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Illi 111Iillill Iiiilli!111Iiil 0% 2O93 178 Illi 111Iillill iiiilli!111Iiil ATO3001 76 ~V~,op/A¼ Cp dA1jt THE ROLE OF THE AGRICULTURAL CREDIT COOPERATIVES N THE FERTILISER MARKET IN TURKEY '" 9A AKCAY, Y. CICEK, A. AKAY, M. SAYILI, M. UZU1NOZ, M. ~14 Gaziosmanpasa University, Faculty of Agriculture, Department of Agricultural Economics, Tokat-TURKEY 0% 2O93 1. INTRODUCTION Agriculture has an certain degree of importance in the development and develop ig countries in the world. It is necessary to increase agricultural production and productivity to counter balance increasing food demand. To be able to reach to the goal, inputs one of which is fertiliser used in the agricultural production should be used in the optimum amount in the modem agriculture. Increasing the productivity in the agricultural production depends on the transformation of economic unity of the farms (KARACAN, 1991). However, approximately 85 percentage of the farmers in Turkey has made agricultural activity on the farm land which is smaller than that of 100 decar ( decar = 1 000 in 2 ) . This case has shown that there is a domination of the type of small family farms in Turkish agriculture. These farms generally have insufficient capital, saving, modem equipment, input usage and credit. This farm structure has increased the importance of the Agricultural Credit Cooperatives (ACC) providing credit either inputs or cash. And also ACC have played an important role to transfer finance from government to farmers (MUJLAYiM, 1995). The first main goal of the study is to determine the role of the ACC having a great importance in the fertiliser market in Turkey. The second goal is to evaluate the relationship between farmers-ACC and farmers-private fertiliser agent in the selected region, central district of Tokat province. Also the problems that the farmers faced and the preference of buying fertiliser from either ACC or private fertiliser agent of the farmers and some suggestions related to the subjects were investigated. 2. MATERIAL and METHOD The material of this study arose from studies related to the subjects, the reports and statistical data. Also the data obtained from total seven ACC in the seven different region of central district of Tokat province and farmers living in the same place were used. The seven different region where there is the ACC is central district of Tokat, Sngiit, Emirseyit, Ortakidy, Akbelen, Tahitoba and (amlibel. 179 3. THE ACTIVTIES OF THE ACC IN TURKEY 3.1. The Credit Applications One of the most important goals of the ACC is to give short or mid-term credit to the members. The upper credit limit is determined by the Agricultural Bank of Turkish Republic (TC. Ziraat Bankasi) and the head office of the ACC. The short-term credit covering seed, fertiliser, labour wages e.t.c. is real, goods or cash and one annual. The mid-term investment credit covering livestock, dairy farms and agricultural equipment is real, goods and up to five annual (KARACAN, 1991). The agricultural inputs that the ACC provides are fertiliser, fodder, seed, pesticides and agricultural equipment. The credit amounts given by the ACC is seen in table 1. There is a reel increase in the credit given by the ACC in the period of years 1987-1996 except 1988, 1989 and 1994. As a matter of fact, the reel increase of the credit given 1996 is 48.71 percentage compared to the credit given 1987. Table 1I.The Credits Given by the Agricultural Credit Cooperatives in Turkey Credit Amount Given Net Assets T.R. Agr. Bank Credit Amount Index Years (millions TL) (Current) () Placements (%) Given (Reel) (1987= 100) 1987 629 162 29.20 70.80 629 162 100.00 1988 966 039 24.80 75.20 566 592 90.06 1989 1 570 002 24.00 76.00 561 718 89.28 1990 2 708 372 23.00 77.00 636 216 101.12 1991 4 910 413 20.00 80.00 742 427 118.00 1992 7 146 182 15.00 85.00 666 621 105.95 1993 11 824 987 11.00 89.00 696 407 110.69 1994 22 847 412 13.70 86.30 609 768 96.92 1995 54 767 489 13.30 86.70 775 227 123.22 1996 118 910 404 23.30 76.70 935 610 1 148.71 Source: ANONYMOUS, 1997, TKK Merkez Birlibi, Muhasebe ye Finansman Daire Ba~kanli Kayitlari, Ankara. 80.30 Percentage of the credit given by ACC in 1996 is short-term credit and 19.70 percentage is mid-term credit. Fertiliser has the highest credit share (33.10%) in the total credit amount given by the ACC (ANONYMOUS, 1997). 3.2. The Place of the ACC in the Fertiliser Distribution in Turkey The ACC has the most important share of the fertiliser marketing in Turkey. The amount of fertiliser usage is seen in table 2 in Turkey. Also table 3 includes the amount of fertiliser usage distributed by the ACC in Turkey. And table 4 shows the share of the fertiliser usage of the ACC in Turkey. 180 While the amount fertiliser usage in 1990 in Turkey was 4 995 407 tons, this amount reached 5 449 375 tons with 9.09 percentage increase in 1998. CAN (26% N) fertiliser had the highest usage rate (23.36%) in 1998 in Turkey (Table 2). While the fertiliser distributed by the ACC was 1 094 923 tons, it reached 1 542 623 tons with 40.89% increase in 1998 (Table 3). Table 2. Fertiliser Usagre in Turkey (tons) Fertiliser Variety 1990 1991 1992 1993 1994 1995 1996 1997 1998 A.S. (%2 N) 450260 417664 350069 306183 239312 292718 244297 303278-345416 C.A.N. (%26N) 1659556 1217719 1332290 1509566 1428786 1252951 1294681 1187884 1272858 A.N. (%33N) 8722 152111 266269 134701 86789 144559 191933 249551 364719 ORE 627199 594815 625568 854648 617179 580804 728356 725448 900719 TSP 169646 147135 108633 169054 84024 90415 60261 82389 66873 DAP 618505 709967 734036 882775 447574 560335 573600 607417 723541 20.20.0 1020903 899758 1000566 974187 688227 945621 975174 1043235 1194369 26.13.0 17406 7182 1464 -- -- -- -- 1010 -- 1s.15s.1is 358104 239203 247207 282214 217066 271698 306556 306894 333943 P.S. 14974 15950 18857 19912 16512 11615 17307 16465 19980 Others 50132 138300 251282 369759 172340 235350 205134 118884 226957 TOTAL 4995407! 45398041 4936241 5502999 3997809 4386066 4597299 46424551 5449375 Source: ANONYMOUS, 1999/, Gibre Ureticileri Dernegi Kayailari, Ankara. Table 3. The Fertiliser Amount Distributed by the ACC in Turkey (tons) Fertiliser Variety 1990 1991 1992 1993 1994 1995 1996 1997 1998 A.S.(%2 N) 82655 18050 57585 74911 80650 95801 102263 103295 90818 C.A.N. (%26N) 418040 51345 281334 431790 435174 458733 534473 510678 428335 A.N. (%33N) 857 8277 2052 1005 9545 47431 88347 114982 123095 ORE 127784 29546 115508 149507 A 182134 93706 194643 200788 183266 TSP 46214 27871 31547 29445 29181 38732 31084 27300 25616 DAP 110843 102400 152315 194904 196225 291208 324747 358819 301207 20.20.0 256341 176612 251755 245864 286477 376950 398579 382199 303115 15.15.15 52180 19745 45827 52477 65842 78032 90922 85674 76985 P.S. 9 -- -- 1866 2429 2729 3341 3436 3054 Others -- 1 - -1 -- - - -- 7212 7132 TOTAL 1094923 433846, 937923 11181769 1287657, 1483322, 1768399~ 1794383 1542623 Source: ANONYMOUS, 1999/, Gilbre Ureticileri Dernegi Kayitlari, Ankara. The fertiliser share distributed by the ACC in total distributed fertiliser in Turkey was 21.92 percentage in 1990, this rate reached 29.3 1% in 1998 (Table 4). This case has shown that the importance of the ACC in the fertiliser distribution of Turkey has increased. Table 4. The Share of Fertiliser Amount Distributed by the ACC in Turkey (%) (*) Fertiliser Variety 1990 1991 1992 1993 1994 1995 1996 1997 1998 A. S. (%21N) 18.36 4.32 16.45 24.47 33.70 32.73 41.86 34.06 26.29 C.A.N. (%26N) 25.19 4.22 21.12 28.60 30.46 36.61 41.28 42.99 33.65 A.N. (%33N) 9.83 5.44 0.77 0.75 11.00 32.81 46.03 46.08 33.75 ORE 20.37 4.97 18.46 17.49 29.51 16.13 26.72 27.68 20.35 TSP 27.24 18.94 29.04 17.72 34.73 42.84 51.58 33.14 38.31 DAP 17.92 14.42 20.75 22.08 43.84 51.97 56.62 59.07 41.63 20.20.0 25.11 19.63 25.16 25.24 41.63 39.86 40.87 36.64 25.38 15.15.15 14.57 8.25 18.54 18.59 30.33 28.72 29.66 27.92 23.05 P.S. 0.06 -- -- 9.37 14.71 23.50 19.30 20.87 15.29 Others -- - - - --- - 6.07 3.14 TOTAL 21.92- 9.56 19.00 21.47 32.21 33.82t 38.47 38.65 28.31 ()It is obtained from table 2 and 3. 181 4. THE PLACE OF THE ACC AND) PRIVATE AGENTS IN THE FERTILISER USAGE AND DISTRIBUTION IN~ TOKAT PROVINCE 4.1. The Fertiliser Usage in Tokat Province The amount of fertiliser usage in Tokat province in the 1990-1998 years is given in table 5. Table 5. The Amount of Fertiliser Usage in Tokat Province (tons) Fertiliser Variety 1990 1991 1992 1993 1994 1995 1996 1997 1998 A.5S. (%21IN) 1385.00 1985.5( 1981.0 451.25 57.70 1215.99 802.45 828.20 1121.20 A.N. (%26N) 25580.0( 16466.7( 16461.0 9511.40 6057.95 9806.75 13187.27 12752.82 10145.55 A.N.
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