This study aimed to analyze the barriers faced by farmer groups in establishing a cooperative to manage a machinery rental business. The qualitative method with a multi-case study approach was used in this study with farmer groups as the research objects and chairpersons and members as the participants. The chairpersons were chosen by purposeful sampling and the members by snowball sampling. Data collection techniques were in-depth interviews and focus group discussions. The data credibility tests were triangulation and member checks. The results showed that all chairpersons and members positively responded to the cooperative and that the main barrier to establishing cooperatives in farmer groups was the absence of volunteers. The barriers for farmer groups that had volunteers included: (1) it was difficult to find members who wanted to become administrators because they felt they were unable to overcome the problem of shortage of operators and customers; (2) the obligation to make financial reports to the Cooperative Office and members; (3) management has not been able to prepare financial reports; and (4) expensive notary fees. Our recommendations for the Ministry of Agriculture are to assign agricultural extension civil servants as volunteers and to conduct operator training. The recommendation to the Ministry of Cooperatives is to guide the preparation of financial reports.


cooperative, farmer groups, barriers, machinery rental business, multi-case study

Author Bio(s)

Dr. Sri Hanggana, M. Si., Ak., was interested in empowering farmers by developing business units owned by farmer groups by taking advantage of the experience of being a consultant in small and medium enterprises from 1998 to 2020. He took the initiative to conduct research to identify the obstacles faced by administrators and members of farmer groups establishing cooperatives to manage rental businesses grants from the government. He was a research initiator, collecting data, displaying data, analyzing data, and making research reports. Please direct correspondence to srihanggana_fe@staff.uns.ac.id.

Andi Asri Hapsari, S. E., M.Sc., Ak is a lecturer in the Diploma III Accounting Study Program at the UNS Vocational School. She had research experience with cooperative objects. She had written a financial report course module for savings and loan cooperatives. She looked for references, collected data, and edited research reports. Please direct correspondence to andiasrihapsari@staff.uns.ac.id.

Putri Nugrahaningsih, S. E., M.Ak., Ak, is a lecturer in the Diploma III Accounting Study Program at the UNS Vocational School. She became a student apprentice supervisor at the Office of the Ministry of Agriculture of Karanganyar Regency, so she had much knowledge of Ministry of Agriculture policies related to farmer groups. Her role was to find farmer groups as research objects, and collect, display, and analyze data. Please direct correspondence to putrinugrahaningsih@staff.uns.ac.id.

Amirotul Musthofiah Hidayah Mahmudah, S. T, M.Sc, is a lecturer in the Civil Engineering Study Program, Faculty of Engineering, UNS. She has a good understanding of English. She was in charge of translating references and editing published articles. Please direct correspondence to amirotulmhm@staff.uns.ac.id.


We want to thank: (1) The Chancellor of Sebelas Maret University, who has given the decision that this research is funded by the RKAT PTNBH Sebelas Maret University through the APPLIED LEADING RESEARCH (PUT-UNS) scheme with Research Assignment Agreement Number: 254/UN27.22/PT.01.03/2022. (2) Research informants, namely chairpersons and members of Farmer Groups of Simo Makmur, Sri Makmur, and Tani Mulyo. They have provided valuable time and cooperation during the interview and FGD sessions. Without their willing participation and interest in the topic, this research would not be possible.

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