Cooperative societies have for a long time, played a key role in reducing poverty, and promoting national development. Many cooperatives in the country have in the recent past collapsed due to political instability, the accumulation of debts and mismanagement.
The rain started beating agricultural societies when the government introduced market liberalisation policy at a time when they were not prepared and sufficiently educated on how to compete in an open market. The societies began to experience acute shortage of agricultural produce supply because farmers started to sell to traders directly.