MEMBER COOPERATIVE

cooperative membership must consist of people who can
meet certain quality requirements and have
the same economic interests. Quality membership
The next will be very influential in the organization, management
and the business of kopersinya. The effect was reflected in the profile
cooperative of which are still simple to the cooperative
has advanced.
The quality requirements for members of cooperatives can be formulated as follows:
a. Having a soul the spirit of togetherness and solidarity
and self-esteem.
b. Members no longer be at the level of life
subsistence and economic potential.
c. Able to contribute fiansial
organization.
d. Able to make decisions independently [not bound]
against the economic needs diperlukanya.
Quality requirements as described above is
a member of a ideal condition in which the reality in
Indonesia most of the people we have not fulfilled the conditions
quality at the top. Therefore, the main task of cooperative Indonesia
as an integral part of national development strategy is
through education and formation process of bringing the community
was developed to its fullest potential and ability
each to function as economic actors
minimum membership requirements mentioned above. Task
it is a reflection of the social character of cooperatives
placing members not only as objects but also as
subjects.
In relation to the above in its development,
quality can be classified as cooperative members; candidate,
partners, and a full member. Prospective members are those who
simply requires service and only had involvement
and limited capabilities. Furthermore, the prospective member
could develop into more stable to reach the position
partners. In this position they have been conscious to involve
he is more active because feel the benefits of cooperatives.
From such a partner-level candidates and then build himself a member of more, so it can become a full member. On the status of this last position they have shown the involvement and level of effort is higher and are willing to bear the risk and show loyalty to the cooperative as a business entity.

2. Business Linkages
The main business activities are cooperative efforts
related and meet the demands of its members. But
Thus if there is still excess capacity [excess
capacity] available resources, it can do business
with the non-members. This is done to be able to
lower cost-per-unit effort in addition to creating the attraction of non-members to become members. However, efforts by non-members should not dominate and / or reduce the quality of service cooperatives to their members.
Basically, business activities can be either non cooperative
or in the form of single-business and business-paced activity.
Determination to determine the choice of the above should
based on its economic feasibility. Therefore, each
cooperative effort from both the single and the all-business
based upon the maximization of service operations
with its members. But it should at once should be able to
a source of good profit cooperatives and their members.
Especially for all-round cooperative effort, the choice will be
give more opportunities to move in
various business services to members who have not or not
can be a source of profit.
This can happen because there is a process in which management
if a business services unit that is needed by
member but have not or can not be a source of profit
then the business unit can be helped and be borne by the unit
Other businesses that have high profit [subsidy
cross].
With such a management process, all services
effort that is needed by all businesses can
met by the cooperative with the provisions of these business keseluruha
remains feasible. Furthermore, from a selection of these activities will
affect the structure and management of cooperatives
concerned.
Implementation and further development of cooperative activities
information has to do with aspects of cooperatives and domicile location
cooperatives concerned. Consider the role that
strtegis enough cooperative effort, the location should be linked
with economic potential and opportunities for development activities
business members. Similarly, determination of the location should always be
associated impact on operational costs, the need for
capital, easy relationship with its members, or the relationship
members with the market.
Several technical aspects to consider in the process of determining the location of the cooperative, including:
a. Proximity access terahadap source of raw materials, marketing channels
and domicile of its members.
b. Adequacy of availability of transportation and communication systems
as well as resources and energy.
c. Availability of members and other labor sources
viewed from the aspect:
1. The number and skill.
2. The level of convenience.
3. Security level.

3. Organization and Management of Cooperatives
In order to develop business activities as mentioned above, management orientation should be realized in the following order of priority:
1. Uasaha service improvement that provides benefits
as much as possible to the members in the form of productivity
and value-added business members of [the service at cost].
2. Zoom in revenue and reduce expenditure
to create the rest of the results of its operations [SHU] in order to maintain
survival and development of business services
above.
In connection with its institutional aspect, the cooperative as a business entity must have the organizational structures that can handle the activities of its members efficiently and effectively. Therefore we need an organizational structure that follow some basic requirements, namely:
a. need to be identified clearly responsibilities, kewenangandan
scope of activities between meetings Members, Managers and BP.
b. elements of cooperative management as a business entity consisting
above:
1. Meetings of members.
2. Examining Board and the agency.
3. Managers and executive staff of professionals.
d. management of each element mentioned above have
scope of the decision [decision area] is different, though
there is still scope of decisions made jointly
[Shared decision area].
Scope of decisions for each element of cooperative management as a business entity implemented as follows:
a. Meetings of members as the highest body of the cooperative in
where every member has equal voting rights will
conduct performance evaluations from previous years and
establish the basic policy direction and management
comprehensive for cooperatives in the next period.
b. Management and inspection bodies to take responsibility
decisions regarding strategic policy based on
Meeting of Members and are responsible
control implementation.
c. Managers and employees are technical implementing operational.
In this connection, they should clearly have
freedom to make decisions and implement
operations within the limits of authority
delegated by the board.
d. Outside of the above provisions to permit processes
joint decision making between the Governing Body
Examining and Managers.
In conjunction with pelaksanann berbegai activity
cooperative effort, the problem of spending is
one basic function that must be managed properly. Attempts to


spend a cooperative business activity should always be directed
to:
1. To materialize its stability by way of management
good liquidity and solvency.
2. Realization of optimal utilization of capital.
3. The realization of the ability to form their own capital

4. Capital Cooperative
The capital structure of cooperatives as business entities in principle can be developed in two types of capital, namely:
1. Own capital.
2. Loan capital.
Own capital can be developed from:
a. Compulsory savings and contributions from members who
can be realized in the form of certificates of deposit
with a certain nominal value.
b. Reserves are obtained from the results of operations.
c. Donation.
d. Shares / certificates.
In connection with its own capital, the cooperative for
really can become an independent business entity and
respite should strive to increase their own capital in order to
get a sound capital structure. Therefore considering
members of cooperatives in Indonesia, mostly in conditions
weak capital base is necessary to consider the
equity participation from members without affecting its right to vote.
While the loan capital can be obtained from:
a. Members, in the form of savings and voluntary savings
revolving fund from the members.
b. Government, loans or investments in intangible capital.
c. Financial institutions, banks and non banks.
Furthermore, in terms of financing the management of cooperatives as
business entity, is always made on rational calculation where
any financing of a business activity should be supported
with the results of a feasibility study. This system will encourage the
cooperative managers to think economically since the beginning of his business.
Thus a micro-business success criteria can be
based on the size of liquidity, profitability and solvency, in
addition to other criteria that may be applied and
developed in a cooperative. Furthermore, the success of cooperative
as a business entity can be measured by using the information
per-unit cost. Therefore it is necessary to identify cost
per-unit clearly.
The amount of costs that need to know in relation to
calculation of net income [SHU]. Calculation of costs for the
members based on service system at cost, not based on
the difference in price [margin trading]. To control needed
availability of cost accounting system based on rule-

accepted accounting principles as defined in the Special Accounting Standards Cooperation.

5. Time Results of Operations [SHU]
As described above, although not a priority SHU
The main purpose of the cooperative effort, but SHU is a factor
important and must be realized. SHU to cooperatives is a
important source of capital accumulation itself. Fertilization capital
itself will further increase the efficiency and
strengthen the independence of cooperatives in order to develop
business services that can provide the maximum benefit
magnitude to the members.
In addition, SHU should be an attraction for
members to increase participation in the cooperative. For
realize the above, the division SHU
implemented based on the pattern of distribution system SHU [Member's
Refund patronage]. SHU size of the right member
will depend on the participation of member businesses. While SHU
sourced from non-member activities must use
directed to serve the interests of its members as much as possible.

6. Cooperation
In terms of internal efficiency, the cooperative already had reached
maximum level. What is needed is the development organization
oriented to the outside so to develop further
efficiency is concerned. A process is required linkages
integrative in the form of cooperation, both among the self-operatives
as well as with State and private, vertically or
horizontal.
Relative to the integration of inter-cooperative
can be done with the formation of secondary cooperatives that have
based on economic interests without having to require the level of
common types of cooperatives and regional level. Thus
vertical integration efforts to meet the needs improvement
high commercial effort. In addition to vertical integration efforts,
can also be horizontal integration, which is inter-
for primary cooperatives to develop joint activities in
marketing, production and capital.
Furthermore, vertical and horizontal integration can also
implemented through a cooperative partnership with state-owned enterprises
private and do not conflict with the principles
cooperative basis.
In that connection, the cooperation should be colored
with business ethics and the rules of the principle of kinship; rules
which aims to maintain cooperation in order to give
opportunity for all parties involved to be able to
tries in a comprehensive, educate and strengthen each other
and provide benefits without turning off one another.
In the event that was developed to realize the motives of cooperation
efficiency of joint efforts for economic actors such third container.

Therefore, the division of joint position and requires an equal footing among the actors. Cooperation can produce more value-added distribution of proportion to their respective achievements.
Forms of cooperation cooperative state-owned and private enterprises mentioned above are:
The first form, can form a complementary partnership, in
where if there are cooperative activities that are not feasible
Working alone, the cooperative may enter into an agreement
operational [KSO] with the state-owned enterprises and private
whose operations are more feasible to implement activities
it, and vice versa. As an example of cooperation
These include the provision of food for a national stock
performed by KUD with BULOG, distribution of fertilizers by KUD
with PT. Pusri, supply of milk from the cooperatives to the industry
milk processing.
The second form, which is a collaboration substitutif cooperation with management and ownership if the emphasis is cooperative for one reason or another it has not been able to have and carry out management as a feasible, then management was replaced temporarily by private or state owned enterprises. Furthermore, if the conditions of the cooperative has allowed the private sector or SOEs gradually relinquish all or part of the ownership and management to the cooperatives. PIR and venture capital is one form of cooperation as described above.
The third form, is cooperation in competition
constructive. Namely, the agreement between the private and cooperative with
SOEs to compete fairly with developing an area-
breadth of achievement and productivity to achieve feasibility
respective business activities. Forms of cooperation in
specific to the form of cooperation "two parties" [co-operative with
private and state-owned] and the "three party" [regarding the three actors together]. The scope of cooperation can be done in the field of marketing, production and capital in which the development process of such cooperation can have further cooperation from the private and state-owned shares or establish PT together with new private and state owned enterprises.

Village Cooperative Center For Rural Economic Activities
As mandated in the Guidelines of State Policy Outline
1993 that the development objectives to be achieved is to
Indonesia realizing an advanced nation and independent and
prosperous fair and prosperous society based on Pancasila and 1945 Constitution.
Achieving development objectives is done with
focuses on economic development. The goal
is to create an independent economy and reliable as
joint venture based on the principle of kinship. Target
economic development is directed to
increase the prosperity of the people a more equitable, growth

quite high and national stability are more stable. Economic development are among others characterized by a strong and advanced industry, agriculture strong and healthy and strong cooperative.
The role of the agricultural sector in national development
particularly critical for the achievement of food self-sufficiency
through programs that bring Inmas Guidance and broad implications for
improvement of community welfare. In this case success
cooperatives in national development can not be separated from
support for the success of agricultural development.
Support the success of development in the agricultural sector for overall development is very important. Important contribution of agriculture sector to other sectors to support economic growth yag include:
1. Increasing food production and agricultural production
another for domestic use and export.
2. Labor supply for non-agricultural sector.
3. Investai for non-agricultural activities; and
4. Increased demand in rural areas of product-
non-agricultural products.
The role of cooperatives in particular Cooperative Village Unit [KUD] are
real far in efforts to increase food production. With
the transformation from agriculture to industrial sector
characterized by the declining share of agriculture sector in
national income compared with the industrial sector, demand
larger cooperative role in creating development
agriculture in the future.
Agricultural development in the future will remain based
rural, with a greater emphasis on industrial vision
on the aspect of increasing farmers' income as compared with
increased production solely. Cooperatives in this case is believed to
will be able to contribute significantly to bringing
changes in the agricultural sector through its role in
introduction of technology and modern management in the management
agricultural business.
1945 Constitution put in place a very cooperative
important that as a pillar of the national economy. Furthermore,
in the 1993 Guidelines also states that the essence of development
Pancasila is the national development
Indonesia fully and wholly human. This is consistent with
one of the functions and role of cooperatives, which enhances the quality of
community life. Labih further stated that the 1993 Guidelines
national development is the development of, by and for
people. This mandate is clearly embraced by the cooperative.
Cooperative susuai with its social character is the container economy
The most powerful way to tackle poverty and
backwardness in the effort to create a development
with justice. Cooperatives also the organization's most
many involve the participation of the people. Therefore, cooperative
as an economic movement needs more people involved

in an effort to more equitable development, growing from below,
rooted in society and has wide support from the people.
1993 Guidelines warn that efforts to further
memeratakan development and eliminating poverty and
underdevelopment still needs to be continued and enhanced.
Within this framework, the arrangement of the third role of economic actors
in the national economy still needs to be continued, especially
the role of cooperatives. Special attention should be given to
development of businesses owned by people who enabled weak
and efforts to create jobs in order to accommodate
labor force continues to increase.
Especially for rural areas, development of cooperatives will
continue to be done to enable it as a center of activity
rural economy. Institutional approach for cooperative efforts
improve the welfare of farmers and fishermen are very strategic
considering cooperative is an organization of economic activity which also
very suitable for people at grass root level.
Through this cooperative, is expected to increase efficiency
done, either through increasing scale [economies of scale]
as well as expansion of coverage of the event [economies of scope]. Through
cooperatives, investsi from outside, especially from the government more easily
withdrawn, so that cooperatives can grow and develop in
various business sectors.
Realizing that most of the people of Indonesia, which
composed of farmers, ranchers, artisans, merchants, businessmen
small and others that most of the weak economy, are
in rural areas, since the New Order government development
rural economy yng great attention. Therefore,
development and cooperative development in rural areas continue
promoted and enhanced and developed its role.
As a first step in the New Order government
build and develop a cooperative, inter alia with
laid the cornerstone of an ideal, the principle of joint and cooperative basis
in the right direction and principles. For this reason, the Act
Act No. 14 of 1965, which is more oriented to the political,
replaced by Law No. 12 of 1967 on
Principles of Cooperatives.
Based on the Act, the government made the rehabilitation of existing cooperatives and cooperative while improving performance through the incorporation of small cooperatives. Aware of the demands and changing strategic environment, then since 1992 with the development of customized Cooperatives Act No. 25 of 1992 concerning Cooperatives.
As an operational basis in developing and
develop cooperative, specifically the government sets
discretion at every stage of development in accordance with
priorities and changing environmental conditions. Particularly
in building the rural economy through development
cooperatives. The government issued a policy of Instruction

President [Instruction], which is dynamic and material settings
can be adjusted with the development and environmental conditions
existing.
It is a fact, in the early development of cooperatives, rural people's participation is relatively low. This can be understood as a result of the bondage of poverty and underdevelopment which is a colonial legacy of the past. In addition, the negative image of cooperatives in the past also increasingly distanced from the cooperative society.
The fact is the government who then knocked on the heart felt obliged to actively initiate and accelerate the development of cooperatives. This policy is pursued for KUD soon became a figure of an independent business entity and resilient and can align themselves with the perpetrator or economic entities and other businesses.
Departing from the ideals of this, wisdom and
KUD with establishment of strategies have been prepared in a planned, directed and
integrated by taking into account the potential and aspirations
rural communities. In the early stages of policy implementation
this, the role of government is big enough, especially in various
program that includes establishment KUD initiative, giving
guidance and assistance facilities. Such role of governments
more based on the desire to accelerate growth
KUD blossoms at the beginning of its establishment is still considered small
and weak, both in business scale and management.
On stage berkutnya, determination and implementation of various
government programs aimed to foster the ability
and KUD own strength. It's important to actually grow KUD
into economic institutions capable of standing on the strengths and
own abilities. Government policies adopted
conformity with the principle of "Ing Sung Ngarso Tulodho, Ing Madyo
Mangun Karso, Tut Wuri Hand. "This means also congruent with
development approach to learning while working.
As the first program of government in an effort
improve the welfare of rural communities, is a program
Mass Guidance [Guidance] to portray the agricultural cooperatives
for loan disbursement Guidance for farmers. However, with
cooperative conditions [agricultural cooperatives] at that time generally
small scale, makes the role of cooperatives in the Guidance program is less effective and efficient.
With that experience, through a project
Regional pilot Village Unit at the national Guidance
enhanced, the government succeeded in creating the concept of village units,
where in the territory of the village unit, cooperative effort of several
incorporated into the Business Entity Village Unit [BUUD]. With
BUUD successful pilot project, the government issued
Presidential Instruction No. 4 Year 1973 on the Village Unit, where participation
cooperative development with the implementation diperteas
Village Cooperative concept [KUD] as a form of legal entity
development cooperation with developing its business sakal

an operational basis in developing cooperatives in the countryside.
In this case, cooperative development is directly linked to agricultural development. Thus, the Presidential Instruction No. 4 in 1973 is a milestone in juridical existence of KUD, in which contained some strategic concepts, namely:
First, that the unit is a unitary agroekonomis village in a region, which fostered and formed in order to increase agricultural production. Having the functions of agricultural extension, crediting, the distribution of production inputs, processing and marketing of agricultural products.
Second, that the village unit may include one or several villages in one region or more districts within a district, with an area of rice cultivation, which ranged between 600 and 1,000 hectares.
Third, that the function BUUD / KUD, namely carrying out
processing and marketing of agricultural produce, gradually
improved so that in turn is capable of performing the function
counseling, crediting, and the distribution of production facilities, which
previously be an function of the unit elements of other villages,
such as field extension workers [PPL], Bank Rakyat Indonesia,
retailers, and shop village units. BUUD an institution
economic unit of the village to join and immerse themselves in a
Cooperative Village Unit [KUD].
In line with progress achieved cooperatives,
when entering the Pelita III, the Government issued Presidential Instruction No. 2
In 1978, about BUUD / KUD, as a refinement of the
Presidential Instruction No. 2 year 1973, in which the business foundation expanded KUD
into rural areas as a unified economic potential.
KUD economic enterprises in the region which was originally berorintasi village units
transformed into oriented rural economic potential.
In addition, because arable BUUD / KUD is the area and region
countryside as a separate economic entity then
BUUD / KUD which had been the versatile agricultural cooperatives
business at a later stage transformed into a variety of cooperative
business [department].
Furthermore, to better enable cooperatives so as to
stand on its own merits, then enter the Pelita IV,
government issued Presidential Instruction No. 4 / 1984, about
Developing and Improving KUD, as a refinement of the
Presidential Instruction No. 2 year 1978. Since then the role BUUD replaced by
Supervising Agency and Guardian KUD [BPP-KUD]. In the field of business,
KUD given the widest possible business opportunities and government
provide the facilities required for service improvement
to their members.
Stipulated in the reinforced role as a central KUD
wilyah development of rural economy. Presidential Instruction No. Material. 4
In 1984, basically a step the government to
further refine the concept of cooperatives and to provide assistance
to cooperatives to be more capable of standing alone as an organization

independent. Through Presidential Instruction No. 4 / 1984 will function as the Cooperative Village Cooperative Agricultural Multipurpose Cooperative Rural Enterprise upgraded to Enterprise Solutions.
In addition, KUD established as the only rural cooperatives whose members consist of the whole village. As Consequently, cooperatives should be able to manage all activities of the rural economy to serve the villagers who become members.
The basic concept of rural cooperatives as a form of cooperative business department was based on thinking about the fundamental, namely:
First, in the form of cooperatives, the opportunity to have
a more fundamental scale, feasible and efficient. Thus will be able to realize an effective and efficient service in order to provide maximum benefits for improving the welfare of its members.
Second, KUD as a cooperative effort would be more versatile
opportunity to serve the various needs and business activities of
all its members. The operations of the member who is still considered
weak and not worthy will continue to be served by cooperatives with
cross-subsidy from the activities of members who have strong business and
feasible. Conditions like these will reduce the likelihood
social inequalities and achieve equitable distribution of welfare
rural areas.
Third, cooperatives will have a greater level of openness
to accommodate all the villagers become a member without
distinguish the profession. This is in accordance with basic principles
cooperatives, in which membership is open and voluntary.
KUD basic concept is what is expected to achieve and
preserve family values and togetherness in
rural areas.
The concept of KUD rationale outlined above, which
then poured through a series of Presidential Instruction, is
very original and unique Indonesia Indonesia quarried from the earth
own. Therefore, for understanding must use
the perspective of the Indonesian nation and family friendly
togetherness.
Furthermore, the Presidential Instruction also intends to
encourage and strengthen cooperatives, as evident from
policy implementation, namely: open opportunities
seek the broadest, give business certainty in
form of guarantees and certainty of market prices of commodities
elected, to help develop the capital accumulation
integrated. Strengthening organization and management with
providing education and training to the managers or
KUD executing, and creating a conducive climate for
realization of cooperation among cooperatives, both horizontally and
vertical.
In fostering and developing cooperatives, the government
focused on further improve the quality of resources
human and institutional systems. This is so KUD capable

exploit the opportunities and business opportunities that are available so that in turn can serve as the only all-business in rural cooperative that manages a wide range of rural economic activities. The effort has to be agriculture, animal husbandry, fisheries, agriculture, handicraft industry, and other fields.
Judging from its role, the contribution of cooperatives in developing
The dominant rural economy is still in the field of food.
Through its food procurement activities, in addition to already filling program
national stock of food procurement, also helped maintain
save the price of grain so as not to degenerate, thereby
avoid the risk of losses of farmers as producers.
In filling the national stock, in each year on average KUD
can supply rice as much as 85 percent of the actual procurement
Bulog. The situation is what makes Indonesia succeeded in
food self-sufficiency since 1984, even in the years
Indonesia can export rice next to some countries
neighbors.
In areas that do not include the potential
food, KUD participation in the system of regional economy
Local also has shown a considerable role. In
sugarcane plantation area people, who earn course credit
People Cane Intensification (TRI), KUD has demonstrated its role
in coordinating and connecting the sugarcane farmers
with a sugar factory. Similarly in the field of fisheries, the role
KUD actually be perceived by the community of fishermen or
fish farmers, both in providing for the means of production
fishing and fish marketing in terms of production output
members through the fish auction place (TPI) under its management.
As the targets do coaching and development
KUD apart from the aspect of quantity is also directed at the quality of
from KUD itself. In accordance with the goals for coaching KUD
have the ability to develop itself on the strength
has, so when entering government Pelita V
KUD Independent launched a program, namely KUD has
quality in accordance with 13 criteria you specified. In
essence, the success of cooperatives to be independent is indicated mainly by its role in developing the rural economy and ultimately to enhance and promote the welfare of members in particular and the surrounding community at large.
From 1992 until December 1996,
in the village had been there as much as 9226 KUD with the number of members
as many as 13.667 million people, spread over 3549 districts or
9.4 percent. Of these there are 6720 units of KUD Mandiri
and KUD Steady. In addition, each district has been successful
developed at least 1 (one) KUD functioning Mandiri Inti
as the locomotive of growth of cooperatives in the surrounding area.
All KUD Mandiri has had a general manager

college graduates [scholar]. KUD has been audited by
reasonable results without notes.
KUD assets from 1992 to 1996 grew 26 percent per year from Rp. 1036 billion to Rp. 2379 billion. Likewise, business volume grew 12 percent per year from Rp. 3808 billion to Rp. 6117 billion.
From the success of the above, we realize that the cooperatives have not
grown in all villages of more than 50,000 villages
including several villages located in remote areas. But with the amount present, cooperatives have contributed significantly to economic activity in rural areas.
Then we have also seen there is as much
KUD 1586 which has made it into the business criteria
medium because it has a turnover of over Rp. 1 billion. Data
quantitative and qualitative, we can conclude that the VUC had grown into a modern economic institutions that are managed professionally.
This also proves that the image in the middle-KUD
society has increased so much better from time to
time. Support and community participation is increasingly
increase is of course not without a rational reason.
Beyond that, the role and function of cooperatives also support
agricultural development in order to grow the national economy.
Theories about the contribution of agriculture to the growth
economically and in development are very diverse. But
Thus the survey of the literature there are at least 5
role of agriculture in economic development which include:
1. Providing food and raw materials
2. Creating jobs
3. Increase revenue and save foreign exchange
4. Encouraging savings for investment
5. Increased incomes
In terms of contribution to this growth, we can
see that the expansion of non-agricultural sector (industry and services)
require strong support from the agricultural sector. Sector
agriculture is a source of food and raw material supply
standard that is needed by the industry who are
developed. It begins its development on solid industry
work. Therefore the production cost structure is dominated by the cost
labor. Observations further indicate that the structure
expenditure of the workers in the industrial sector is extremely
dominated by food expenditure (80%). Because it
availability of cheap food, and continuity of supply
is what determines the level of development and industrial sectors
other sectors outside of agriculture. It is clear that the agricultural sector
is the sector for the development of industrial sector (non-
agriculture), through its ability to provide cheap food and sustainable.
At the same time, because of developments in the industry
initially be resource industry base, then they need

support materials must also be easy and secure
continuity. Again, the agricultural sector should contribute
dynamically to support the development of non-industrial sector
agriculture through the provision of cheap raw material supplies and
sustainable.
The role of this kind came to be known as faktors
contribution. In connection with faktors this contribution, the role
and function of cooperatives, especially KUD, sangatah large and
determine. Production of food and raw materials is not possible
can be enhanced and maintained continuity without
supported by adequate availability of production factors. Factor
this production include: fertilizer, seeds, medicines
agriculture and agricultural machinery. In addition, there
supporting facilities such as farm credit, warehousing facilities,
transportation and guarantee a decent price for the products
is the determining factor is no less important.
Over the past 25 years has run KUD a very vital role in the distribution of production facilities, as well as in developing various support facilities. In the distribution of production inputs, such as fertilizer Pelita, a total of 314 thousand tons and in Pelita VI as many as 12.36 million tons. In addition it also has a business unit KUD transportation, warehousing, processing plants, savings and loans and so forth.
According to available data, the involvement of cooperatives in the provision of
production facilities of Pelita I to VI are as Pelita
follows:
1. in the distribution of fertilizer, the amount involved as much KUD
3268 units. The amount of fertilizer delivered an average per-Pelita of 7,418,422.6 tons.
2. in food procurement, which involved as many as the number of KUD
2255 units. Food supply volume average per-Pelita of 5,286,498.5 tons.
Meanwhile, the role of cooperatives in the fulfillment of raw materials, among others: to fulfill the dairy industry, sugar industry, tapioca, cigarettes and cooking oil industry.
Furthermore, the role of cooperatives in job creation
result of the modernization of agriculture can vary between
other;
1. transport network
2. agricultural infrastructure such as irrigation and warehousing facilities
3. development of various agencies for counseling
4. credit and marketing institutions, as well as
5. biological innovation (seeds pest control) and technology.
The role of cooperatives in the field of transportation, among others, include: the transport of fertilizer, transportation of fresh milk, sugar transport, and transport of drugs. For warehousing infrastructure, among others: Warehouse fertilizer, food, clove, sugar, coffee, rubber and pharmaceuticals. Quite a lot KUD engaged in transportation, especially KUD KUD who have business-food procurement, fertilizer and medicine and TRI.