Economy

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Karim M H. Challenges of Iran's Rural Cooperative Networks . serd 2015; 4 (13) :173-196
URL: http://serd.khu.ac.ir/article-1-2575-en.html

Nowadays, agriculture is an economic activity which plays an important role in gross domestic product (GDP) for every country by providing food safety for its people. Agricultural activities can also have side effects on environment. Investment in agriculture section and its impact on this section's output is an important issue which is confirmed by researches and studies in this field and also by empirical evidence. Investment in agriculture section leads to production growth and job creation in this section and also in other economic sections; therefore, it is very important to recognize effective factors on investment in agriculture section and suitable policies for development and expansion of investment in this section. At the moment, agriculture section and natural resources are the most important sections in the economics of the country because of their vital role in providing the country's need of food and fulfilling food safety. Regarding remarkable capabilities in resources and production factors including prone lands, different climates, renewable natural sources such as forests, pastures and rich genetic reserves, this section could find a suitable position in the economics of the country and it plays an important role in gross domestic product (GDP), increase of non-oil exports and job creation in the country. One of agriculture section could be extensive networks of rural cooperatives which are organized and efficient. Cooperation is the process of decision making by individuals or groups which is optional, with knowledge and a voluntary decision to meet the needs and fulfill special proposes in special conditions spontaneously or by plans. The formation of empowered committees with new approaches which are more compatible regarding people's rights, can also act potentially as a tool for making people responsible for their own affairs and provide opportunities for government organizations to be responsible for their fundamental duties and their missions. The process of rural sustainable development depends on different factors and condition; development of cooperatives is one of the most important factors which can play an effective role in improvement of work conditions, living the life, production, services, income level and social status of villagers along with government policies. Therefore, given that in 1393 in under development countries, cooperatives could use a remarkable portion of workforce in small scales and they could increase their shares in gross domestic product (GDP) and even increase social unity by using a descriptive - analytic method in this survey, the existing challenges in rural cooperative networks of Iran have been studied to detect harms in order to overcome these problems by presenting suitable strategies.

This is a survey which has been done by descriptive-analytic method. Descriptive research is an activity to describe and illustrate objectively and precisely the events and characteristics of the considered society or the researcher's interested issue. Descriptive-analytic method is a research for fact-finding and a description of the circumstances in a determined period of time. To study and get the information about the studied subject, we referred to many different sources including managers' comments and ideas, objective observations, interviews, collecting documents and available reports in 1393. While getting necessary information, through investigating the provided collection and also presenting strategic solutions for improving rural cooperatives, we integrated all the information and holistic and analytic methods of study to understand important harms and challenges in agricultural organizations which are covered by rural cooperative organizations.

Discussion and Conclusion
In macro scale, some challenges which rural cooperatives encounter are as follow:
- Government interferes with cooperative management (there is no complete independency in cooperatives)
- There is no professional management for cooperatives and committees in counties, villages and rural districts.
- Members do not have a rational relation with cooperatives.
- In some regions and for some activities, management of rural cooperatives is a family business.
- Cooperatives are insufficient regarding to developmental issues (rural and agriculture development).
- There are lots of registration and licensing authorities for cooperatives in agriculture section and also they are varied.
- Rural cooperatives are government organizations and they are responsible for and act as a trustee of the cooperatives and committees.
- Information and precise statistical data about committees and cooperatives are not integrated and provided.
- Rural cooperative activities in some regions and for some activities are not comprehensive. Cooperation has existed in human life since very beginning and through time and complication of economic relation; this process becomes increasingly more important. Since this section can create jobs especially in villages, this phenomena can act very successful. Rural cooperative is an operating system. Regarding the existing problems in villages and in agriculture section in our country, this system can solve many farmers' problems and can effect positively on rural development. Rural cooperatives are defined as one of the Iran's operating systems, but these systems encounter with some harms which result in their inefficiency. Definitely, better conditions could be provided for rural residents (villagers) by recognizing and solving these harms.