos lineales (Skreli et al., 2011) o no lineales English et al., 2000;Tey y Brindal, 2012) que buscan explicar la adopción o no adopción de tecnologías (en forma dicotómica) o la intensidad en la adopción. ...
La agricultura de precisión refiere a un paquete tecnológico que permite adaptar la dosificación de insumos a las características cambiantes de los terrenos. Estas innovaciones se comenzaron a utilizar en la Argentina en la década de 1990, y si bien su difusión ha sido creciente aún no se encuentra consolidada. El presente trabajo estudia las variables asociadas a la agricultura de precisión a nivel departamental utilizando modelos fraccionales Probit y Logit. Este adhiere a una extensa literatura pero que se encuentra especializada en otros países. La evidencia más robusta aquí encontrada destaca la relevancia del tamaño de las superficies y el nivel de diversificación en las actividades.
... They however emphasize that good conditions exist for inter-farmers cooperation to start, with adequate policies and support programs in place [31], [48], [28]. Other researchers have found other effective determinants of cooperation such as social capital, disparities in wealth, education, age, opportunities for non-farm employment, and nearby existence of leadership are among major factors of collective action, thus cooperation [46], [50], [5], [56], [53], [57]. Researchers recommend the creation of a favorable legal framework for cooperatives and PO to be set up; investment for PO through public-private partnerships, training, and technical advice, support for the creation of management capacities, and guaranteeing their management and operational independence [59]. ...
Albania's agricultural sector is dominated by small to very small farms. Farm smallholders are facing currently tough challenges to survive or prosper. Major challenges are international trade liberalization and globalization, climate challenges, low access to credit and agricultural services, and low public support for extremely small farms in particular. We strongly believe that learning from foreign experiences, and from research, is vital for the design of a policy framework that works for the farm smallholders and assists them in the struggle to face these challenges, stay in the system and modernize. Based on this, the purpose of our research is to identify and present policy options that potentially can be integrated with the design of an effective policy agenda that works for the farm smallholders in Albania. We focus on major agricultural development issues such as the viability of small farms, alternative systems of agricultural products such as conventional and agro-ecological agriculture, cooperation among and vertical integration of farms into markets, the competitiveness of farm products, and investment climate for small farmers, improving institutional quality, and governance of the agricultural sector as a precondition for a pro-smallholder policy framework and effective implementation, etc.
... They also concluded that more systematic evidence on how farmers make their choice about cooperation is needed. Concerning the Western Balkans, Kola et al. (2014) and Skreli et al. (2011) demonstrated the positive effects of, e.g., farmers' social capital on collective action such as joining an agricultural cooperative. ...
Producer organisations bear great potential to link small-scale farmers to markets. In post-communist economies, historically negative attitudes towards cooperatives are blamed as barriers to collaboration, but little is known about the broader range of motives to (not) cooperate. We use a structural equation model to analyse cooperation intentions in Kosovo’s emerging export-oriented raspberry sector. In this context, negative images surrounding cooperation seem to belong to the past. Widespread positive attitudes towards joining producer organisations were driven by the wish to facilitate farm commercialisation. The most substantial influence on cooperation intentions came from the norms passed on by the family and farm advisory services. Yet, results beyond the econometric model show that a lack of information and knowledge and lack of institutional trust, mainly doubts about the feasibility of producer organisations, could hinder their spread and success.
... Furthermore, intra-village conflicts may hinder collective action (Bardhan, 1993;Reimers, 2018). This was also observed in the case of Albania by Skreli et al. (2011) and Kola et al. (2014). According to Boahene et al. (1999), physical assets such as financial capital, land, and labor are other important factors in innovation adoption. ...
In developing and transition countries, cooperation among farmers still remains limited, despite the need to
tackle the constraints related to small farm sizes. The cooperation literature highlights several factors that affect
farmers’ willingness to cooperate. On the other hand, there is limited research on the indirect role of local rules
on cooperation. This paper aims to contribute to this gap by analyzing the factors that affect farmers’ willingness
to cooperate by examining the mechanisms through which local rules affect cooperation. Cooperation remains a
fairly broad spectrum, and there is limited understanding about the Albanian case as a post-socialist economy
which is dominated by small and fragmented farms. The research is based on a structured survey with dairy
farmers implemented during 2017 and structural equation modeling is employed to test study hypothesis. Results
show that the role of local rules has an indirect effect on cooperation through social capital. Further, the presence
of leadership skills, reputation, and reciprocity appear to be key determinants of farmers’ willingness to
cooperate.
... Furthermore, intra-village conflicts may hinder collective action (Bardhan, 1993;Reimers, 2018). This was also observed in the case of Albania by Skreli et al. (2011) and Kola et al. (2014). According to Boahene et al. (1999), physical assets such as financial capital, land, and labor are other important factors in innovation adoption. ...
In developing and transition countries, cooperation among farmers still remains limited, despite the need to tackle the constraints related to small farm sizes. The cooperation literature highlights several factors that affect farmers’ willingness to cooperate. On the other hand, there is limited research on the indirect role of local rules on cooperation. This paper aims to contribute to this gap by analyzing the factors that affect farmers’ willingness to cooperate by examining the mechanisms through which local rules affect cooperation. Cooperation remains a fairly broad spectrum, and there is limited understanding about the Albanian case as a post-socialist economy which is dominated by small and fragmented farms. The research is based on a structured survey with dairy farmers implemented during 2017 and structural equation modeling is employed to test study hypothesis. Results show that the role of local rules has an indirect effect on cooperation through social capital. Further, the presence of leadership skills, reputation, and reciprocity appear to be key determinants of farmers’ willingness to cooperate.
... These schemes involved no formal or written binding agreements and were strictly voluntary while being enforced primarily by reputation mechanisms (Imami et al., 2020). Thus it is unsurprising that a number of empirical studies show that the willingness of Albanian farmers to cooperate positively responds to the availability of social capital, operationalized as a composite indicator taking into account the history of farmers' participation in formal and informal collective action (Skreli et al., 2011;Kola et al., 2014;ISETNJ, 2017). Farmers' perception of effective leadership likewise positively affects their propensity to cooperate (ISETNJ, 2017). ...
In Albania development gaps in the area of food safety are calling for stronger vertical coordination within the agrifood value chains. The paper explores the possibility of vertical coordination being strengthened through the development of agricultural cooperatives and informal farmer groups. In two reported case studies, these organizations have been shown to be called into life by the need to advance vertical coordination. Moreover, the case studies reveal that downstream agribusiness agents, who normally oppose farmers' countervailing power, promote, support, and even initiate cooperatives and farmer groups, in order to implement food safety standards. The emerging cooperation among farmers not only enhances their participation in the value chain but also generates mutual trust.
... The fact that with increase of farm size decreases the potential for collective action is not a surprise. In previous studies on collective action similar evidences have indicated that the readiness of farmers for collective action differ not only for different activities (apple growers, vegetable growers in greenhouses), but it can also differ within the same activity concerning the size of the farm (Skreli et al. 2011;Kola et al. 2014). This evidence requires attention, especially from policymakers and public bodies that finance agriculture, in order to understand the limits of financing and for finding the balance that optimize the efficiency of public funds used in the case of policies or increasing incentives efficiency. ...
Despite a considerable increase of surfaces with new olive cultivars during last two decades in Albania, the yields have not followed the expected trend. Participation of farmers in common activities would have benefits for costs cutting and efficiency as well as for the commons in a broader economic and social aspect. An opportunity for reducing costs and increasing farmers' income is the organization of farmer’s production by the principles of collective action. The research objective is to find factors affecting the olive growers (farmers) participation in collective actions in Berat area, the second largest olive production area in Albania. A questionnaire was designed in order to measure several variables. Interviewing took place from October 2015 to February 2016. Education, access to markets, income and leadership have statistical significance and influence olive producer’s participation in activities based on collective action. The research results can be useful to policymakers, public bodies and researchers. The fact that with farm size increase, decrease the possibility of farmer’s participation in collective action activities is important finding that helps in understanding the critical financing limits and optimization of the public funds used in creation of public policies.
... However, because of the small farm size and land fragmentation, farmers encounter many difficulties while improving technology at the farm level, providing inputs, selling their farm products and facing unfair competition from input suppliers and traders. Hence, there is no better alternative than cooperation among farmers (Skreli et al. 2011). ...
An important challenge for the development of the Albanian agriculture remains the small surface and farm fragmentation. A chance for enhance with a sustainable impact is the agriculture development based on the principles of collective action. The objective of the study is measurement of the importance of leadership perceived by farmers and farmers’ willingness to cooperate among main agricultural activities in Albania. The study will investigate farmers in two important agricultural sectors – vegetable production in greenhouses and apple production. Study measures the impact of leadership as a factor which increases farmers’ potential for collective action, illustrated by vegetable producers in greenhouses and apple producers. Results of the research show that leadership is an important factor for development of collective action in Albanian agriculture. The results are especially important for agricultural sectors of vegetable production in greenhouses and apple production, but they can also be useful for undeveloped agricultural regions. Promotion of leadership in farming communities will have benefits beyond agriculture by promoting good management and maintenance of common resources.
... However, because of the small farm size and land fragmentation, farmers encounter many difficulties while improving technology at the farm level, providing inputs, selling their farm products and facing unfair competition from input suppliers and traders. Hence, there is no better alternative than cooperation among farmers (Skreli et al. 2011). ...
An important challenge for the development of the Albanian agriculture remains the small surface and farm fragmentation. A chance for enhance with a sustainable impact is the agriculture development based on the principles of collective action. The objective of the study is measurement of the importance of leadership perceived by farmers and farmers’ willingness to cooperate among main agricultural activities in Albania. The study will investigate farmers in two important agricultural sectors – vegetable production in greenhouses and apple production. Study measures the impact of leadership as a factor which increases farmers’ potential for collective action, illustrated by vegetable producers in greenhouses and apple producers. Results of the research show that leadership is an important factor for development of collective action in Albanian agriculture. The results are especially important for agricultural sectors of vegetable production in greenhouses and apple production, but they can also be useful for undeveloped agricultural regions. Promotion of leadership in farming communities will have benefits beyond agriculture by promoting good management and maintenance of common resources.
... The fact that with increase of farm size decreases the potential for collective action is not a surprise. In previous studies on collective action similar evidences have indicated that the readiness of farmers for collective action differ not only for different activities (apple growers, vegetable growers in greenhouses), but it can also differ within the same activity concerning the size of the farm (Skreli et al. 2011;Kola et al. 2014). This evidence requires attention, especially from policymakers and public bodies that finance agriculture, in order to understand the limits of financing and for finding the balance that optimize the efficiency of public funds used in the case of policies or increasing incentives efficiency. ...
Despite a considerable increase of surfaces with new olive cultivars during last two decades in Albania, the yields have not followed the expected trend. Participation of farmers in common activities would have benefits for costs cutting and efficiency as well as for the commons in a broader economic and social aspect. An opportunity for reducing costs and increasing farmers' income is the organization of farmer’s production by the principles of collective action. The research objective is to find factors affecting the olive growers (farmers) participation in collective actions in Berat area, the second largest olive production area in Albania. A questionnaire was designed in order to measure several variables. Interviewing took place from October 2015 to February 2016. Education, access to markets, income and leadership have statistical significance and influence olive producer’s participation in activities based on collective action. The research results can be useful to policymakers, public bodies and researchers. The fact that with farm size increase, decrease the possibility of farmer’s participation in collective action activities is important finding that helps in understanding the critical financing limits and optimization of the public funds used in creation of public policies.
... In relation to role of government with respect to cooperation, government has a key role to play, by guaranteeing a flexible cooperative law, single taxation, and clearly defined competition rules as very important issues for cooperation to start [6]. There is a number of issues related with market functioning, such as market information, analysis and improvement of financial services, modernization of cooperative law and regulations, development of infrastructure and adequate social services, elimination of barriers to cooperative can extremely facilitate cooperation [27]. Again in this respect, as demonstrated in [9] experiences on cooperative development Gansu province in China show that stable legal environment is very important. ...
... The fact that with increase of farm size decreases the potential for collective action is not a surprise. In previous studies on collective action similar evidences have indicated that the readiness of farmers for collective action differ not only for different activities (apple growers, vegetable growers in greenhouses), but it can also differ within the same activity concerning the size of the farm (Skreli et al. 2011;Kola et al. 2014). This evidence requires attention, especially from policymakers and public bodies that finance agriculture, in order to understand the limits of financing and for finding the balance that optimize the efficiency of public funds used in the case of policies or increasing incentives efficiency. ...
Leadership is an important aspect in a country’s development and shaping of its society. The advancement of a nation is dependent on its leadership. With that in mind, this article aims to shed light on the concept of moderation from the perspective of the leadership of Malaysia’s Prime Ministers. The main focus of this study is the concept of moderation utilised by Dato’ Seri Mohd Najib Tun Razak’s leadership through aspects such as politics, economy and social. The methodology used in this study is document analysis and historical research, which enabled us to obtain complete data. The results of this study show that the concept of moderation does indeed exist in his leadership, in his quest to bring the nation on par with other developed countries.
... The main contribution of the paper is empirical in nature as, to the best knowledge of the authors, no previous studies have been undertaken on this subject in the context of Albania. Other authors have observed Albanian farmers' behaviour towards land transactions or the factors influencing farmers' choices for cooperation and collective action (Skreli et al., 2011). Yet this is the first paper to analyse farmers' behaviour towards contracting in Albania. ...
This paper analyses the relations and contracting behaviour of orchard farmers with their customers in Albania. The study is based on a structured farm survey, including information about relations and contracting with clients, and a cluster analysis aimed at identifying key farm typologies with respect to contracting. As expected, most farmers rely on spot transactions. Formal contracts are used sparingly due to a lack of interest from buyers, small farm size and lack of trust in contract enforcement. However, farmers commonly use informal agreements/contracts as a substitute for formal ones. The most common differences between those farmers who engage in contracting and those that do not concern household size, the number of years in orchard production, and the amount of losses incurred.
This study investigates the impact of leadership, agricultural innovation, and peace and order on agricultural development in Lanao del Sur. Focusing on four municipalities—Taraka, Marantao, Ganassi, and Malabang—each with unique agricultural characteristics, the study aims to understand how these factors contribute to the region's agricultural progress. A total of 399 participants were surveyed using adapted and researcher-made instruments. Descriptive-correlational and causal research designs were employed to analyze the data through mean, standard deviation, Pearson correlation, and multiple regression. The results reveal that strong leadership in political, economic, and collective agricultural actions significantly enhances development. High levels of agricultural innovation, particularly in farming methods and infrastructure, were also observed. However, the persistence of "rido" (clan feuding) and lawlessness, despite ongoing police and military efforts, continues to challenge peace and order in the province. The study concludes that while leadership and innovation drive agricultural progress, sustained efforts to maintain peace are crucial for further development.
This study addresses the gap in understanding how leadership, innovation, and socio-political stability influence agricultural development. By conducting a literature review, this research aims to provide insights into improving regional agricultural policies. The review focuses on leadership in agriculture, sociopolitical dynamics, economic factors, and the role of innovation. Findings suggest that while global initiatives and local efforts emphasize agribusiness for economic growth, regions like BARMM in the Philippines face challenges such as weak data systems and structural barriers. The study concludes that technological advancements and cooperative efforts are essential for sustainable agricultural development in these regions, highlighting the need for targeted policies to enhance productivity and food security.
Promising but particularly challenging remains the agricultural sector in Albania even after almost three decades of transition and the collapse of communism regime. The country is located in a very strategic geographical area of Europe, tempting for centuries to its neighbors is struggling to find the way to promote the agriculture sector. On the other hand, the agriculture sector contributes to almost half of the employment in Albania and accounts for about one-fifth of the gross domestic product (ILO - International Labour Organisation, 2018). Roughly 60% is subsistence farming meaning that small and family farms with an average of 1.2 ha to 2 ha is the most common profile of the farmers (INSTAT, 2018). Combining this with the land fragmentation, for instance two or more rather small parcels per farm, geographically spread, generates a challenge for farmers. As a consequence of the land reform implemented in the early 1990s, in which state agricultural land was equally distributed to the rural population, which resulted in small and fragmented farms that hampered the growth and competitiveness of agriculture. Due to negative experience in the past, Albania, farmers tend to be hesitant to form or join organizations such as cooperatives, as in many other post communism regime countries. However, there are signs of change, as the first movements of cooperatives establishment have started, even though initiated by external factor such as international projects provided by GIZ, FAO and many other foreigner programs. The two major objectives of this research are: first to highlight the obstacles why farmers are hesitant to participate in cooperation even after three decades of regime change. Secondly, the benefits and the mechanisms to promote this movement, as well as the impact it might have in further development of agriculture in the country. Based on this observations and consecutive problematic this dissertation analyzes the potential of cooperative development in the following key issues: cooperatives evolution within the last decades, governmental institution supporting role in this movement, the factors that influence the willingness of farmers to or not to cooperate. The research has taken place in the main villages/areas of Lushnja and Fier district covering about 25% of the Albanian national milk/dairy cow per head (INSTAT, 2018). The research sample included 238 farmers involved in cow milk production who were selected randomly by the interviewers. The interviewed farmers were all personally involved in farm activities, including the production and sale of cow milk Furthermore, the findings show the importance of governmental institutions in the promotion and the support for the development of cooperatives. Their role is fundamental as they play the leading and managerial role of the policy implementation. Moreover, a particular importance has shown the indirect affect that local rules have on cooperation. From the findings, it emerges that the main and most noteworthy mechanism of how local rules affect willingness to cooperate is by constructing social capital. Without leaving apart the determinants of the local rules, trust, and leadership skills in cooperation taken individually and in relation to each other (Agrawal 2001, Ostrom 2009, Ostrom and Mc Ginhis 2014). Summarizing the above mentioned major findings and in conclusion, innovative initiatives is a process in itself that should be elaborated and supported broadly to deliver the importance it brings in the development of the farm or in the farmers organization such as cooperatives, without leaving aside the impact it might have in the community (Dossa and Kaeufer, 2014; Bocken et al., 2013; Weltzien, 2011). A challenging initiative does not make it not valuable and uncertain but should intrigue the community to incorporate new possibilities.
This thesis analyzes questions and develops a methodological approach to local development based on the mobilization and activation of local and specific territorial resources by studying the role of collective action in the organization of local actors and the increase of the value added productions. On the basis of an overall analysis of these economic conditions, the objectives of this thesis are to (1) characterize the situation of rural communities in a mountainous area of southern Albania; 2) to study the particular context of the postcommunist era and its consequences for rural communities; (3) identify local products with particular characteristics and assess trends in their potential markets; and (4) discuss local farming practices and community governance structures and analyze their capacity to support a virtuous circle of rural development; in order to (5) formulate recommendations tailored to local and national decision-makers.
We develop a model of relational governance as a hybrid form of inter-firm relationships, conceptualizing it in terms of repeated exchange under low behavior uncertainty level. Furthermore, we derive a model of its determinants based on arguments of transaction cost economics, social network theory and sociological issues. Logistic regression modeling is employed to test the model on data collected from a sample of 170 Albanian farmers engaged inthe cultivation and collection of medicinal aromatic plants. The results show that asset specificity and antecedents of trust are the strongest predictors of relational governance, and competition among suppliers has small but significant positive effect. Directions for further research on determinants of this particular governance choice are also developed in the light of the research limitations.
This study provides an in-depth analysis of the value chain governance in the fruit sector in Albania. Particular attention was paid to the nature of relations between agricultural producers and marketing channel chosen by them, distinguishing between big wholesalers, local collectors and exporters, longer-term relations, commitment and trust, and contracting along the value chain. Given the absence of, or weak, contract enforcement and the clear evidence of embeddedness in dyadic relationships in this chain, we focused our analysis on sustained relationships, contracting and personal bonds as a determinant factor to improve business relationship quality. This paper is based on a structured survey targeting 182 orchard farmers in two leading fruit production regions in Albania, namely Korca and Peshkopia. The survey showed a weak prevalence of verbal contracts in embedded relationships. The percentage of contracts between farmers and local collectors is slightly higher compared to wholesalers. This evidence is much stronger when we investigate the incidence of contracts in stable relationships (i.e. selling to the same buyer). We also find that mature relationships generate higher sustainability - a result which does not come as a surprise, although the coordination between farmers and other actors downstream is only at early stages. The main implications which arise from our analysis are relevant for agribusinesses, farmers and policy makers. © 2015, University of Zagreb - Faculty of Agriculture. All rights reserved.
"Policies of devolving management of resources from the state to user groups are premised upon the assumption that users will organize and take on the necessary management tasks. While experience has shown that in many places users do so and are very capable, expansion of comanagement programs beyond initial pilot sites often shows that this does not happen everywhere. Yet much is at stake in this, with more widespread adoption of irrigation management transfers and other forms of community-based resource management. It is therefore important to move beyond isolated case studies to comparative analysis of the conditions for collective action. "This paper identifies factors affecting organization of water users associations, and collective action by farmers in major canal irrigation systems in India, based on quantitative and qualitative analysis of a stratified sample of 48 minors in four irrigation systems (two each in Rajasthan and Karnataka). Using key variables suggested by the theoretical and case study literature, the study first examines the conditions under which farmers are likely to form formal or informal associations at the level of the minor (serving several watercourses, and one or more villages). Results indicate that organizations are more likely to be formed in larger commands, closer to market towns, and in sites with religious centers and potential leadership from college graduates and influential persons, but head/tail location does not have a major effect. We then examine factors affecting two different forms of collective action related to irrigation systems: collective representation and maintenance of the minors. Lobbying activities are not more likely where there are organizations, but organizations do increase the likelihood of collective maintenance work. "Such studies can assist policymakers by identifying whether there is likely to be a rapid response to management transfer, or if more effort (such as community organizers) is required. For program implementers, this type of analysis can help identify the most 'fertile ground' for starting programs to achieve impact, and to expect to devote extra attention in other areas, if devolution programs are expected to achieve high levels of farmer involvement in resource management."
In 2001, a scheme called Citizen Community Board (CCB), a kind of communitybased organisation (CBO), was introduced in Pakistan, under which local people propose development projects to the local government through forming a CCB, and upon approval the local government funds 80 percent of the project cost. Since 2001, however, both the number of CCBs and that of approved projects have been below the expected level. This raises a concern that the Pakistani society with limited historical experience in CBO-based development is too handicapped for the CCB scheme to be successful. This paper addresses this concern through quantifying the determinants of successful formation of a CCB and those of successful development activities conditional on the formation. The regression results using a cross-section dataset in a district in Pakistan Punjab in 2004-05 suggest that the rules within a CCB and the type of leadership are key to the success of CCB initiatives.
Policies of devolving management of resources generally assume that users will organize and take on the necessary management tasks. Experience with comanagement programs shows that this does not happen everywhere. This paper identifies factors affecting organization and collective action among water users in major canal irrigation systems in India. Results indicate that organizations are more likely to be formed in larger commands, closer to market towns, with religious centers and potential leadership from college graduates and influential persons. Water users' organizations increase the likelihood of collective maintenance work by farmers, but do not affect the likelihood of collective representation, or lobbying activities, which seem to happen more spontaneously.
Local community-level water management is crucial for rural development in the poorest parts of the world, in South Asia and sub-Saharan Africa. Local cooperative institutions have been successful in water management in some cases, but there are numerous cases of failure. The paper draws upon the relevant lessons from the theoretical literature on cooperation in game theory, both in economics and evolutionary biology. Then it goes into the evidence from field studies by anthropologists and others on the conditions for success or failure of local cooperation. This points to some additional insights which the theoretical models are yet too constricted to incorporate.
This paper studies what determines group formation and the degree of participation when the population is heterogeneous, both
in terms of income and race or ethnicity. We are especially interested in whether and how much the degree of heterogeneity
in communities influences the amount of participation in different types of groups. Using survey data on group membership
and data on U. S. localities, we find that, after controlling for many individual characteristics, participation in social
activities is significantly lower in more unequal and in more racially or ethnically fragmented localities. We also find that
those individuals who express views against racial mixing are less prone to participate in groups the more racially heterogeneous
their community is. These results are consistent with our model of group formation.
We examine the influence of three historically important sources of social divisions on the availability of public goods in rural India: colonial power, landowner-peasant relations as determined by the land tenure system and social fragmentation based on the Hindu caste system and the presence of sizable religious minorities. Using data on public goods from 1991, we find that regions that were under British colonial power in the pre-independence period and those where agrarian power was concentrated in the hands of landlords have lower access to these goods as do areas with high levels of social fragmentation. (JEL: H41, P16) Copyright (c) 2005 The European Economic Association.
Social capital is a resource, a propensity for mutually beneficial collective action that communities possess to different extents. Communities with high levels of social capital are able to act together collectively for achieving diverse common objectives. While the concept of social capital is valid universally, the measure of social capital will vary by context. It must be related in each case to aspects of social relations that assist mutually beneficial collective action within that particular cultural context. A locally relevant scale of social capital was developed to assess whether and how social capital mattered for development performance in 69 north Indian villages. Variables corresponding to other bodies of explanation, including extent of commercialization, relative stratification, and relative need were also examined, but a combination of high social capital and capable agency was found to associate most closely with high development performance. Agency is important particularly in situations where institutions are not available that enable citizens to connect with the state and with markets. The productivity of social capital is considerably reduced on account of this institutional gap in the middle. Development performance can be improved in these situations by adding to the stock of social capital and also through enhancing agency capacity.